Diversified Enterprises LLC Invests $454,000 in ServiceNow, Inc. $NOW

Key Points

• Diversified Enterprises LLC invested approximately $454,000 in ServiceNow, acquiring 442 shares in the second quarter, according to their 13F filing with the SEC.
• ServiceNow's Q2 earnings exceeded expectations with an EPS of $4.09, significantly above the consensus estimate of $3.57, and their revenue grew 22.4% year-over-year to $3.22 billion.
• Several analysts have increased their price targets for ServiceNow, with Citigroup raising it to $1,234.00 and giving the stock a "buy" rating, reflecting positive market sentiment.

Diversified Enterprises LLC acquired a new position in ServiceNow, Inc. (NYSE:NOW - Free Report) during the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor acquired 442 shares of the information technology services provider's stock, valued at approximately $454,000.

Several other large investors have also recently added to or reduced their stakes in the company. Bogart Wealth LLC raised its holdings in ServiceNow by 113.3% in the first quarter. Bogart Wealth LLC now owns 32 shares of the information technology services provider's stock valued at $25,000 after acquiring an additional 17 shares in the last quarter. Graybill Wealth Management LTD. acquired a new stake in ServiceNow in the first quarter worth about $26,000. WASHINGTON TRUST Co lifted its stake in ServiceNow by 620.0% in the 1st quarter. WASHINGTON TRUST Co now owns 36 shares of the information technology services provider's stock valued at $29,000 after acquiring an additional 31 shares in the last quarter. Global X Japan Co. Ltd. bought a new stake in ServiceNow in the 2nd quarter valued at $30,000. Finally, Dagco Inc. acquired a new stake in ServiceNow in the first quarter valued at about $33,000. 87.18% of the stock is owned by hedge funds and other institutional investors.

ServiceNow Stock Performance

Shares of ServiceNow stock opened at $936.76 on Friday. The company has a current ratio of 1.09, a quick ratio of 1.09 and a debt-to-equity ratio of 0.14. ServiceNow, Inc. has a 12 month low of $678.66 and a 12 month high of $1,198.09. The firm has a market cap of $194.85 billion, a P/E ratio of 117.98, a P/E/G ratio of 4.22 and a beta of 0.91. The stock's fifty day moving average price is $919.74 and its 200-day moving average price is $926.99.

ServiceNow (NYSE:NOW - Get Free Report) last announced its quarterly earnings results on Wednesday, July 23rd. The information technology services provider reported $4.09 EPS for the quarter, beating the consensus estimate of $3.57 by $0.52. The business had revenue of $3.22 billion for the quarter, compared to analyst estimates of $3.12 billion. ServiceNow had a return on equity of 18.04% and a net margin of 13.78%.The company's quarterly revenue was up 22.4% on a year-over-year basis. During the same quarter in the prior year, the company posted $3.13 EPS. On average, equities research analysts expect that ServiceNow, Inc. will post 8.93 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently commented on the company. Citigroup lifted their target price on ServiceNow from $1,160.00 to $1,234.00 and gave the stock a "buy" rating in a research note on Thursday, July 24th. BMO Capital Markets raised their price target on ServiceNow from $1,150.00 to $1,160.00 and gave the stock an "outperform" rating in a research note on Thursday, July 24th. Jefferies Financial Group increased their target price on ServiceNow from $1,025.00 to $1,150.00 and gave the company a "buy" rating in a report on Thursday, July 24th. FBN Securities raised ServiceNow to a "strong-buy" rating in a research note on Wednesday, June 11th. Finally, JMP Securities restated a "market outperform" rating and issued a $1,300.00 price target on shares of ServiceNow in a research note on Monday, August 4th. One investment analyst has rated the stock with a Strong Buy rating, thirty have assigned a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $1,122.20.

Insider Activity at ServiceNow

In related news, CEO William R. Mcdermott sold 5,825 shares of the company's stock in a transaction on Thursday, August 28th. The shares were sold at an average price of $916.63, for a total value of $5,339,369.75. Following the completion of the sale, the chief executive officer owned 6,614 shares in the company, valued at $6,062,590.82. This represents a 46.83% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, insider Paul Fipps sold 1,452 shares of the firm's stock in a transaction that occurred on Wednesday, August 20th. The shares were sold at an average price of $895.05, for a total transaction of $1,299,612.60. Following the completion of the sale, the insider owned 457 shares in the company, valued at $409,037.85. This represents a 76.06% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 18,976 shares of company stock valued at $17,049,775. Corporate insiders own 0.38% of the company's stock.

ServiceNow Profile

ServiceNow, Inc provides end to-end intelligent workflow automation platform solutions for digital businesses in the North America, Europe, the Middle East and Africa, Asia Pacific, and internationally. The company operates the Now platform for end-to-end digital transformation, artificial intelligence, machine learning, robotic process automation, process mining, performance analytics, and collaboration and development tools.

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