Heritage Investors Management Corp Has $20.39 Million Holdings in ServiceNow, Inc. $NOW

Key Points

• Heritage Investors Management Corp increased its ServiceNow stake by 9.3% in the first quarter, ending with 195,076 shares worth about $20.4 million.
• Guggenheim upgraded ServiceNow to Buy with a $125 price target, saying concerns about AI disruption may be overdone and that recent weakness has made the stock more attractive.
• ServiceNow is also leaning into AI, announcing a joint initiative with Accenture to modernize enterprise risk management using agentic AI, while analysts continue to note the stock’s premium valuation and upcoming July 22 earnings report.

Heritage Investors Management Corp grew its position in ServiceNow, Inc. (NYSE:NOW - Free Report) by 9.3% in the first quarter, according to its most recent filing with the SEC. The fund owned 195,076 shares of the information technology services provider's stock after acquiring an additional 16,565 shares during the period. Heritage Investors Management Corp's holdings in ServiceNow were worth $20,395,000 as of its most recent filing with the SEC.

Several other hedge funds also recently modified their holdings of NOW. Wealth Watch Advisors INC bought a new position in ServiceNow in the third quarter valued at about $29,000. Texas Capital Bancshares Inc TX acquired a new stake in shares of ServiceNow during the third quarter valued at about $37,000. Ameriflex Group Inc. grew its holdings in shares of ServiceNow by 187.5% during the third quarter. Ameriflex Group Inc. now owns 46 shares of the information technology services provider's stock worth $42,000 after purchasing an additional 30 shares during the last quarter. Kelleher Financial Advisors bought a new stake in shares of ServiceNow during the third quarter worth about $50,000. Finally, Pin Oak Investment Advisors Inc. increased its stake in shares of ServiceNow by 20.7% in the third quarter. Pin Oak Investment Advisors Inc. now owns 134 shares of the information technology services provider's stock valued at $123,000 after buying an additional 23 shares during the period. Institutional investors and hedge funds own 87.18% of the company's stock.

Key ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Guggenheim upgraded ServiceNow to Buy from Neutral and set a $125 price target, arguing that fears about AI disruption have likely gone too far and that the stock now looks attractively valued after a steep selloff. Article title: ServiceNow (NOW) Rating Upgraded by Guggenheim to Buy from Neutral
• Positive Sentiment: Multiple follow-up reports said the upgrade helped lift ServiceNow shares, with Guggenheim’s view that recent weakness created a buying opportunity for software investors. Article title: Guggenheim Sees 45%+ Upside After Upgrading Salesforce, ServiceNow, Check Point
• Positive Sentiment: ServiceNow also announced a joint initiative with Accenture to modernize enterprise risk management using agentic AI, reinforcing the company’s positioning as an AI workflow and security platform rather than an AI casualty. Article title: Accenture (ACN), ServiceNow (NOW) Launch Joint Initiative to Modernize Enterprise Risk Management With Agentic AI
• Neutral Sentiment: Several analysts and commentary pieces noted that ServiceNow still trades at a premium valuation, so while growth and enterprise AI adoption remain supportive, investors are being reminded that the stock is not cheap. Article title: ServiceNow Trades at Premium Valuation: How to Play the Stock
• Neutral Sentiment: ServiceNow said it will report second-quarter 2026 results on July 22, which keeps attention on whether growth and margins can hold up after the recent volatility. Article title: ServiceNow to Announce Second Quarter 2026 Financial Results on July 22
• Negative Sentiment: Bearish articles continued to highlight risks from AI disruption, slower large-deal closures, acquisition-related margin pressure, and premium valuation, all of which could limit upside if execution disappoints. Article title: ServiceNow Stock Plunges 50% — Why NOW Stock Is a Buy Here

Insider Activity

In other ServiceNow news, insider Paul Fipps sold 1,048 shares of the stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $98.51, for a total transaction of $103,238.48. Following the completion of the sale, the insider directly owned 12,072 shares in the company, valued at approximately $1,189,212.72. This trade represents a 7.99% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Anita M. Sands sold 16,445 shares of ServiceNow stock in a transaction dated Thursday, May 14th. The stock was sold at an average price of $90.14, for a total value of $1,482,352.30. Following the completion of the transaction, the director directly owned 30,090 shares of the company's stock, valued at approximately $2,712,312.60. This trade represents a 35.34% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 28,071 shares of company stock worth $2,529,956 over the last ninety days. Corporate insiders own 0.34% of the company's stock.

Analyst Upgrades and Downgrades

NOW has been the subject of a number of research reports. Barclays reiterated an "overweight" rating and issued a $134.00 price objective (up from $132.00) on shares of ServiceNow in a report on Tuesday, May 5th. Mizuho decreased their price target on shares of ServiceNow from $150.00 to $140.00 and set an "outperform" rating for the company in a research report on Thursday, April 23rd. Piper Sandler dropped their price target on shares of ServiceNow from $200.00 to $140.00 and set an "overweight" rating for the company in a research note on Thursday, April 23rd. Needham & Company LLC reiterated a "buy" rating and set a $115.00 price target on shares of ServiceNow in a report on Tuesday, May 5th. Finally, Jefferies Financial Group reissued a "buy" rating and issued a $135.00 price objective (down from $175.00) on shares of ServiceNow in a research note on Thursday, April 23rd. One investment analyst has rated the stock with a Strong Buy rating, thirty-six have issued a Buy rating, four have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $141.68.

ServiceNow Stock Performance

Shares of NOW stock opened at $106.06 on Friday. The company has a debt-to-equity ratio of 0.13, a current ratio of 0.84 and a quick ratio of 0.84. ServiceNow, Inc. has a one year low of $81.24 and a one year high of $211.48. The business's 50 day simple moving average is $100.47 and its 200 day simple moving average is $112.93. The stock has a market capitalization of $109.34 billion, a PE ratio of 63.20, a PEG ratio of 1.76 and a beta of 0.96.

ServiceNow (NYSE:NOW - Get Free Report) last issued its quarterly earnings results on Wednesday, April 22nd. The information technology services provider reported $0.97 earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of $0.97. ServiceNow had a net margin of 12.59% and a return on equity of 18.16%. The firm had revenue of $3.77 billion for the quarter, compared to the consensus estimate of $3.75 billion. During the same quarter in the previous year, the company earned $0.81 EPS. The company's revenue for the quarter was up 22.1% on a year-over-year basis. As a group, research analysts forecast that ServiceNow, Inc. will post 2.34 earnings per share for the current year.

ServiceNow 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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