Sapient Capital LLC Boosts Holdings in ServiceNow, Inc. $NOW

Key Points

• Sapient Capital LLC dramatically increased its ServiceNow stake in the fourth quarter, boosting holdings by 1,754.5% to 21,865 shares worth about $3.37 million.
• Institutional investors broadly added to ServiceNow, with firms like Vanguard, Jennison, Nordea, Pictet, and Swedbank also sharply raising positions; institutions now own 87.18% of the stock.
• ServiceNow reported solid quarterly results, matching EPS estimates at $0.97 and topping revenue expectations at $3.77 billion, with revenue up 22.1% year over year despite recent stock weakness and lowered price targets from some analysts.

Sapient Capital LLC grew its position in shares of ServiceNow, Inc. (NYSE:NOW - Free Report) by 1,754.5% during the fourth quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 21,865 shares of the information technology services provider's stock after purchasing an additional 20,686 shares during the period. Sapient Capital LLC's holdings in ServiceNow were worth $3,372,000 as of its most recent SEC filing.

A number of other hedge funds also recently made changes to their positions in NOW. Vanguard Group Inc. raised its stake in shares of ServiceNow by 404.5% during the fourth 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 purchasing an additional 81,752,460 shares during the period. Jennison Associates LLC raised its stake in shares of ServiceNow by 280.1% during the fourth quarter. Jennison Associates LLC now owns 8,432,389 shares of the information technology services provider's stock valued at $1,291,758,000 after purchasing an additional 6,213,762 shares during the period. Nordea Investment Management AB raised its stake in shares of ServiceNow by 388.7% during the fourth quarter. Nordea Investment Management AB now owns 4,706,164 shares of the information technology services provider's stock valued at $720,325,000 after purchasing an additional 3,743,087 shares during the period. Pictet Asset Management Holding SA raised its stake in shares of ServiceNow by 613.4% during the fourth quarter. Pictet Asset Management Holding SA now owns 3,840,262 shares of the information technology services provider's stock valued at $588,326,000 after purchasing an additional 3,301,962 shares during the period. Finally, Swedbank AB raised its stake in shares of ServiceNow by 326.9% during the fourth quarter. Swedbank AB now owns 3,415,650 shares of the information technology services provider's stock valued at $523,243,000 after purchasing an additional 2,615,500 shares during the period. Hedge funds and other institutional investors own 87.18% of the company's stock.

ServiceNow Stock Performance

ServiceNow stock opened at $95.15 on Monday. The company has a market cap of $98.10 billion, a PE ratio of 56.71, a P/E/G ratio of 1.61 and a beta of 0.82. The company has a fifty day moving average price of $100.52 and a two-hundred day moving average price of $128.64. 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 12 month low of $81.24 and a 12 month high of $211.48.

ServiceNow (NYSE:NOW - Get Free Report) last released its quarterly earnings data on Wednesday, April 22nd. The information technology services provider reported $0.97 EPS for the quarter, hitting analysts' consensus estimates 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 net margin of 12.59% and a return on equity of 18.16%. The firm's revenue was up 22.1% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.81 earnings per share. Research analysts expect that ServiceNow, Inc. will post 2.35 earnings per share for the current year.

Wall Street Analyst Weigh In

A number of analysts have recently issued reports on the stock. Stifel Nicolaus dropped their price objective on shares of ServiceNow from $135.00 to $120.00 and set a "buy" rating on the stock in a research note on Thursday, April 23rd. Benchmark began coverage on shares of ServiceNow in a research report on Wednesday, April 1st. They set a "buy" rating and a $125.00 price target for the company. Wells Fargo & Company decreased their price target on shares of ServiceNow from $185.00 to $160.00 and set an "overweight" rating for the company in a research report on Thursday, April 23rd. DA Davidson reissued a "buy" rating and set a $190.00 price target on shares of ServiceNow in a research report on Tuesday, May 5th. Finally, Oppenheimer set a $130.00 price target on shares of ServiceNow and gave the stock an "outperform" rating in a research report on Wednesday, April 15th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, ServiceNow has an average rating of "Moderate Buy" and an average target price of $144.71.

Insiders Place Their Bets

In other ServiceNow news, insider Jacqueline P. Canney sold 8,927 shares of ServiceNow stock in a transaction on Friday, April 24th. The shares were sold at an average price of $89.60, for a total value of $799,859.20. Following the completion of the transaction, the insider owned 29,531 shares of the company's stock, valued at $2,645,977.60. The trade was a 23.21% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this link. Also, insider Paul Fipps sold 9,641 shares of ServiceNow stock in a transaction on Wednesday, February 18th. The stock was sold at an average price of $105.93, for a total transaction of $1,021,271.13. Following the completion of the transaction, the insider directly owned 11,757 shares of the company's stock, valued at approximately $1,245,419.01. This represents a 45.06% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 22,415 shares of company stock valued at $2,210,933. 0.34% of the stock is currently owned by corporate insiders.

ServiceNow News Summary

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow and Experian announced a new multi-year global partnership to embed autonomous AI capabilities into workflows such as employee onboarding and third-party risk management, which could deepen platform adoption and expand use cases. Experian Partners With ServiceNow to Scale Trusted Decisioning to Agentic AI
• Positive Sentiment: ServiceNow also expanded AI and automation partnerships with Accenture and FedEx Dataworks, signaling stronger enterprise demand for its workflow platform and potential conversion of pilot projects into full production deployments. ServiceNow AI Partnerships Aim To Turn Pilot Projects Into Core Workflows
• Positive Sentiment: The company completed a $4 billion multi-tranche debt offering, which should improve financing flexibility even though it increases leverage. ServiceNow Completes $4 Billion Multi-Tranche Debt Offering
• Neutral Sentiment: Commentary from analysts highlights ServiceNow’s expanding customer base, 22% subscription revenue growth, and strong remaining performance obligations visibility, reinforcing expectations for continued top-line growth. Can an Expanding Clientele Boost ServiceNow's Top-Line Growth?
• Negative Sentiment: Some market coverage and options activity suggest the stock has been under pressure recently, reflecting lingering concerns about valuation and post-earnings weakness. See ServiceNow Stock Heading Lower? This Trade Profits From Further Downside.

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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