JPMorgan Chase & Co. Issues Positive Forecast for ServiceNow (NYSE:NOW) Stock Price

Key Points

• JPMorgan raised ServiceNow’s price target to $160 from $150 and maintained an “overweight” rating, implying approximately 45.7% upside from the reported $109.83 share price.
• ServiceNow shares fell 26.8% to $109.83 despite revenue of $4.11 billion, which exceeded estimates; adjusted EPS of $1.00 narrowly missed the $1.02 consensus.
• Analyst sentiment remains broadly positive, with a “Moderate Buy” consensus and an average target of $154.50, although concerns include slowing contracted-backlog growth, acquisition-related costs and rising debt expenses.

ServiceNow (NYSE:NOW - Get Free Report) had its target price lifted by analysts at JPMorgan Chase & Co. from $150.00 to $160.00 in a report released on Thursday, Benzinga reports. The brokerage currently has an "overweight" rating on the information technology services provider's stock. JPMorgan Chase & Co.'s price target points to a potential upside of 45.68% from the company's current price.

A number of other research firms have also issued reports on NOW. Oppenheimer reissued an "outperform" rating and set a $165.00 price target on shares of ServiceNow in a research report on Thursday. Weiss Ratings upgraded ServiceNow from a "hold (c-)" rating to a "hold (c)" rating in a research report on Thursday, October 8th. KeyCorp restated an "underweight" rating and issued a $110.00 target price (up from $85.00) on shares of ServiceNow in a report on Thursday. Truist Financial set a $150.00 price target on ServiceNow and gave the stock a "buy" rating in a research note on Thursday. Finally, DA Davidson set a $170.00 target price on shares of ServiceNow and gave the stock a "buy" rating in a research note on Monday, July 20th. One analyst has rated the stock with a Strong Buy rating, thirty-six have issued a Buy rating, three have given a Hold rating and three have issued a Sell rating to the company's stock. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $154.50.

ServiceNow Stock Down 26.8%

Shares of NOW stock traded down $40.30 on Thursday, hitting $109.83. The stock had a trading volume of 75,432,001 shares, compared to its average volume of 21,594,254. ServiceNow has a one year low of $81.24 and a one year high of $192.97. The company has a quick ratio of 0.70, a current ratio of 0.70 and a debt-to-equity ratio of 0.43. The company has a market cap of $113.56 billion, a PE ratio of 68.64, a P/E/G ratio of 2.92 and a beta of 0.99. The business has a 50 day moving average price of $139.55 and a 200 day moving average price of $115.79.

ServiceNow (NYSE:NOW - Get Free Report) last released its quarterly earnings data on Wednesday, October 28th. The information technology services provider reported $1.00 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.02 by ($0.02). ServiceNow had a net margin of 11.34% and a return on equity of 16.45%. The business had revenue of $4.11 billion for the quarter, compared to the consensus estimate of $4.09 billion. During the same quarter in the prior year, the business posted $4.82 earnings per share. ServiceNow's revenue for the quarter was up 20.5% on a year-over-year basis. Research analysts anticipate that ServiceNow will post 2.23 earnings per share for the current fiscal year.

Insider Buying and Selling at ServiceNow

In other news, insider Paul Fipps sold 2,034 shares of the business's stock in a transaction on Monday, August 31st. The shares were sold at an average price of $147.87, for a total transaction of $300,767.58. Following the transaction, the insider directly owned 18,305 shares of the company's stock, valued at approximately $2,706,760.35. The trade was a 10.00% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Paul Chamberlain sold 2,700 shares of the firm's stock in a transaction dated Thursday, August 27th. The shares were sold at an average price of $135.50, for a total value of $365,850.00. Following the sale, the director owned 43,990 shares of the company's stock, valued at $5,960,645. This represents a 5.78% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 14,081 shares of company stock valued at $1,937,904. Company insiders own 0.34% of the company's stock.

Institutional Investors Weigh In On ServiceNow

A number of institutional investors have recently modified their holdings of the stock. Traynor Capital Management Inc. grew its stake in ServiceNow by 39.0% during the third quarter. Traynor Capital Management Inc. now owns 62,823 shares of the information technology services provider's stock worth $8,419,000 after buying an additional 17,634 shares during the last quarter. Bank Julius Baer & Co. Ltd Zurich grew its position in ServiceNow by 3,959.0% during the 3rd quarter. Bank Julius Baer & Co. Ltd Zurich now owns 736,917 shares of the information technology services provider's stock worth $98,235,000 after acquiring an additional 718,762 shares during the last quarter. Greenleaf Trust grew its position in ServiceNow by 408.2% during the 3rd quarter. Greenleaf Trust now owns 109,783 shares of the information technology services provider's stock worth $14,712,000 after acquiring an additional 88,182 shares during the last quarter. Nippon Life Global Investors Americas Inc. increased its stake in shares of ServiceNow by 396.2% in the third quarter. Nippon Life Global Investors Americas Inc. now owns 83,270 shares of the information technology services provider's stock valued at $11,159,000 after buying an additional 66,490 shares in the last quarter. Finally, Columbia Bank raised its stake in shares of ServiceNow by 9.5% in the third quarter. Columbia Bank now owns 18,670 shares of the information technology services provider's stock worth $2,502,000 after acquiring an additional 1,612 shares during the last quarter. Institutional investors and hedge funds own 87.18% of the company's stock.

ServiceNow News Summary

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow raised its 2026 artificial-intelligence contract target to $1.7 billion, while subscription revenue increased 20.5% year over year to $3.99 billion. The company also expanded its enterprise AI partnership with OpenAI, supporting AI agents, cybersecurity and governed workflows. ServiceNow: 3 Key Takeaways for Long-Term Investors
• Positive Sentiment: New commercial activity provided longer-term support, including a five-year HPE agreement to use ServiceNow for AI-powered support services and the launch of a Control Tower Alliance focused on enterprise AI adoption and governance. HPE selects ServiceNow to transform support services
• Positive Sentiment: Several analysts maintained bullish views after the selloff. Piper Sandler reaffirmed an overweight rating with a $175 target, while Oppenheimer maintained outperform with a $165 target. TD Cowen retained a buy rating despite lowering its target to $160. Piper Sandler ServiceNow rating
• Neutral Sentiment: Third-quarter revenue reached $4.11 billion, ahead of the $4.09 billion consensus, but adjusted EPS was $1.00 versus expectations of $1.02. Revenue growth remained strong, although profitability was pressured by acquisition-related costs. ServiceNow third-quarter earnings report
• Negative Sentiment: The main concern was guidance: fourth-quarter contracted backlog growth is expected to slow to 18.5%, below the 21.5% revenue-growth forecast. Because backlog is an indicator of future subscription revenue, investors viewed the deceleration as evidence of softer demand and greater AI-related disruption risk. ServiceNow guides to slower backlog growth
• Negative Sentiment: Analysts also lowered targets, including UBS to $140, BTIG Research to $150 and Wells Fargo to $175. Concerns about ServiceNow’s $7.52 billion debt load and rising interest costs added pressure to the stock’s valuation and financial-flexibility outlook. ServiceNow debt and interest costs

About ServiceNow

ServiceNow, Inc provides cloud-based software designed to help organizations digitize, automate and manage enterprise workflows. Its Now Platform connects people, processes and systems across departments, enabling customers to manage work through a centralized technology environment.

The company's products and services address a range of business needs, including information technology service management, IT operations management, customer service management, human resources service delivery, security operations, risk and compliance, and application development.

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