ServiceNow’s (NOW) Sell Rating Reiterated at Guggenheim

Guggenheim reissued their sell rating on shares of ServiceNow (NYSE:NOW) in a report published on Wednesday morning,Benzinga reports. The brokerage currently has a $716.00 target price on the information technology services provider’s stock.

Other equities research analysts also recently issued reports about the company. Canaccord Genuity Group reaffirmed a “buy” rating and set a $1,275.00 price objective on shares of ServiceNow in a report on Tuesday, March 11th. UBS Group lowered their price target on ServiceNow from $1,250.00 to $1,000.00 and set a “buy” rating on the stock in a research report on Tuesday, March 11th. William Blair reissued an “outperform” rating on shares of ServiceNow in a report on Friday, March 7th. Needham & Company LLC upped their target price on shares of ServiceNow from $1,150.00 to $1,200.00 and gave the stock a “buy” rating in a report on Thursday, January 30th. Finally, JPMorgan Chase & Co. lifted their price target on shares of ServiceNow from $950.00 to $1,250.00 and gave the company an “overweight” rating in a report on Wednesday, January 29th. One analyst has rated the stock with a sell rating, four have given a hold rating and twenty-eight have issued a buy rating to the stock. According to data from MarketBeat.com, ServiceNow currently has a consensus rating of “Moderate Buy” and a consensus target price of $1,057.17.

ServiceNow Price Performance

Shares of NYSE:NOW opened at $796.62 on Wednesday. The business’s 50 day moving average is $862.65 and its 200-day moving average is $971.02. The company has a current ratio of 1.10, a quick ratio of 1.10 and a debt-to-equity ratio of 0.15. The firm has a market capitalization of $164.90 billion, a PE ratio of 116.64, a PEG ratio of 4.51 and a beta of 1.08. ServiceNow has a 1-year low of $637.99 and a 1-year high of $1,198.09.

ServiceNow (NYSE:NOW) last announced its quarterly earnings results on Wednesday, January 29th. The information technology services provider reported $3.67 earnings per share (EPS) for the quarter, meeting the consensus estimate of $3.67. ServiceNow had a net margin of 12.97% and a return on equity of 17.11%. Sell-side analysts predict that ServiceNow will post 8.93 earnings per share for the current year.

ServiceNow declared that its board has authorized a stock repurchase program on Wednesday, January 29th that permits the company to buyback $3.00 billion in outstanding shares. This buyback authorization permits the information technology services provider to reacquire up to 1.3% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s board of directors believes its shares are undervalued.

Insider Activity at ServiceNow

In other ServiceNow news, Vice Chairman Nicholas Tzitzon sold 2,945 shares of ServiceNow stock in a transaction dated Tuesday, February 25th. The stock was sold at an average price of $923.72, for a total transaction of $2,720,355.40. Following the transaction, the insider now directly owns 3,649 shares in the company, valued at approximately $3,370,654.28. The trade was a 44.66 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO William R. Mcdermott sold 1,263 shares of the stock in a transaction dated Monday, February 10th. The stock was sold at an average price of $1,019.10, for a total value of $1,287,123.30. Following the completion of the sale, the chief executive officer now owns 2,595 shares of the company’s stock, valued at $2,644,564.50. This trade represents a 32.74 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 19,896 shares of company stock worth $19,568,441. 0.38% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On ServiceNow

Several institutional investors and hedge funds have recently modified their holdings of the business. Ritholtz Wealth Management lifted its stake in ServiceNow by 12.3% in the first quarter. Ritholtz Wealth Management now owns 2,868 shares of the information technology services provider’s stock valued at $2,283,000 after buying an additional 315 shares in the last quarter. Dynamic Advisor Solutions LLC bought a new stake in ServiceNow in the 1st quarter valued at $1,275,000. Grant Private Wealth Management Inc boosted its stake in ServiceNow by 49.5% in the 1st quarter. Grant Private Wealth Management Inc now owns 2,460 shares of the information technology services provider’s stock worth $1,959,000 after purchasing an additional 815 shares during the period. Opal Wealth Advisors LLC bought a new position in ServiceNow during the 1st quarter worth about $124,000. Finally, Tritonpoint Wealth LLC raised its stake in shares of ServiceNow by 281.5% in the 1st quarter. Tritonpoint Wealth LLC now owns 2,964 shares of the information technology services provider’s stock valued at $2,360,000 after purchasing an additional 2,187 shares during the period. 87.18% of the stock is currently owned by institutional investors and hedge funds.

About ServiceNow

ServiceNow, Inc provides end to-end intelligent workflow automation platform solutions for digital businesses in the North America, Europe, the Middle East and Africa, Asia Pacific, and internationally. The company operates the Now platform for end-to-end digital transformation, artificial intelligence, machine learning, robotic process automation, process mining, performance analytics, and collaboration and development tools.