Bank of New York Mellon Corp Acquires 518,263 Shares of ServiceNow, Inc. $NOW

Key Points

• Bank of New York Mellon increased its ServiceNow stake by 6.5% in the first quarter, adding 518,263 shares and bringing its holding to 8.53 million shares worth about $891.5 million.
• ServiceNow reported Q1 earnings of $0.97 per share, matching estimates, while revenue rose 22.1% year over year to $3.77 billion and slightly beat forecasts.
• Analysts remain mostly positive on the stock, with several price-target hikes and a consensus Moderate Buy rating, though some recent reports note mixed near-term sentiment and broader software-sector weakness.

Bank of New York Mellon Corp lifted its stake in ServiceNow, Inc. (NYSE:NOW - Free Report) by 6.5% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 8,526,931 shares of the information technology services provider's stock after acquiring an additional 518,263 shares during the period. Bank of New York Mellon Corp owned approximately 0.83% of ServiceNow worth $891,491,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also bought and sold shares of the stock. Florida Financial Advisors LLC lifted its position in shares of ServiceNow by 5.4% in the 2nd quarter. Florida Financial Advisors LLC now owns 273 shares of the information technology services provider's stock worth $280,000 after acquiring an additional 14 shares during the period. First Affirmative Financial Network increased its position in shares of ServiceNow by 1.7% during the third quarter. First Affirmative Financial Network now owns 892 shares of the information technology services provider's stock valued at $821,000 after purchasing an additional 15 shares during the period. Opes Wealth Management LLC raised its stake in shares of ServiceNow by 3.5% in the third quarter. Opes Wealth Management LLC now owns 507 shares of the information technology services provider's stock valued at $467,000 after purchasing an additional 17 shares in the last quarter. Clark Capital Management Group Inc. raised its stake in shares of ServiceNow by 3.6% in the third quarter. Clark Capital Management Group Inc. now owns 514 shares of the information technology services provider's stock valued at $473,000 after purchasing an additional 18 shares in the last quarter. Finally, American Trust lifted its position in ServiceNow by 1.8% in the third quarter. American Trust now owns 1,029 shares of the information technology services provider's stock worth $947,000 after purchasing an additional 18 shares during the period. Institutional investors own 87.18% of the company's stock.

ServiceNow Stock Down 0.1%

NYSE NOW opened at $104.78 on Thursday. The stock's 50 day simple moving average is $103.52 and its 200 day simple moving average is $109.98. ServiceNow, Inc. has a one year low of $81.24 and a one year high of $210.20. The firm has a market cap of $108.03 billion, a PE ratio of 62.44, a price-to-earnings-growth ratio of 1.74 and a beta of 0.96. The company has a debt-to-equity ratio of 0.13, a current ratio of 0.84 and a quick ratio of 0.84.

ServiceNow (NYSE:NOW - Get Free Report) last issued its quarterly earnings data on Wednesday, April 22nd. The information technology services provider reported $0.97 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.97. The firm had revenue of $3.77 billion during the quarter, compared to the consensus estimate of $3.75 billion. ServiceNow had a return on equity of 18.16% and a net margin of 12.59%.The business's revenue for the quarter was up 22.1% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.81 EPS. As a group, sell-side analysts forecast that ServiceNow, Inc. will post 2.34 earnings per share for the current fiscal year.

Key Stories Impacting ServiceNow

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: BNP Paribas said ServiceNow has a “constructive setup” for Q2 results, pointing to conservative guidance and improving demand — including healthier federal demand — that could set up an earnings beat. ServiceNow offers 'constructive setup' going into Q2 results, BNP says
• Positive Sentiment: UBS raised its price target on NOW to $115 and kept a neutral rating, saying demand trends appear stable and implying some upside from current levels. UBS price target raise
• Positive Sentiment: Several commentary pieces argue the market may be too pessimistic on ServiceNow, with some analysts framing AI as an opportunity rather than a threat and noting the company is raising its AI monetization targets. ServiceNow (NOW) Is Raising Its AI Targets As Investors Shift Toward Software
• Neutral Sentiment: Some pre-earnings notes say ServiceNow may not have the “right combination” for a clear beat, so expectations remain cautious heading into next week’s report. ServiceNow (NOW) Earnings Expected to Grow
• Negative Sentiment: NOW was also dragged lower by a broader software selloff after IBM warned that clients are shifting spending toward servers and cybersecurity, which raised concerns across enterprise software stocks. IBM Plunge Triggers Tech Stock Selloff After Revenue Miss Warning

Insiders Place Their Bets

In related news, Director Paul Edward Chamberlain sold 1,500 shares of the company's stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $87.23, for a total transaction of $130,845.00. Following the transaction, the director owned 44,930 shares in the company, valued at $3,919,243.90. This represents a 3.23% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Paul Fipps sold 1,048 shares of the stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $98.51, for a total transaction of $103,238.48. Following the sale, the insider directly owned 12,072 shares in the company, valued at approximately $1,189,212.72. This represents a 7.99% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last ninety days, insiders sold 28,071 shares of company stock valued at $2,529,956. 0.34% of the stock is owned by corporate insiders.

Analyst Ratings Changes

Several brokerages have issued reports on NOW. Oppenheimer reissued an "outperform" rating and issued a $140.00 price target (up from $130.00) on shares of ServiceNow in a report on Wednesday. TD Cowen reaffirmed a "buy" rating and set a $140.00 price objective on shares of ServiceNow in a report on Thursday, April 23rd. BTIG Research reiterated a "buy" rating and set a $150.00 target price on shares of ServiceNow in a research report on Monday, June 29th. Wells Fargo & Company lowered their target price on shares of ServiceNow from $185.00 to $160.00 and set an "overweight" rating on the stock in a research note on Thursday, April 23rd. Finally, Argus dropped their price target on shares of ServiceNow from $180.00 to $134.00 and set a "buy" rating for the company in a research report on Friday, April 24th. One equities research analyst has rated the stock with a Strong Buy rating, thirty-five have given a Buy rating, four have assigned a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, ServiceNow presently has a consensus rating of "Moderate Buy" and an average price target of $140.80.

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.

Want to see what other hedge funds are holding NOW? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for ServiceNow, Inc. (NYSE:NOW - Free Report).

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.