ServiceNow, Inc. (NYSE:NOW) Given Average Recommendation of "Moderate Buy" by Brokerages

Key Points

• ServiceNow has a “Moderate Buy” consensus from 42 analysts: 36 buy ratings, one strong buy, three holds and two sells. The average 12-month price target is $144.24.
• The company reported quarterly adjusted earnings of $0.90 per share, beating estimates of $0.86, while revenue rose 24% year over year to $3.99 billion, above expectations.
• Institutional investors own 87.18% of ServiceNow’s stock, while insiders own 0.34%; the shares opened at $138.50 and remain well below their 52-week high of $194.73.

Shares of ServiceNow, Inc. (NYSE:NOW - Get Free Report) have been given an average recommendation of "Moderate Buy" by the forty-two ratings firms that are covering the stock, MarketBeat Ratings reports. Two analysts have rated the stock with a sell recommendation, three have assigned a hold recommendation, thirty-six have assigned a buy recommendation and one has issued a strong buy recommendation on the company. The average 1-year price target among brokerages that have issued ratings on the stock in the last year is $144.2439.

A number of equities research analysts recently commented on NOW shares. Barclays reissued an "overweight" rating and issued a $134.00 price target (up from $132.00) on shares of ServiceNow in a research report on Tuesday, May 5th. Citic Securities cut their price objective on shares of ServiceNow from $168.00 to $140.00 and set a "buy" rating on the stock in a report on Thursday, May 21st. BMO Capital Markets increased their target price on shares of ServiceNow from $115.00 to $118.00 and gave the company an "outperform" rating in a report on Thursday, July 23rd. BTIG Research reissued a "buy" rating and set a $150.00 price target on shares of ServiceNow in a research report on Wednesday, July 22nd. Finally, Morgan Stanley set a $180.00 price target on shares of ServiceNow in a report on Tuesday, July 21st.

Insider Activity at ServiceNow

In other ServiceNow news, Director Paul Edward Chamberlain sold 1,500 shares of ServiceNow stock in a transaction that occurred on Thursday, August 13th. The shares were sold at an average price of $125.60, for a total transaction of $188,400.00. Following the transaction, the director owned 46,690 shares of the company's stock, valued at $5,864,264. This trade represents a 3.11% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.34% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On ServiceNow

Several institutional investors have recently modified their holdings of the business. Norges Bank bought a new position in ServiceNow during the fourth quarter worth about $2,020,992,000. World Investment Advisors raised its position in shares of ServiceNow by 411.7% in the fourth quarter. World Investment Advisors now owns 47,955 shares of the information technology services provider's stock valued at $7,346,000 after purchasing an additional 38,583 shares during the period. Moors & Cabot Inc. lifted its stake in shares of ServiceNow by 387.7% during the 4th quarter. Moors & Cabot Inc. now owns 45,630 shares of the information technology services provider's stock valued at $6,990,000 after buying an additional 36,274 shares in the last quarter. Bank of Nova Scotia lifted its stake in shares of ServiceNow by 53.3% during the 1st quarter. Bank of Nova Scotia now owns 1,018,036 shares of the information technology services provider's stock valued at $106,436,000 after buying an additional 353,749 shares in the last quarter. Finally, Jennison Associates LLC boosted its holdings in ServiceNow by 280.1% in the 4th quarter. Jennison Associates LLC now owns 8,432,389 shares of the information technology services provider's stock worth $1,291,758,000 after buying an additional 6,213,762 shares during the period. 87.18% of the stock is owned by institutional investors.

ServiceNow Stock Performance

Shares of NOW opened at $138.50 on Friday. The company has a debt-to-equity ratio of 0.43, a quick ratio of 0.70 and a current ratio of 0.70. The stock has a 50 day moving average price of $111.34 and a two-hundred day moving average price of $106.33. The firm has a market capitalization of $143.20 billion, a P/E ratio of 86.56, a P/E/G ratio of 2.21 and a beta of 0.94. ServiceNow has a 52 week low of $81.24 and a 52 week high of $194.73.

ServiceNow (NYSE:NOW - Get Free Report) last posted its earnings results on Wednesday, July 22nd. The information technology services provider reported $0.90 earnings per share for the quarter, beating analysts' consensus estimates of $0.86 by $0.04. The company had revenue of $3.99 billion for the quarter, compared to analyst estimates of $3.93 billion. ServiceNow had a return on equity of 16.45% and a net margin of 11.34%.The company's revenue for the quarter was up 24.0% on a year-over-year basis. During the same quarter last year, the company earned $0.81 earnings per share. Equities analysts forecast that ServiceNow will post 2.24 earnings per share for the current fiscal year.

Trending Headlines about ServiceNow

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Salesforce earnings lifted the sector. Salesforce’s strong quarterly results, raised guidance and “Claudeforce” AI announcement eased fears of a broad “SaaS-pocalypse.” The read-through suggests businesses are adding AI tools to existing software platforms rather than replacing them, benefiting ServiceNow. Why ServiceNow Rallied Today
• Positive Sentiment: Enterprise AI momentum remains a key catalyst. Reports highlighted ServiceNow’s more than $1 billion in AI annual contract value, expanding customer adoption and the potential for its AI Control Tower and agentic-AI products to create additional revenue streams. Agentic AI Adoption Boosts NOW's Growth Prospects Against MSFT & CRM
• Positive Sentiment: Technical and analyst sentiment improved. ServiceNow cleared an early buy point as disruption fears faded, while coverage cited positive price-target actions and a potential sector re-rating. ServiceNow, IBD Stock Of The Day
• Positive Sentiment: Platform integrations support monetization. Pricefx announced an integration that brings AI-powered deal optimization and sales guidance to ServiceNow workflows, reinforcing the platform’s ecosystem and enterprise-use case. Pricefx Announces Integration with ServiceNow

About ServiceNow

ServiceNow NYSE: NOW is a cloud computing company that builds enterprise software to manage digital workflows and automate business processes. Its offerings are designed to replace manual work and legacy systems with cloud-based, service-oriented applications that support IT operations, customer service, human resources, security response and other enterprise functions.

The company's flagship product family is the Now Platform, a suite of subscription software and platform services that includes IT Service Management (ITSM), IT Operations Management (ITOM), IT Business Management (ITBM), Customer Service Management (CSM), HR Service Delivery, Security Operations and Asset Management.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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