Candriam S.C.A. Purchases 572,638 Shares of ServiceNow, Inc. $NOW

Key Points

• Candriam S.C.A. increased its ServiceNow stake by 45.9%, purchasing 572,638 shares in the third quarter. It ended the quarter with 1,819,501 shares valued at about $244.7 million.
• Other major institutional investors also increased or established holdings; institutions collectively own 87.18% of ServiceNow’s stock.
• ServiceNow’s latest results showed revenue up 20.5% year over year and slightly above estimates, but earnings per share missed consensus. Investors were also concerned by the company’s 18.5% forecast for fourth-quarter current remaining performance obligations growth.

Candriam S.C.A. increased its position in ServiceNow, Inc. (NYSE:NOW - Free Report) by 45.9% in the 3rd quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 1,819,501 shares of the information technology services provider's stock after buying an additional 572,638 shares during the quarter. ServiceNow comprises approximately 1.1% of Candriam S.C.A.'s holdings, making the stock its 15th largest position. Candriam S.C.A. owned approximately 0.18% of ServiceNow worth $244,722,000 at the end of the most recent quarter.

Several other large investors have also bought and sold shares of the company. BlackRock Inc. acquired a new position in ServiceNow during the second quarter worth about $9,536,615,000. State Street Corp raised its position in ServiceNow by 2.0% in the second quarter. State Street Corp now owns 49,038,218 shares of the information technology services provider's stock worth $4,868,514,000 after acquiring an additional 979,726 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its holdings in ServiceNow by 16.6% in the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 16,638,071 shares of the information technology services provider's stock valued at $1,651,828,000 after acquiring an additional 2,362,606 shares during the last quarter. Amundi lifted its holdings in ServiceNow by 60.9% in the 1st quarter. Amundi now owns 11,479,098 shares of the information technology services provider's stock valued at $1,200,140,000 after acquiring an additional 4,346,722 shares during the last quarter. Finally, Bank of New York Mellon Corp lifted its holdings in ServiceNow by 6.5% in the 1st quarter. Bank of New York Mellon Corp now owns 8,526,931 shares of the information technology services provider's stock valued at $891,491,000 after acquiring an additional 518,263 shares during the last quarter. Institutional investors own 87.18% of the company's stock.

More ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow is broadening its agentic-AI partnership with LTM, aiming to take AI workflows to more enterprise customers. The company also highlighted deployments and selections by customers including LTM, KORE and Keysight, supporting its case that businesses are adopting its AI platform. ServiceNow expands enterprise AI partnerships
• Positive Sentiment: ServiceNow raised its AI contract-value target to $1.7 billion, and its CFO described fears that AI will disrupt the company’s business as unfounded. These points may help reassure investors about AI’s potential as a growth driver. ServiceNow Q3 earnings call highlights
• Neutral Sentiment: The NBA extended its partnership with ServiceNow, adopting EmployeeWorks for employee self-service and workplace requests. The deal adds a customer use case, though its near-term financial impact was not specified. NBA and ServiceNow extend partnership
• Negative Sentiment: Investors are focused on the outlook: despite a third-quarter revenue beat, ServiceNow’s fourth-quarter current remaining performance obligations growth forecast of 18.5% disappointed the market and prompted concerns about slowing backlog growth. The stock has fallen sharply since the report. ServiceNow outlook and AI concerns
• Negative Sentiment: ServiceNow is undertaking another round of layoffs, while third-quarter severance costs rose to $87 million from $24 million a year earlier. Separate reports that the board approved $127 million in retention awards as the company cuts jobs may also draw scrutiny over costs and priorities. ServiceNow layoffs and severance costs
• Negative Sentiment: ETFs were net sellers of $29.5 million in ServiceNow shares on Wednesday, adding a modest near-term headwind. ETF selling of ServiceNow shares

Analyst Upgrades and Downgrades

NOW has been the subject of several research reports. Royal Bank Of Canada set a $165.00 price objective on shares of ServiceNow and gave the company an "outperform" rating in a research report on Thursday, October 29th. Citigroup dropped their target price on shares of ServiceNow from $170.00 to $157.00 and set a "buy" rating on the stock in a report on Thursday, October 29th. Jefferies Financial Group set a $145.00 target price on shares of ServiceNow in a research note on Thursday, October 29th. Robert W. Baird set a $185.00 target price on shares of ServiceNow in a report on Thursday, October 29th. Finally, Truist Financial set a $150.00 price target on shares of ServiceNow and gave the stock a "buy" rating in a research report on Thursday, October 29th. One analyst has rated the stock with a Strong Buy rating, thirty-six have issued a Buy rating, three have assigned a Hold rating and three have assigned a Sell rating to the company's stock. According to MarketBeat, ServiceNow has an average rating of "Moderate Buy" and a consensus price target of $154.50.

Insider Transactions at ServiceNow

In related news, Director Paul Chamberlain sold 2,700 shares of the company's stock in a transaction that occurred on Thursday, August 27th. The shares were sold at an average price of $135.50, for a total value of $365,850.00. Following the completion of the sale, the director owned 43,990 shares in the company, valued at approximately $5,960,645. This represents a 5.78% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Paul Fipps sold 2,034 shares of the firm's stock in a transaction that occurred on Monday, August 31st. The stock was sold at an average price of $147.87, for a total transaction of $300,767.58. Following the completion of the transaction, the insider directly owned 18,305 shares of the company's stock, valued at $2,706,760.35. This represents a 10.00% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 14,081 shares of company stock valued at $1,937,904 over the last ninety days. Corporate insiders own 0.34% of the company's stock.

ServiceNow Trading Down 0.4%

NYSE:NOW opened at $101.91 on Friday. The stock has a fifty day simple moving average of $136.31 and a 200 day simple moving average of $114.81. The firm has a market capitalization of $105.78 billion, a price-to-earnings ratio of 73.32, a price-to-earnings-growth ratio of 1.99 and a beta of 1.00. ServiceNow, Inc. has a 1-year low of $81.24 and a 1-year high of $175.00. The company has a quick ratio of 0.72, a current ratio of 0.72 and a debt-to-equity ratio of 0.42.

ServiceNow (NYSE:NOW - Get Free Report) last posted its quarterly earnings data on Wednesday, October 28th. The information technology services provider reported $1.00 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.02 by ($0.02). ServiceNow had a return on equity of 15.17% and a net margin of 9.36%. The company had revenue of $4.11 billion for the quarter, compared to analyst estimates of $4.09 billion. During the same quarter in the previous year, the firm posted $4.82 EPS. ServiceNow's quarterly revenue was up 20.5% on a year-over-year basis. Sell-side analysts forecast that ServiceNow, Inc. will post 2.12 earnings per share for the current year.

ServiceNow Company Profile

ServiceNow, Inc provides cloud-based software that helps organizations manage digital workflows and automate business processes. Founded in 2004 by Fred Luddy, the company began with a focus on IT service management and has expanded its platform to support a range of enterprise operations.

Its products include tools for IT service and operations management, customer service, human resources, security, and application development. ServiceNow also offers artificial intelligence capabilities, including tools designed to help organizations automate tasks and find information across workflows.

ServiceNow serves businesses and public-sector organizations around the world.

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