ServiceNow (NYSE:NOW) Shares Down 3.2% – What’s Next?

ServiceNow, Inc. (NYSE:NOW)’s share price traded down 3.2% during mid-day trading on Monday. The stock traded as low as $126.75 and last traded at $131.27. 11,738,524 shares traded hands during mid-day trading, a decline of 48% from the average daily volume of 22,404,707 shares. The stock had previously closed at $135.62.

Wall Street Analyst Weigh In

A number of equities analysts have weighed in on the stock. Cantor Fitzgerald raised their target price on shares of ServiceNow from $141.00 to $174.00 and gave the company an “overweight” rating in a research note on Monday, September 21st. BTIG Research increased their target price on ServiceNow from $150.00 to $170.00 and gave the stock a “buy” rating in a research note on Tuesday, September 8th. Truist Financial upped their price target on shares of ServiceNow from $120.00 to $130.00 and gave the stock a “buy” rating in a research note on Thursday, July 9th. Wells Fargo & Company reiterated an “overweight” rating and issued a $175.00 target price (up from $160.00) on shares of ServiceNow in a research note on Wednesday, August 12th. Finally, Morgan Stanley set a $180.00 price objective on shares of ServiceNow in a report on Tuesday, July 21st. One equities research analyst has rated the stock with a Strong Buy rating, thirty-six have issued a Buy rating, three have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $147.00.

ServiceNow Stock Performance

The business has a 50-day simple moving average of $127.68 and a 200 day simple moving average of $111.01. The firm has a market cap of $134.48 billion, a PE ratio of 81.28, a PEG ratio of 2.41 and a beta of 0.97. The company has a debt-to-equity ratio of 0.43, a current ratio of 0.70 and a quick ratio of 0.70.

ServiceNow (NYSE:NOW) last announced its quarterly earnings data on Wednesday, July 22nd. The information technology services provider reported $0.90 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.86 by $0.04. ServiceNow had a net margin of 11.34% and a return on equity of 16.45%. The firm had revenue of $3.99 billion during the quarter, compared to analysts’ expectations of $3.93 billion. During the same period in the prior year, the company posted $0.81 earnings per share. The company’s revenue for the quarter was up 24.0% compared to the same quarter last year. Equities research analysts forecast that ServiceNow, Inc. will post 2.22 EPS for the current year.

Insider Buying and Selling at ServiceNow

In other ServiceNow news, insider Jacqueline P. Canney sold 7,847 shares of ServiceNow stock in a transaction on Friday, August 28th. The shares were sold at an average price of $138.00, for a total value of $1,082,886.00. Following the completion of the transaction, the insider directly owned 30,042 shares of the company’s stock, valued at $4,145,796. This trade represents a 20.71% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Paul Fipps sold 2,034 shares of the company’s stock in a transaction dated Monday, August 31st. The shares were sold at an average price of $147.87, for a total transaction of $300,767.58. Following the sale, the insider owned 18,305 shares in the company, valued at $2,706,760.35. This represents a 10.00% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 14,081 shares of company stock valued at $1,937,904 in the last 90 days. Insiders own 0.34% of the company’s stock.

Institutional Investors Weigh In On ServiceNow

Several large investors have recently added to or reduced their stakes in NOW. A. D. Beadell Investment Counsel Inc. grew its holdings in ServiceNow by 2.9% during the 2nd quarter. A. D. Beadell Investment Counsel Inc. now owns 2,818 shares of the information technology services provider’s stock worth $279,000 after acquiring an additional 80 shares in the last quarter. Atwood & Palmer Inc. raised its holdings in shares of ServiceNow by 20.0% in the 2nd quarter. Atwood & Palmer Inc. now owns 600 shares of the information technology services provider’s stock valued at $60,000 after purchasing an additional 100 shares in the last quarter. Capital Advisors Ltd. LLC lifted its position in shares of ServiceNow by 25.2% in the 1st quarter. Capital Advisors Ltd. LLC now owns 516 shares of the information technology services provider’s stock worth $54,000 after purchasing an additional 104 shares during the period. Cornerstone Financial Management LLC lifted its position in shares of ServiceNow by 72.8% in the 2nd quarter. Cornerstone Financial Management LLC now owns 254 shares of the information technology services provider’s stock worth $25,000 after purchasing an additional 107 shares during the period. Finally, Symphony Financial Ltd. Co. boosted its stake in shares of ServiceNow by 1.5% during the second quarter. Symphony Financial Ltd. Co. now owns 7,584 shares of the information technology services provider’s stock valued at $757,000 after purchasing an additional 115 shares in the last quarter. 87.18% of the stock is owned by institutional investors.

About ServiceNow

ServiceNow, Inc is a cloud-based enterprise software company that helps organizations digitize, automate and manage workflows. Its platform connects people, processes and systems across departments, enabling businesses to replace manual, disconnected activities with standardized digital workflows.

The company’s products and services support a range of functions, including information technology service management, IT operations management, customer service, human resources, risk and security operations, and software development.