Lazard Asset Management LLC Raises Stock Position in ServiceNow, Inc. $NOW

Key Points

• Lazard Asset Management more than doubled its ServiceNow position in the first quarter, adding 359,854 shares to own 688,863 shares worth approximately $72 million. Institutional investors collectively own 87.18% of the company.
• ServiceNow reported quarterly earnings and revenue above analyst estimates, with revenue rising 24% year over year to $3.99 billion. The stock recently traded up 7%, supported by optimism surrounding enterprise software and AI-driven growth.
• Analysts maintain a generally positive outlook, with a consensus “Moderate Buy” rating and an average price target of $143.39, though the stock’s high valuation and potential AI-execution risks remain concerns.

Lazard Asset Management LLC lifted its holdings in ServiceNow, Inc. (NYSE:NOW - Free Report) by 109.4% during the first quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund owned 688,863 shares of the information technology services provider's stock after buying an additional 359,854 shares during the period. Lazard Asset Management LLC owned about 0.07% of ServiceNow worth $72,021,000 at the end of the most recent reporting period.

Other hedge funds have also recently made changes to their positions in the company. Florida Financial Advisors LLC grew its position in ServiceNow by 5.4% in the second quarter. Florida Financial Advisors LLC now owns 273 shares of the information technology services provider's stock worth $280,000 after acquiring an additional 14 shares in the last quarter. Clark Capital Management Group Inc. increased its stake 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 worth $473,000 after acquiring an additional 18 shares during the last quarter. American Trust raised 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 during the period. Morse Asset Management Inc raised its position 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 lifted its stake in shares of ServiceNow by 3.7% in the 3rd quarter. CYBER HORNET ETFs LLC now owns 567 shares of the information technology services provider's stock valued at $522,000 after purchasing an additional 20 shares during the last quarter. 87.18% of the stock is currently owned by hedge funds and other institutional investors.

ServiceNow News Summary

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Software-sector rebound: ServiceNow rose alongside Salesforce and Workday as investors shifted from chip stocks toward enterprise software, viewing established software vendors as potential beneficiaries of the AI spending cycle. Software stocks rebound on AI rotation
• Positive Sentiment: Growth and guidance support: Recent coverage points to accelerating revenue, subscription revenue growth of roughly 25%, and management raising its full-year outlook. ServiceNow’s latest quarterly results also exceeded consensus estimates for earnings and revenue, reinforcing the fundamental case for the stock. ServiceNow revenue growth is accelerating
• Positive Sentiment: AI partnerships and adoption: ServiceNow and TeamViewer agreed to a multiyear partnership linking TeamViewer’s remote-connectivity tools with the ServiceNow AI Platform. Experian is also expanding its use of the platform for AI-driven workflows, supporting the company’s positioning as an enterprise AI control center. ServiceNow partners with TeamViewer and expands Experian deployment
• Positive Sentiment: Analyst and valuation optimism: Coverage includes an analyst upgrade and a broadly Buy-rated brokerage consensus. Some investors argue that the year’s selloff has left NOW attractively valued relative to its AI-led growth and cross-selling potential. ServiceNow stock rises after analyst upgrade
• Neutral Sentiment: Although analyst recommendations remain favorable, coverage cautions that consensus ratings can be overly optimistic and should not be treated as a standalone buy signal. Broker recommendations for ServiceNow
• Negative Sentiment: AI-disruption concerns remain a valuation and execution risk. ServiceNow has already suffered a substantial yearly decline, and its premium multiple leaves the stock sensitive to any slowdown in growth or disappointment from agentic-AI initiatives.

ServiceNow Trading Up 7.0%

NOW opened at $105.71 on Tuesday. The stock has a market cap of $109.31 billion, a price-to-earnings ratio of 66.07, a P/E/G ratio of 1.67 and a beta of 0.96. The stock's 50 day moving average price is $104.81 and its 200-day moving average price is $107.12. ServiceNow, Inc. has a one year low of $81.24 and a one year high of $201.15. The company has a debt-to-equity ratio of 0.43, a quick ratio of 0.70 and a current ratio of 0.70.

ServiceNow (NYSE:NOW - Get Free Report) last issued its quarterly earnings results on Wednesday, July 22nd. The information technology services provider reported $0.90 earnings per share for the quarter, topping 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 firm had revenue of $3.99 billion for the quarter, compared to the consensus estimate of $3.93 billion. During the same period in the prior year, the business posted $0.81 earnings per share. The company's revenue for the quarter was up 24.0% on a year-over-year basis. On average, equities analysts forecast that ServiceNow, Inc. will post 2.33 EPS for the current year.

Insider Transactions at ServiceNow

In related news, Director Paul Edward Chamberlain sold 1,500 shares of ServiceNow stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $87.23, for a total transaction of $130,845.00. Following the completion of the sale, the director owned 44,930 shares in the company, valued at $3,919,243.90. This trade represents a 3.23% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Paul Fipps sold 1,048 shares of the business's stock in a transaction dated Monday, May 18th. The shares were 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 of the company's stock, valued at approximately $1,189,212.72. This trade represents a 7.99% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 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. Over the last ninety days, insiders have sold 19,144 shares of company stock worth $1,730,097. Insiders own 0.34% of the company's stock.

Analyst Upgrades and Downgrades

NOW has been the subject of a number of recent research reports. Piper Sandler reiterated an "overweight" rating and issued a $140.00 target price on shares of ServiceNow in a report on Thursday, July 23rd. Stifel Nicolaus decreased their price target on ServiceNow from $135.00 to $120.00 and set a "buy" rating on the stock in a report on Thursday, April 23rd. Royal Bank Of Canada restated an "outperform" rating and issued a $130.00 price target on shares of ServiceNow in a research report on Thursday, July 23rd. Raymond James Financial dropped their price objective on shares of ServiceNow from $160.00 to $130.00 and set an "outperform" rating for the company in a research note on Thursday, April 23rd. Finally, BMO Capital Markets boosted their price objective on shares of ServiceNow from $115.00 to $118.00 and gave the company an "outperform" rating in a research report on Thursday, July 23rd. One equities research analyst has rated the stock with a Strong Buy rating, thirty-six have assigned a Buy rating, two have assigned a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat.com, ServiceNow currently has an average rating of "Moderate Buy" and an average target price of $143.39.

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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