Pathway Capital Management LP Takes $1.95 Million Position in ServiceNow, Inc. $NOW

Key Points

• Pathway Capital Management initiated a new position in ServiceNow during the fourth quarter, buying 12,757 shares worth about $1.95 million. The stake makes ServiceNow its third-largest holding and about 25.1% of the portfolio.
• ServiceNow reported fiscal-quarter EPS of $0.97, matching estimates, while revenue of $3.77 billion slightly topped expectations and rose 22.1% year over year. Analysts expect the company to earn 2.35 EPS for the current year.
• Despite mixed market sentiment and recent price-target cuts, Wall Street remains broadly constructive on the stock, with a Moderate Buy consensus and an average target price of $144.71. The shares were down 2.7% in the article and were trading well below their 50-day and 200-day moving averages.

Pathway Capital Management LP bought a new position in shares of ServiceNow, Inc. (NYSE:NOW - Free Report) during the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm bought 12,757 shares of the information technology services provider's stock, valued at approximately $1,954,000. ServiceNow accounts for approximately 25.1% of Pathway Capital Management LP's portfolio, making the stock its 3rd largest holding.

Other hedge funds and other institutional investors have also recently bought and sold shares of the company. IAG Wealth Partners LLC grew its holdings in ServiceNow by 200.0% during the third quarter. IAG Wealth Partners LLC now owns 27 shares of the information technology services provider's stock worth $25,000 after acquiring an additional 18 shares during the period. Bogart Wealth LLC grew its holdings in ServiceNow by 93.8% during the third quarter. Bogart Wealth LLC now owns 31 shares of the information technology services provider's stock worth $29,000 after acquiring an additional 15 shares during the period. Wealth Watch Advisors INC acquired a new stake in ServiceNow during the third quarter worth about $29,000. Texas Capital Bancshares Inc TX purchased a new position in ServiceNow during the third quarter worth approximately $37,000. Finally, Ameriflex Group Inc. boosted its position in 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 in the last quarter. 87.18% of the stock is owned by institutional investors and hedge funds.

ServiceNow Stock Down 2.7%

NOW opened at $89.03 on Wednesday. The business has a 50 day moving average price of $101.80 and a two-hundred day moving average price of $130.69. The company has a quick ratio of 0.84, a current ratio of 0.84 and a debt-to-equity ratio of 0.13. The company has a market cap of $91.79 billion, a PE ratio of 53.06, a P/E/G ratio of 1.62 and a beta of 0.82. ServiceNow, Inc. has a 52 week low of $81.24 and a 52 week high of $211.48.

ServiceNow (NYSE:NOW - Get Free Report) last posted its quarterly earnings data on Wednesday, April 22nd. The information technology services provider reported $0.97 EPS for the quarter, meeting the consensus estimate of $0.97. The firm had revenue of $3.77 billion during the quarter, compared to the consensus estimate of $3.75 billion. ServiceNow had a return on equity of 18.16% and a net margin of 12.59%.The firm's revenue was up 22.1% compared to the same quarter last year. During the same period in the prior year, the business earned $0.81 EPS. As a group, research analysts anticipate that ServiceNow, Inc. will post 2.35 EPS for the current year.

Wall Street Analysts Forecast Growth

A number of equities analysts have issued reports on NOW shares. JPMorgan Chase & Co. lowered their price target on ServiceNow from $195.00 to $145.00 and set an "overweight" rating on the stock in a research report on Thursday, April 23rd. The Goldman Sachs Group cut their price target on ServiceNow from $188.00 to $163.00 and set a "buy" rating for the company in a report on Thursday, April 23rd. Wells Fargo & Company decreased their target price on ServiceNow from $185.00 to $160.00 and set an "overweight" rating for the company in a report on Thursday, April 23rd. Mizuho decreased their target price on ServiceNow from $150.00 to $140.00 and set an "outperform" rating for the company in a report on Thursday, April 23rd. Finally, Royal Bank Of Canada reaffirmed an "outperform" rating and set a $121.00 price target on shares of ServiceNow in a report on Tuesday, May 5th. Two research analysts have rated the stock with a Strong Buy rating, thirty-three have given a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, ServiceNow currently has a consensus rating of "Moderate Buy" and a consensus target price of $144.71.

ServiceNow News Summary

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Boomi and ServiceNow launched a partnership around the Workflow Data Network Passport Program, which could strengthen ServiceNow’s AI and data-integration growth narrative. Boomi and ServiceNow Partner to Power Data Activation Across the Enterprise
• Positive Sentiment: Analysts remain constructive on ServiceNow, with Evercore ISI raising its price target to $150 and BMO reiterating an Outperform rating, citing strength in AI-related growth and the platform’s defensive qualities. ServiceNow (NOW) Price Target Raised as AI Growth Story Gains Strength
• Positive Sentiment: FedEx is expanding its partnership with ServiceNow, another sign that large enterprise customers are deepening usage of the platform. FedEx expands ServiceNow partnership
• Neutral Sentiment: ServiceNow also used its Knowledge 2026 conference to highlight new AI control, security, and identity offerings, underscoring product momentum but without a clear near-term financial impact. ServiceNow Seeks AI Control Role As Stock Struggles And Partnerships Grow
• Neutral Sentiment: An insider sale by Paul Fipps was disclosed, but the transaction was small and executed under a pre-arranged 10b5-1 trading plan, so it is less likely to be viewed as a major signal. SEC insider filing for Paul Fipps
• Negative Sentiment: ServiceNow plans to raise $4 billion through a bond sale, which could raise financing concerns for some investors even though the company has strong business momentum. Software Firm ServiceNow Plans to Raise $4 Billion in Bond Sale

Insiders Place Their Bets

In other ServiceNow news, Director Paul Edward Chamberlain sold 1,500 shares of the business's stock in a transaction that occurred on Thursday, February 12th. The stock was sold at an average price of $101.17, for a total transaction of $151,755.00. Following the transaction, the director owned 46,430 shares in the company, valued at approximately $4,697,323.10. The trade was a 3.13% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, insider Jacqueline P. Canney sold 8,927 shares of the company's stock in a transaction that occurred on Friday, April 24th. The stock was sold at an average price of $89.60, for a total value of $799,859.20. Following the completion of the sale, the insider owned 29,531 shares in the company, valued at approximately $2,645,977.60. This represents a 23.21% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 25,315 shares of company stock worth $2,510,682. Company insiders own 0.34% of the company's stock.

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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