AssuredPartners Investment Advisors LLC Takes $2.77 Million Position in ServiceNow, Inc. $NOW

Key Points

• AssuredPartners Investment Advisors acquired 27,919 ServiceNow shares in the second quarter, worth approximately $2.77 million. Institutional investors collectively own 87.18% of the company.
• ServiceNow exceeded quarterly expectations, reporting $0.90 in EPS and $3.99 billion in revenue; revenue increased 24% year over year. Analysts maintain a “Moderate Buy” consensus with an average price target of $144.24.
• ServiceNow’s outlook is supported by AI and cybersecurity opportunities, including its planned Armis acquisition, but investors still face AI-related pricing risks and acquisition-integration challenges. A director also sold 1,500 shares under a pre-arranged trading plan.

AssuredPartners Investment Advisors LLC acquired a new stake in ServiceNow, Inc. (NYSE:NOW - Free Report) in the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor acquired 27,919 shares of the information technology services provider's stock, valued at approximately $2,772,000.

A number of other large investors have also added to or reduced their stakes in NOW. Covenant Asset Management LLC grew its holdings in ServiceNow by 169.2% during the 4th quarter. Covenant Asset Management LLC now owns 20,863 shares of the information technology services provider's stock worth $3,196,000 after acquiring an additional 13,114 shares during the period. Norges Bank acquired a new position in shares of ServiceNow in the 4th quarter valued at about $2,020,992,000. World Investment Advisors boosted its position in shares of ServiceNow by 411.7% during the 4th 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 in the last quarter. Moors & Cabot Inc. boosted its position 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 purchasing an additional 36,274 shares in the last quarter. Finally, Torray Investment Partners LLC grew its stake in ServiceNow by 390.5% during the fourth quarter. Torray Investment Partners LLC now owns 40,629 shares of the information technology services provider's stock worth $6,224,000 after purchasing an additional 32,345 shares during the period. Institutional investors own 87.18% of the company's stock.

Insider Activity

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

ServiceNow Stock Performance

Shares of NOW opened at $127.22 on Thursday. 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 $107.82 and a two-hundred day moving average price of $105.49. The firm has a market capitalization of $131.54 billion, a P/E ratio of 79.51, a P/E/G ratio of 2.10 and a beta of 0.94. ServiceNow, Inc. 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. ServiceNow had a return on equity of 16.45% and a net margin of 11.34%.The company had revenue of $3.99 billion for the quarter, compared to analyst estimates of $3.93 billion. During the same quarter last year, the company earned $0.81 earnings per share. The company's revenue for the quarter was up 24.0% on a year-over-year basis. Equities analysts forecast that ServiceNow, Inc. will post 2.24 earnings per share for the current fiscal year.

ServiceNow News Roundup

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Bank of America raised its price target. BofA lifted its target from $130 to $150 and upgraded or reaffirmed the stock with a “Buy” rating, implying substantial upside from the referenced market level. Benzinga
• Positive Sentiment: Broader software-sector fears eased. Market commentary indicated that investors are moving away from the view that AI will make traditional enterprise software obsolete. This helped support ServiceNow and other major software stocks after a prolonged selloff. ServiceNow Leads a Software Rally
• Positive Sentiment: The Armis cybersecurity acquisition strengthens ServiceNow’s growth narrative. Coverage of the approximately $8 billion deal highlights its potential to expand ServiceNow’s AI-powered security platform and add preventive cyber-defense capabilities. ServiceNow Armis Acquisition
• Positive Sentiment: ServiceNow received additional bullish commentary. TD Cowen reiterated its “Buy” rating, while other analysts and market commentators pointed to the company’s recurring revenue, roughly 20%-plus growth profile and opportunities to monetize AI workflows. Why ServiceNow Stock Rallied
• Neutral Sentiment: New partnership expands the AI platform ecosystem. Tribal announced “Tribal for ServiceNow,” allowing enterprise teams to build and deploy AI agents within ServiceNow environments. The partnership may improve platform adoption, although its near-term financial impact is unclear. Tribal Partners with ServiceNow
• Negative Sentiment: AI-related business-model risks remain. Critics warn that AI could pressure per-seat software pricing if companies accomplish more work with fewer employees, potentially challenging long-term revenue growth. AI Risks to ServiceNow’s Business Model
• Negative Sentiment: Insider selling and acquisition execution risks remain overhangs. A director sold 1,500 shares under a pre-arranged Rule 10b5-1 plan, limiting its significance, while the Armis transaction creates integration and spending risks. ServiceNow Director Share Sale

Analyst Ratings Changes

A number of equities research analysts have weighed in on NOW shares. Oppenheimer reiterated an "outperform" rating and issued a $140.00 target price (up from $130.00) on shares of ServiceNow in a report on Wednesday, July 15th. JPMorgan Chase & Co. boosted their price objective on ServiceNow from $145.00 to $150.00 and gave the company an "overweight" rating in a report on Thursday, July 23rd. Raymond James Financial lowered their target price on ServiceNow from $160.00 to $130.00 and set an "outperform" rating on the stock in a research report on Thursday, April 23rd. Capital One Financial increased their target price on ServiceNow from $105.00 to $120.00 and gave the stock an "overweight" rating in a report on Tuesday, May 5th. Finally, KeyCorp reissued an "underweight" rating on shares of ServiceNow in a research report on Tuesday, July 21st. One analyst has rated the stock with a Strong Buy rating, thirty-six have assigned a Buy rating, two have issued a Hold rating and three have assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $144.24.

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.

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