Segall Bryant & Hamill LLC Sells 56,686 Shares of ServiceNow, Inc. $NOW

Key Points

• Segall Bryant & Hamill reduced its ServiceNow stake by 29.4%, selling 56,686 shares and retaining 135,952 shares valued at approximately $14.2 million. Institutional investors collectively own 87.18% of the company.
• ServiceNow reported quarterly revenue of $3.99 billion, up 24% year over year, and earnings of $0.90 per share, exceeding analyst expectations of $0.86. The company also raised its full-year revenue outlook and highlighted more than $1 billion in AI-related contract value.
• Analyst sentiment remains favorable, with a consensus rating of “Moderate Buy” and an average price target of $143.39, compared with the stock’s recent trading level near $111.57. However, the company faces potential workforce reductions of up to 1,000 positions and continued insider selling.

Segall Bryant & Hamill LLC lessened its holdings in ServiceNow, Inc. (NYSE:NOW - Free Report) by 29.4% during the first quarter, according to the company in its most recent disclosure with the SEC. The firm owned 135,952 shares of the information technology services provider's stock after selling 56,686 shares during the quarter. Segall Bryant & Hamill LLC's holdings in ServiceNow were worth $14,214,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also made changes to their positions in the company. Millstone Evans Group LLC increased its position in ServiceNow by 400.0% during the 4th quarter. Millstone Evans Group LLC now owns 165 shares of the information technology services provider's stock valued at $25,000 after buying an additional 132 shares in the last quarter. CBIZ Investment Advisory Services LLC boosted its holdings in ServiceNow by 540.0% in the fourth quarter. CBIZ Investment Advisory Services LLC now owns 160 shares of the information technology services provider's stock worth $25,000 after acquiring an additional 135 shares in the last quarter. Blueline Advisors LLC bought a new stake in ServiceNow in the fourth quarter worth $25,000. Measured Wealth Private Client Group LLC grew its stake in shares of ServiceNow by 560.0% in the fourth quarter. Measured Wealth Private Client Group LLC now owns 165 shares of the information technology services provider's stock worth $25,000 after acquiring an additional 140 shares during the last quarter. Finally, Wealth Watch Advisors INC grew its stake in shares of ServiceNow by 432.3% in the fourth quarter. Wealth Watch Advisors INC now owns 165 shares of the information technology services provider's stock worth $25,000 after acquiring an additional 134 shares during the last quarter. Institutional investors own 87.18% of the company's stock.

Analyst Ratings Changes

Several research firms have recently issued reports on NOW. UBS Group set a $248.00 price target on ServiceNow in a research report on Thursday, July 23rd. KeyCorp reissued an "underweight" rating on shares of ServiceNow in a research report on Tuesday, July 21st. Barclays restated an "overweight" rating and set a $134.00 price objective (up from $132.00) on shares of ServiceNow in a research note on Tuesday, May 5th. FBN Securities decreased their target price on shares of ServiceNow from $160.00 to $120.00 in a report on Thursday, April 23rd. Finally, Deutsche Bank Aktiengesellschaft decreased their target price on shares of ServiceNow from $180.00 to $135.00 and set a "buy" rating for the company in a report on Thursday, April 16th. One equities research analyst has rated the stock with a Strong Buy rating, thirty-six have assigned a Buy rating, two have issued a Hold rating and three have issued a Sell rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $143.39.

ServiceNow Trading Up 1.4%

Shares of NYSE:NOW opened at $111.57 on Friday. 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 $196.40. The company has a market cap of $115.36 billion, a P/E ratio of 69.73, a PEG ratio of 1.96 and a beta of 0.96. The stock's fifty day moving average price is $105.64 and its 200-day moving average price is $106.43.

ServiceNow (NYSE:NOW - Get Free Report) last released its quarterly earnings data 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. ServiceNow had a return on equity of 16.45% and a net margin of 11.34%.The company had revenue of $3.99 billion during the quarter, compared to the consensus estimate of $3.93 billion. During the same period last year, the company earned $0.81 EPS. ServiceNow's revenue for the quarter was up 24.0% on a year-over-year basis. Sell-side analysts expect that ServiceNow, Inc. will post 2.24 earnings per share for the current year.

ServiceNow News Roundup

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow raised its full-year revenue outlook, reinforcing confidence in continued demand for its workflow-automation platform and supporting the recent improvement in the stock. Why Shares of ServiceNow Stock Were Rising This Week
• Positive Sentiment: Second-quarter revenue rose approximately 24% year over year to about $4 billion, while adjusted earnings exceeded expectations. Management also highlighted more than $1 billion in AI-related contract value, suggesting AI agents are adding consumption-based revenue rather than simply reducing software-seat demand. ServiceNow Stock Opinions on Q2 Earnings Results
• Positive Sentiment: Analyst commentary remains constructive, with reported price targets materially above the recent trading level. One bullish analysis raised its fair-value estimate to $160, citing accelerating user retention, strong organic growth, pricing power in AI products and a long-term target of $30 billion to $32 billion in subscription revenue. ServiceNow User Retention Is Accelerating
• Neutral Sentiment: Dynamic Lifecycle Innovations launched an IT asset-disposition application on ServiceNow, adding another example of partners expanding the platform’s use cases. The announcement is strategically supportive but is unlikely to materially change near-term revenue expectations. Dynamic Lifecycle Innovations launches new ServiceNow app
• Negative Sentiment: ServiceNow could eliminate up to 1,000 positions this year as part of a post-acquisition “rightsizing” effort. The cuts may improve efficiency and margins, but reports of continuing layoffs create execution, morale and integration concerns for investors. Exclusive: ServiceNow to cut up to 1K jobs

Insider Buying and Selling at ServiceNow

In other news, Director Paul Edward Chamberlain sold 1,500 shares of the firm's 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 sale, the director owned 44,930 shares of the company's stock, valued at $3,919,243.90. This trade represents a 3.23% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Paul Fipps sold 1,048 shares of ServiceNow stock in a transaction that occurred on Monday, May 18th. The stock was sold at an average price of $98.51, for a total transaction of $103,238.48. Following the completion of the sale, the insider owned 12,072 shares of the company's stock, valued at $1,189,212.72. This represents a 7.99% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 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. In the last 90 days, insiders have sold 19,144 shares of company stock worth $1,730,097. 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.

Want to see what other hedge funds are holding NOW? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for ServiceNow, Inc. (NYSE:NOW - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.