22,000 Shares in ServiceNow, Inc. $NOW Acquired by Suvretta Capital Management LLC

Key Points

• Suvretta Capital Management acquired a new stake of 22,000 shares in ServiceNow (NYSE:NOW) in the third quarter, valued at about $20.25 million.
• Company developments are mixed: ServiceNow struck new AI partnerships aimed at regulated, mission‑critical workflows (positive), while investor letters, the CEO’s warnings about AI disruption, and sector weakness are fueling concern and valuation pressure.
• Analysts have a consensus "Moderate Buy" with a $192.06 target, institutional investors own about 87.18% of the stock, and the firm recently reported revenue up 20.7% year‑over‑year with an EPS beat.

Suvretta Capital Management LLC acquired a new stake in ServiceNow, Inc. (NYSE:NOW - Free Report) in the third quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund acquired 22,000 shares of the information technology services provider's stock, valued at approximately $20,246,000.

Several other large investors have also modified their holdings of the company. Kilter Group LLC acquired a new position in shares of ServiceNow in the 2nd quarter valued at $25,000. IAG Wealth Partners LLC boosted its stake in ServiceNow by 200.0% during the 3rd quarter. IAG Wealth Partners LLC now owns 27 shares of the information technology services provider's stock worth $25,000 after purchasing an additional 18 shares during the period. Total Investment Management Inc. purchased a new position in ServiceNow during the 2nd quarter worth $31,000. Bogart Wealth LLC increased its stake in ServiceNow by 93.8% in the third quarter. Bogart Wealth LLC now owns 31 shares of the information technology services provider's stock valued at $29,000 after purchasing an additional 15 shares during the period. Finally, Wealth Watch Advisors INC purchased a new stake in shares of ServiceNow in the third quarter valued at about $29,000. 87.18% of the stock is owned by institutional investors and hedge funds.

Key ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow announced new AI partnerships (Aiva Health, Cohesity, Prismforce) aimed at regulated, mission‑critical workflows (healthcare bedside voice AI, resilient data agents, workforce intelligence). These deals support revenue diversification into regulated verticals and bolster ServiceNow’s enterprise AI positioning. ServiceNow AI Partnerships Test Mission Critical Role In Regulated Workflows
• Positive Sentiment: A Seeking Alpha piece argues ServiceNow’s enterprise “stickiness” and embedded workflows should protect recurring revenue after AI integration, supporting a longer‑term view on retention and upsell potential. ServiceNow: Enterprise Stickiness Will Not Be Threatened After AI Integration
• Neutral Sentiment: Vendors across identity verification are moving into high‑assurance solutions—an adjacent trend that could increase demand for secure, regulated workflow platforms but also brings new competitors and standards to navigate. Vendors push deeper into high assurance identity verification
• Neutral Sentiment: Analysis highlighting Salesforce’s data moat underscores competitive pressures in enterprise workflow software—an industry context investors watch when sizing ServiceNow’s defensibility versus larger incumbents. Biel: Salesforce’s transaction data gives it real competitive protection
• Negative Sentiment: An investor letter from Emerald Wealth Partners flagged AI disruption concerns specifically hurting ServiceNow, signaling that some institutional investors are trimming exposure amid uncertainty over how AI will alter demand and margins. AI Disruption Concerns Hurt ServiceNow (NOW)
• Negative Sentiment: ServiceNow CEO Bill McDermott warned that AI agents could materially change labor markets and corporate hiring/cost dynamics—comments that reinforce investor worries about demand volatility and cost‑cutting cycles across customers. AI agents could easily send college grad unemployment over 30%, ServiceNow CEO says
• Negative Sentiment: Sector weakness showed in UiPath’s post‑earnings drop, illustrating how AI fears and execution misses can depress multiples across automation and workflow software — a headwind for ServiceNow’s valuation in the near term. UiPath Stock Drops After Earnings. Why the Software Play Can’t Outrun AI Fears.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on the stock. Guggenheim upgraded shares of ServiceNow from a "sell" rating to a "neutral" rating in a research note on Tuesday, December 16th. Wall Street Zen downgraded ServiceNow from a "buy" rating to a "hold" rating in a research note on Saturday, February 28th. Canaccord Genuity Group set a $200.00 target price on ServiceNow in a research note on Thursday, January 29th. Stifel Nicolaus set a $180.00 target price on ServiceNow and gave the company a "buy" rating in a report on Thursday, January 29th. Finally, Capital One Financial cut their price target on ServiceNow from $188.00 to $161.00 and set an "overweight" rating for the company in a research note on Friday, January 16th. Three investment analysts have rated the stock with a Strong Buy rating, thirty-one have assigned a Buy rating, six have issued a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $192.06.

Insiders Place Their Bets

In related news, Director Paul Edward Chamberlain sold 1,500 shares of the firm's stock in a transaction dated Thursday, February 12th. The shares were sold at an average price of $101.17, for a total value of $151,755.00. Following the completion of the sale, the director owned 46,430 shares in the company, valued at $4,697,323.10. This trade represents a 3.13% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Kevin Thomas Mcbride sold 1,400 shares of the business's stock in a transaction dated Friday, February 13th. The stock was sold at an average price of $105.71, for a total transaction of $147,994.00. Following the sale, the insider directly owned 26,314 shares in the company, valued at approximately $2,781,652.94. This represents a 5.05% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 16,237 shares of company stock worth $1,697,162. 0.34% of the stock is owned by corporate insiders.

ServiceNow Price Performance

Shares of NYSE:NOW opened at $113.51 on Friday. ServiceNow, Inc. has a 52 week low of $98.00 and a 52 week high of $211.48. The company has a 50-day moving average price of $119.25 and a 200 day moving average price of $155.36. The company has a market cap of $118.73 billion, a P/E ratio of 68.05, a PEG ratio of 1.91 and a beta of 0.99. The company has a quick ratio of 1.00, a current ratio of 1.00 and a debt-to-equity ratio of 0.12.

ServiceNow (NYSE:NOW - Get Free Report) last issued its earnings results on Wednesday, January 28th. The information technology services provider reported $0.92 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.89 by $0.03. The business had revenue of $3.57 billion during the quarter, compared to the consensus estimate of $3.53 billion. ServiceNow had a return on equity of 18.54% and a net margin of 13.16%.The company's revenue for the quarter was up 20.7% on a year-over-year basis. During the same period in the prior year, the business posted $0.73 EPS. Research analysts predict that ServiceNow, Inc. will post 8.93 earnings per share for the current year.

ServiceNow Company Profile

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.

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