HighTower Advisors LLC Sells 198,271 Shares of ServiceNow, Inc. $NOW

Key Points

• HighTower Advisors cut its ServiceNow stake by 27.4% in the second quarter, selling 198,271 shares and retaining 525,128 shares worth approximately $52.1 million. Institutional investors collectively own 87.18% of the company.
• ServiceNow reported quarterly revenue of $3.99 billion, up 24% year over year, and adjusted earnings of $0.90 per share, exceeding analyst expectations of $0.86.
• Analysts remain broadly bullish, with a consensus “Moderate Buy” rating and an average price target of $144.24, while company insiders sold 14,081 shares worth about $1.94 million during the latest quarter.

HighTower Advisors LLC reduced its holdings in ServiceNow, Inc. (NYSE:NOW - Free Report) by 27.4% during the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 525,128 shares of the information technology services provider's stock after selling 198,271 shares during the period. HighTower Advisors LLC owned 0.05% of ServiceNow worth $52,135,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Florida Financial Advisors LLC increased its stake in shares of ServiceNow by 5.4% in the 2nd quarter. Florida Financial Advisors LLC now owns 273 shares of the information technology services provider's stock worth $280,000 after purchasing an additional 14 shares in the last quarter. Clark Capital Management Group Inc. lifted its position in ServiceNow by 3.6% during the third quarter. Clark Capital Management Group Inc. now owns 514 shares of the information technology services provider's stock valued at $473,000 after purchasing an additional 18 shares in the last quarter. American Trust lifted its position in ServiceNow by 1.8% during the third quarter. American Trust now owns 1,029 shares of the information technology services provider's stock valued at $947,000 after purchasing an additional 18 shares in the last quarter. Morse Asset Management Inc grew its holdings in ServiceNow by 0.5% during the second quarter. Morse Asset Management Inc now owns 3,488 shares of the information technology services provider's stock valued at $3,586,000 after purchasing an additional 19 shares during the period. Finally, CYBER HORNET ETFs LLC increased its position in ServiceNow by 3.7% in the third quarter. CYBER HORNET ETFs LLC now owns 567 shares of the information technology services provider's stock worth $522,000 after buying an additional 20 shares in the last quarter. 87.18% of the stock is owned by institutional investors.

ServiceNow Trading Up 0.0%

Shares of NOW opened at $141.31 on Tuesday. The company has a debt-to-equity ratio of 0.43, a current ratio of 0.70 and a quick ratio of 0.70. ServiceNow, Inc. has a 1 year low of $81.24 and a 1 year high of $194.73. The company has a 50 day simple moving average of $118.03 and a two-hundred day simple moving average of $108.20. The firm has a market cap of $146.11 billion, a P/E ratio of 88.32, a price-to-earnings-growth ratio of 2.57 and a beta of 0.97.

ServiceNow (NYSE:NOW - Get Free Report) last released its earnings results on Wednesday, July 22nd. The information technology services provider reported $0.90 EPS for the quarter, topping the consensus estimate of $0.86 by $0.04. The firm had revenue of $3.99 billion for the quarter, compared to the consensus estimate of $3.93 billion. ServiceNow had a net margin of 11.34% and a return on equity of 16.45%. The company's quarterly revenue was up 24.0% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.81 earnings per share. On average, equities analysts expect that ServiceNow, Inc. will post 2.24 earnings per share for the current fiscal year.

Insider Buying and Selling at ServiceNow

In other ServiceNow news, insider Paul Fipps sold 2,034 shares of ServiceNow stock in a transaction that occurred on Monday, August 31st. The stock was sold at an average price of $147.87, for a total value of $300,767.58. Following the sale, the insider owned 18,305 shares of the company's stock, valued at $2,706,760.35. The trade was a 10.00% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, Director Paul Chamberlain sold 2,700 shares of the 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 transaction, the director owned 43,990 shares of the company's stock, valued at $5,960,645. This represents a 5.78% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 14,081 shares of company stock worth $1,937,904 in the last quarter. 0.34% of the stock is owned by corporate insiders.

Wall Street Analyst Weigh In

NOW has been the topic of a number of analyst reports. UBS Group set a $248.00 price objective on ServiceNow in a research report on Thursday, July 23rd. Cantor Fitzgerald raised their target price on shares of ServiceNow from $122.00 to $141.00 and gave the stock an "overweight" rating in a research note on Monday, July 20th. DA Davidson set a $170.00 price target on shares of ServiceNow and gave the company a "buy" rating in a report on Monday, July 20th. The Goldman Sachs Group reiterated a "buy" rating on shares of ServiceNow in a research report on Monday, August 3rd. Finally, Sanford C. Bernstein reissued an "outperform" rating and issued a $248.00 price objective (up from $236.00) on shares of ServiceNow in a research note on Thursday, July 23rd. One investment analyst has rated the stock with a Strong Buy rating, thirty-six have assigned a Buy rating, three have assigned a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $144.24.

About ServiceNow

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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