Gabelli Funds LLC Reduces Position in ServiceNow, Inc. $NOW

Key Points

• Gabelli Funds LLC reduced its position in ServiceNow, Inc. by 18.6%, having sold 7,990 shares in the 1st quarter, leaving it with 35,078 shares valued at approximately $27.9 million.
• Multiple analysts upgraded their ratings on ServiceNow, with Citigroup raising its price target from $1,160 to $1,234, thus indicating a positive sentiment towards the company's future performance.
• In its latest quarterly report, ServiceNow achieved a 22.4% year-over-year revenue growth, with reported earnings significantly exceeding analyst expectations.

Gabelli Funds LLC cut its stake in shares of ServiceNow, Inc. (NYSE:NOW - Free Report) by 18.6% in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund owned 35,078 shares of the information technology services provider's stock after selling 7,990 shares during the period. Gabelli Funds LLC's holdings in ServiceNow were worth $27,927,000 as of its most recent SEC filing.

A number of other hedge funds have also added to or reduced their stakes in the stock. FORA Capital LLC raised its stake in ServiceNow by 139.7% during the 1st quarter. FORA Capital LLC now owns 14,953 shares of the information technology services provider's stock valued at $11,905,000 after buying an additional 8,716 shares during the last quarter. Avalon Global Asset Management LLC grew its position in shares of ServiceNow by 1.6% during the 1st quarter. Avalon Global Asset Management LLC now owns 25,920 shares of the information technology services provider's stock valued at $20,636,000 after acquiring an additional 420 shares during the period. Caisse DE Depot ET Placement DU Quebec grew its position in shares of ServiceNow by 24.1% during the 1st quarter. Caisse DE Depot ET Placement DU Quebec now owns 143,843 shares of the information technology services provider's stock valued at $114,519,000 after acquiring an additional 27,935 shares during the period. Taikang Asset Management Hong Kong Co Ltd grew its position in shares of ServiceNow by 98.6% during the 1st quarter. Taikang Asset Management Hong Kong Co Ltd now owns 3,575 shares of the information technology services provider's stock valued at $2,846,000 after acquiring an additional 1,775 shares during the period. Finally, Thematics Asset Management grew its position in shares of ServiceNow by 14.6% during the 1st quarter. Thematics Asset Management now owns 78,116 shares of the information technology services provider's stock valued at $62,191,000 after acquiring an additional 9,925 shares during the period. 87.18% of the stock is currently owned by hedge funds and other institutional investors.

Insider Buying and Selling

In other ServiceNow news, CFO Gina Mastantuono sold 1,762 shares of ServiceNow stock in a transaction on Monday, August 18th. The shares were sold at an average price of $866.45, for a total value of $1,526,684.90. Following the sale, the chief financial officer directly owned 12,228 shares in the company, valued at approximately $10,594,950.60. The trade was a 12.59% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Jacqueline P. Canney sold 1,562 shares of ServiceNow stock in a transaction on Monday, August 18th. The shares were sold at an average price of $866.45, for a total transaction of $1,353,394.90. Following the completion of the sale, the insider owned 3,027 shares in the company, valued at approximately $2,622,744.15. This represents a 34.04% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 12,302 shares of company stock worth $10,956,796 in the last 90 days. 0.38% of the stock is owned by company insiders.

ServiceNow Price Performance

NYSE NOW traded down $10.12 on Friday, reaching $918.49. The company had a trading volume of 1,881,767 shares, compared to its average volume of 1,914,586. The company has a quick ratio of 1.09, a current ratio of 1.09 and a debt-to-equity ratio of 0.14. The stock has a market capitalization of $191.04 billion, a PE ratio of 115.68, a price-to-earnings-growth ratio of 4.19 and a beta of 0.93. The firm's 50 day moving average price is $945.88 and its 200 day moving average price is $925.54. ServiceNow, Inc. has a 12 month low of $678.66 and a 12 month high of $1,198.09.

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

Analyst Ratings Changes

A number of equities research analysts have recently issued reports on the stock. Oppenheimer reissued an "outperform" rating and set a $1,150.00 price objective (up previously from $1,100.00) on shares of ServiceNow in a research report on Thursday, July 24th. Piper Sandler boosted their price objective on shares of ServiceNow from $1,120.00 to $1,150.00 and gave the company an "overweight" rating in a research report on Thursday, July 24th. Barclays set a $1,210.00 price objective on shares of ServiceNow in a research report on Thursday, July 24th. FBN Securities upgraded shares of ServiceNow to a "strong-buy" rating in a research report on Wednesday, June 11th. Finally, Erste Group Bank restated a "hold" rating on shares of ServiceNow in a research report on Wednesday, July 23rd. One investment analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average price target of $1,115.20.

About ServiceNow

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.