Clarus Wealth Advisors Buys Shares of 18,912 ServiceNow, Inc. $NOW

Key Points

• Clarus Wealth Advisors opened a new ServiceNow position by purchasing 18,912 shares valued at approximately $2.04 million in the second quarter. Institutional investors collectively own 87.18% of the company.
• ServiceNow reported stronger-than-expected quarterly results, with EPS of $0.90 and revenue of $3.99 billion, up 24% year over year. AI-related contracts exceeding $1 billion are supporting investor sentiment and the company’s growth outlook.
• Analysts maintain a “Moderate Buy” consensus, but recent insider selling, software-sector volatility and geopolitical market pressures remain risks. The stock opened at $142.69, with a consensus price target of $144.24.

Clarus Wealth Advisors purchased a new position in ServiceNow, Inc. (NYSE:NOW - Free Report) in the second quarter, according to the company in its most recent Form 13F filing with the SEC. The fund purchased 18,912 shares of the information technology services provider's stock, valued at approximately $2,038,000.

A number of other institutional investors have also recently made changes to their positions in the stock. Brighton Jones LLC lifted its holdings in shares of ServiceNow by 1.1% during the 4th quarter. Brighton Jones LLC now owns 2,753 shares of the information technology services provider's stock worth $2,919,000 after acquiring an additional 30 shares during the last quarter. Sivia Capital Partners LLC increased its stake in ServiceNow by 4.2% in the second quarter. Sivia Capital Partners LLC now owns 837 shares of the information technology services provider's stock valued at $861,000 after acquiring an additional 34 shares during the last quarter. United Bank increased its stake in ServiceNow by 15.5% in the second quarter. United Bank now owns 1,519 shares of the information technology services provider's stock valued at $1,562,000 after acquiring an additional 204 shares during the last quarter. Riggs Asset Managment Co. Inc. increased its stake in 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 valued at $1,976,000 after acquiring an additional 42 shares during the last quarter. Finally, Nebula Research & Development LLC raised its position in 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. Institutional investors own 87.18% of the company's stock.

ServiceNow News Summary

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Investor sentiment is supported by reports that ServiceNow’s AI-related contracts have surpassed $1 billion. The company’s latest quarterly results also exceeded expectations, with EPS of $0.90 versus the $0.86 consensus and revenue of $3.99 billion versus $3.93 billion expected; revenue increased 24% year over year. ServiceNow Stock Surges Nearly 5% as AI Revenue Reaches $1 Billion Benchmark
• Positive Sentiment: A rebound in software stocks is helping ServiceNow. Recent enterprise-software earnings have eased concerns that generative AI will displace traditional applications, instead suggesting that AI may increase demand for automation and workflow tools. The SaaSpocalypse Trade Is Cracking
• Neutral Sentiment: Analysts remain moderately optimistic despite ServiceNow’s weaker performance than some software peers. Comparisons with Salesforce, UiPath and Fujitsu emphasize NOW’s strong enterprise position, while noting that competition and the profitability of agentic AI adoption remain important risks. ServiceNow Stock Performance Compared With Peers
• Negative Sentiment: Several insiders have recently sold shares. Director Paul Edward Chamberlain sold 2,700 shares for about $365,850, while executives Jacqueline Canney and Paul Fipps sold approximately $1.08 million and $301,000, respectively. Canney’s transaction was conducted under a pre-arranged Rule 10b5-1 plan, which reduces its significance as a discretionary bearish signal, but the cluster of sales may still weigh on sentiment. SEC Insider Filing
• Negative Sentiment: Escalating geopolitical tensions and overall market weakness have pressured software stocks, creating a near-term headwind for NOW despite its company-specific AI catalysts. ServiceNow Stock Slips

Insider Buying and Selling at ServiceNow

In other news, insider Paul Fipps sold 2,034 shares of the firm's stock in a transaction that occurred on Monday, August 31st. The shares were sold at an average price of $147.87, for a total value of $300,767.58. Following the transaction, the insider owned 18,305 shares in the company, valued at approximately $2,706,760.35. This trade represents a 10.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Jacqueline P. Canney sold 7,847 shares of the company's stock in a transaction on Friday, August 28th. The shares were sold at an average price of $138.00, for a total transaction of $1,082,886.00. Following the sale, the insider owned 30,042 shares of the company's stock, valued at $4,145,796. This represents a 20.71% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 14,081 shares of company stock worth $1,937,904. 0.34% of the stock is currently owned by insiders.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently issued reports on NOW shares. Morgan Stanley set a $180.00 price objective on ServiceNow in a report on Tuesday, July 21st. JPMorgan Chase & Co. raised 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. Sanford C. Bernstein restated an "outperform" rating and issued a $248.00 target price (up from $236.00) on shares of ServiceNow in a research report on Thursday, July 23rd. Wells Fargo & Company reaffirmed an "overweight" rating and issued a $175.00 target price (up from $160.00) on shares of ServiceNow in a research note on Wednesday, August 12th. Finally, Oppenheimer reiterated an "outperform" rating and set a $140.00 price target (up from $130.00) on shares of ServiceNow in a research report on Wednesday, July 15th. One investment 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 issued a Sell rating to the company. Based on data from MarketBeat, ServiceNow presently has an average rating of "Moderate Buy" and a consensus price target of $144.24.

ServiceNow Stock Down 3.6%

NOW opened at $142.69 on Wednesday. ServiceNow, Inc. has a 12 month low of $81.24 and a 12 month high of $194.73. The company has a current ratio of 0.70, a quick ratio of 0.70 and a debt-to-equity ratio of 0.43. The business's 50-day moving average price is $114.37 and its 200-day moving average price is $107.20. The company has a market cap of $147.54 billion, a P/E ratio of 89.18, a P/E/G ratio of 2.60 and a beta of 0.97.

ServiceNow (NYSE:NOW - Get Free Report) last issued its earnings results on Wednesday, July 22nd. The information technology services provider reported $0.90 earnings per share for the quarter, beating the consensus estimate 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 during the quarter, compared to analysts' expectations of $3.93 billion. During the same period in the prior year, the business posted $0.81 EPS. ServiceNow's quarterly revenue was up 24.0% compared to the same quarter last year. On average, equities analysts expect that ServiceNow, Inc. will post 2.24 EPS 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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