Martingale Asset Management L P Raises Stake in ServiceNow, Inc. $NOW

Key Points

• Martingale Asset Management increased its ServiceNow stake by 510.1% in the fourth quarter, ending with 92,180 shares worth about $14.1 million.
• Other large institutional investors also sharply boosted their positions, including Vanguard and Geode Capital, and overall 87.18% of ServiceNow stock is now held by hedge funds and other institutions.
• ServiceNow continues to draw positive AI-related attention: it raised its 2026 AI revenue target to $1.5 billion and announced a partnership with IBM to help enterprises modernize legacy systems and scale agentic AI.

Martingale Asset Management L P raised its stake in ServiceNow, Inc. (NYSE:NOW - Free Report) by 510.1% in the 4th quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 92,180 shares of the information technology services provider's stock after buying an additional 77,071 shares during the quarter. Martingale Asset Management L P's holdings in ServiceNow were worth $14,121,000 at the end of the most recent quarter.

Several other large investors also recently added to or reduced their stakes in NOW. Vanguard Group Inc. grew its holdings in ServiceNow by 404.5% in the 4th quarter. Vanguard Group Inc. now owns 101,963,384 shares of the information technology services provider's stock valued at $15,619,771,000 after buying an additional 81,752,460 shares in the last quarter. Geode Capital Management LLC grew its holdings in ServiceNow by 404.8% in the 4th quarter. Geode Capital Management LLC now owns 23,512,428 shares of the information technology services provider's stock valued at $3,591,425,000 after buying an additional 18,854,775 shares in the last quarter. Norges Bank purchased a new stake in ServiceNow in the 4th quarter valued at $2,020,992,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its stake in shares of ServiceNow by 417.0% in the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 14,004,910 shares of the information technology services provider's stock valued at $2,145,412,000 after purchasing an additional 11,295,806 shares during the last quarter. Finally, Capital International Investors lifted its stake in shares of ServiceNow by 396.0% in the 4th quarter. Capital International Investors now owns 10,393,373 shares of the information technology services provider's stock valued at $1,592,310,000 after purchasing an additional 8,297,818 shares during the last quarter. 87.18% of the stock is currently owned by hedge funds and other institutional investors.

ServiceNow Price Performance

NOW opened at $102.34 on Friday. The stock's 50-day moving average price is $99.80 and its 200 day moving average price is $120.05. ServiceNow, Inc. has a 12-month low of $81.24 and a 12-month high of $211.48. The company has a current ratio of 0.84, a quick ratio of 0.84 and a debt-to-equity ratio of 0.13. The firm has a market cap of $105.51 billion, a price-to-earnings ratio of 60.99, a PEG ratio of 1.70 and a beta of 0.94.

ServiceNow (NYSE:NOW - Get Free Report) last posted its earnings results on Wednesday, April 22nd. The information technology services provider reported $0.97 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.97. ServiceNow had a return on equity of 18.16% and a net margin of 12.59%.The firm had revenue of $3.77 billion for the quarter, compared to analyst estimates of $3.75 billion. During the same quarter in the prior year, the company earned $0.81 EPS. ServiceNow's revenue was up 22.1% on a year-over-year basis. As a group, sell-side analysts expect that ServiceNow, Inc. will post 2.35 earnings per share for the current year.

Analyst Upgrades and Downgrades

NOW has been the topic of several recent analyst reports. Citigroup upped their price target on ServiceNow from $154.00 to $158.00 and gave the company a "buy" rating in a research note on Thursday, April 30th. Benchmark initiated coverage on ServiceNow in a research note on Wednesday, April 1st. They issued a "buy" rating and a $125.00 price target on the stock. BMO Capital Markets decreased their price target on ServiceNow from $120.00 to $115.00 and set an "outperform" rating on the stock in a research note on Thursday, April 23rd. Bank of America initiated coverage on ServiceNow in a research note on Monday, May 18th. They issued a "buy" rating and a $130.00 price target on the stock. Finally, Oppenheimer reaffirmed an "outperform" rating on shares of ServiceNow in a research note on Tuesday, May 26th. One investment analyst has rated the stock with a Strong Buy rating, thirty-five have issued a Buy rating, five have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $141.85.

Key Stories Impacting ServiceNow

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow lifted its 2026 AI revenue target to $1.5 billion, signaling that demand for Now Assist is strong and that customers are expanding AI deployments and spending more on the platform. Can Strong Demand in Now Assist Boost ServiceNow's AI Revenue Growth?
• Positive Sentiment: IBM and ServiceNow announced a partnership aimed at helping enterprises modernize legacy IT systems and scale agentic AI, which could support longer-term adoption of ServiceNow’s workflow automation and AI tools. IBM And ServiceNow Target Enterprise AI Scale While Seeding Future Talent
• Positive Sentiment: Analysts and commentators highlighted ServiceNow as a potential AI winner in the second half of 2026, reinforcing the market’s view that the company could benefit from rising enterprise AI spending. The AI Trade Nobody Is Making Right Now -- and Why It Could Be 2026's Best Opportunity
• Neutral Sentiment: ServiceNow and IBM also drew attention for targeting legacy IT modernization, but the immediate impact on the stock is likely more strategic than near-term financial. ServiceNow, IBM team up to target legacy IT
• Negative Sentiment: The stock has also been under pressure from profit-taking and a broader selloff in software names, which has weighed on sentiment despite the company’s AI growth narrative. What's Going On With ServiceNow Stock Thursday?
• Negative Sentiment: Reports of additional Bay Area tech job cuts added to concerns about the broader enterprise software and technology labor backdrop, though this is not specific to ServiceNow’s core results. ServiceNow, Salesforce, other tech firms reveal more Bay Area job cuts

Insider Transactions at ServiceNow

In related news, Director Paul Edward Chamberlain sold 1,500 shares of the stock in a transaction dated Thursday, May 14th. The stock was sold at an average price of $87.23, for a total transaction of $130,845.00. Following the transaction, the director owned 44,930 shares of the company's stock, valued at approximately $3,919,243.90. This represents a 3.23% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Anita M. Sands sold 16,445 shares of the 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 transaction, the director directly owned 30,090 shares in the company, valued at approximately $2,712,312.60. The trade was a 35.34% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 28,071 shares of company stock worth $2,529,956 in the last 90 days. Insiders own 0.34% of the company's stock.

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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