Benchmark Investment Advisors LLC Acquires Shares of 18,475 ServiceNow, Inc. $NOW

Key Points

• Benchmark Investment Advisors initiated a ServiceNow position by purchasing 18,475 shares worth approximately $1.83 million in the second quarter. Institutional investors collectively own 87.18% of the company.
• ServiceNow reported quarterly EPS of $0.90 versus estimates of $0.86, while revenue rose 24% year over year to $3.99 billion. Its expanded partnership with Tech Mahindra and generally bullish analyst outlook reflect continued confidence in its enterprise AI growth prospects.
• Despite strong momentum, ServiceNow trades at a premium valuation, with a P/E ratio of 80.46, while investors remain alert to competition from AI-native automation platforms and potential profit-taking after the stock’s post-earnings advance.

Benchmark Investment Advisors LLC bought a new position in ServiceNow, Inc. (NYSE:NOW - Free Report) during the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor bought 18,475 shares of the information technology services provider's stock, valued at approximately $1,834,000.

Several other large investors have also recently modified their holdings of NOW. Brighton Jones LLC boosted its stake in ServiceNow by 1.1% during the 4th quarter. Brighton Jones LLC now owns 2,753 shares of the information technology services provider's stock valued at $2,919,000 after purchasing an additional 30 shares during the last quarter. Sivia Capital Partners LLC raised its stake in shares of ServiceNow by 4.2% in the second quarter. Sivia Capital Partners LLC now owns 837 shares of the information technology services provider's stock worth $861,000 after purchasing an additional 34 shares during the last quarter. United Bank raised its stake in shares of ServiceNow by 15.5% in the second quarter. United Bank now owns 1,519 shares of the information technology services provider's stock worth $1,562,000 after purchasing an additional 204 shares during the last quarter. Riggs Asset Managment Co. Inc. raised its stake in shares of ServiceNow by 2.2% in the second quarter. Riggs Asset Managment Co. Inc. now owns 1,922 shares of the information technology services provider's stock worth $1,976,000 after purchasing an additional 42 shares during the last quarter. Finally, Nebula Research & Development LLC lifted its holdings in shares of ServiceNow by 205.1% during the second quarter. Nebula Research & Development LLC now owns 906 shares of the information technology services provider's stock valued at $931,000 after purchasing an additional 609 shares in the last quarter. Hedge funds and other institutional investors own 87.18% of the company's stock.

Key Headlines Impacting ServiceNow

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow expanded its multi-year partnership with Tech Mahindra to help enterprises move AI projects from pilot programs into production. The “Client Zero” approach combines ServiceNow’s AI platform with Tech Mahindra’s industry expertise, potentially increasing adoption, automation revenue and measurable customer outcomes. Tech Mahindra and ServiceNow Expand Partnership to Deliver Production-Ready Enterprise AI at Scale
• Positive Sentiment: Bank of America raised its ServiceNow price target to $150, citing the company’s positioning to monetize artificial intelligence as concerns about AI disruption to traditional software fade. The move contributed to broader bullish sentiment across software stocks. Bank of America Increases ServiceNow Price Target to $150
• Positive Sentiment: ServiceNow has gained substantially since its latest earnings report, which beat estimates on both adjusted earnings and revenue. Quarterly revenue increased 24% year over year, reinforcing the view that the company remains a leading enterprise AI and workflow platform. ServiceNow Up 41.1% Since Last Earnings Report
• Positive Sentiment: ServiceNow was also selected as a CNBC “Final Trade,” providing additional visibility and signaling continued support from some professional investors. Final Trades: ServiceNow, Vertex and Uber
• Neutral Sentiment: Despite the favorable company news, midday AI buying has been concentrated in government-facing companies such as Palantir and BigBear.ai rather than enterprise software, limiting near-term upside for NOW. How Are Traders Picking the Software Winners?
• Negative Sentiment: Investors continue to monitor competitive threats from newer AI-native automation platforms, including Serval, as well as ServiceNow’s premium valuation. Those concerns may encourage profit-taking after the stock’s sharp post-earnings advance. Serval Wants To Replace ServiceNow With AI That Builds Enterprise Automation

ServiceNow Price Performance

NYSE NOW opened at $128.73 on Friday. The company has a 50-day moving average price of $108.88 and a 200-day moving average price of $105.74. ServiceNow, Inc. has a 52 week low of $81.24 and a 52 week high of $194.73. 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 firm has a market capitalization of $133.11 billion, a P/E ratio of 80.46, a PEG ratio of 2.26 and a beta of 0.94.

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

Insider Buying and Selling

In related news, Director Paul Edward Chamberlain sold 1,500 shares of the firm's stock in a transaction on Thursday, August 13th. The stock was sold at an average price of $125.60, for a total value of $188,400.00. Following the transaction, the director directly owned 46,690 shares of the company's stock, valued at approximately $5,864,264. This trade represents a 3.11% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 0.34% of the company's stock.

Wall Street Analysts Forecast Growth

Several research firms recently commented on NOW. Evercore reaffirmed an "outperform" rating and set a $160.00 price objective on shares of ServiceNow in a research report on Thursday, July 23rd. Capital One Financial boosted their target price on ServiceNow from $105.00 to $120.00 and gave the stock an "overweight" rating in a research report on Tuesday, May 5th. UBS Group set a $248.00 target price on shares of ServiceNow in a research note on Thursday, July 23rd. Cantor Fitzgerald raised their price target on shares of ServiceNow from $122.00 to $141.00 and gave the company an "overweight" rating in a report on Monday, July 20th. Finally, KeyCorp reiterated an "underweight" rating on shares of ServiceNow in a research note on Tuesday, July 21st. 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 two have assigned a Sell rating to the stock. According to MarketBeat, ServiceNow has an average rating of "Moderate Buy" and an average 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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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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