ServiceNow, Inc. $NOW Shares Bought by Vestor Capital LLC

Key Points

• Vestor Capital LLC increased its ServiceNow position by 38,987.2% in the first quarter, purchasing 122,030 additional shares for a total holding of 122,343 shares valued at approximately $12.8 million.
• ServiceNow reported strong quarterly results, with revenue up 24% year over year to $3.99 billion and adjusted earnings exceeding estimates; management also raised guidance, while AI-related contract value surpassed $1 billion.
• Institutional investors own 87.18% of the stock, and analysts maintain a broadly positive outlook with a “Moderate Buy” consensus and average price target of $143.39, though valuation concerns and potential job cuts remain risks.

Vestor Capital LLC grew its holdings in ServiceNow, Inc. (NYSE:NOW - Free Report) by 38,987.2% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 122,343 shares of the information technology services provider's stock after purchasing an additional 122,030 shares during the quarter. Vestor Capital LLC's holdings in ServiceNow were worth $12,791,000 as of its most recent SEC filing.

A number of other large investors have also made changes to their positions in the stock. Covenant Asset Management LLC raised its holdings in ServiceNow by 169.2% in the 4th quarter. Covenant Asset Management LLC now owns 20,863 shares of the information technology services provider's stock valued at $3,196,000 after acquiring an additional 13,114 shares in the last quarter. Norges Bank acquired a new stake in shares of ServiceNow during the 4th quarter worth $2,020,992,000. World Investment Advisors raised its stake in ServiceNow by 411.7% in the fourth quarter. World Investment Advisors now owns 47,955 shares of the information technology services provider's stock valued at $7,346,000 after purchasing an additional 38,583 shares in the last quarter. Cohen Klingenstein LLC lifted its position in ServiceNow by 400.0% during the fourth quarter. Cohen Klingenstein LLC now owns 10,000 shares of the information technology services provider's stock worth $1,532,000 after purchasing an additional 8,000 shares during the period. Finally, Moors & Cabot Inc. grew its stake in ServiceNow by 387.7% during the fourth quarter. Moors & Cabot Inc. now owns 45,630 shares of the information technology services provider's stock worth $6,990,000 after buying an additional 36,274 shares in the last quarter. 87.18% of the stock is currently owned by hedge funds and other institutional investors.

Key ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow’s latest quarterly results showed continued momentum: revenue rose 24% year over year to approximately $4 billion, while adjusted earnings exceeded consensus expectations. Management also raised guidance, and AI-related contract value surpassed $1 billion ahead of internal targets. ServiceNow Stock Opinions on Q2 Earnings Results
• Positive Sentiment: Analysts and investors remain constructive on ServiceNow’s workflow-automation and agentic-AI opportunity. An investment analysis cited accelerating user retention, pricing power, a growing security and risk business, and a long-term target of $30 billion to $32 billion in subscription revenue by 2030. The analysis raised its fair-value estimate to $160. ServiceNow User Retention Is Accelerating
• Positive Sentiment: Dynamic Lifecycle Innovations launched a new application on the ServiceNow platform for IT asset disposition, expanding the company’s partner ecosystem and demonstrating additional use cases for its workflow technology. Dynamic Lifecycle Innovations Launches New ServiceNow App
• Neutral Sentiment: ServiceNow’s valuation remains a major debate. The stock is well below its recent highs, while the average analyst price target is around $140 and a separate survey reports a $134 median target, indicating substantial potential upside but also skepticism about how quickly AI growth will translate into results. ServiceNow Showing Signs of Life
• Negative Sentiment: ServiceNow could eliminate up to 1,000 positions this year as part of a planned “rightsizing” effort following a series of acquisitions. Reports of continuing layoffs and employee frustration may weigh on sentiment, even though the reductions could eventually improve operating efficiency and offset acquisition-related costs. ServiceNow to Cut Up to 1,000 Jobs
• Negative Sentiment: Recent insider activity has been mixed but skewed toward selling, with nine sales versus two purchases over the past six months. Several senior executives sold shares, although CEO Bill McDermott was reported to have purchased shares. This is a secondary signal, but it may reinforce cautious sentiment.

ServiceNow Price Performance

Shares of NOW opened at $110.18 on Friday. The company has a quick ratio of 0.70, a current ratio of 0.70 and a debt-to-equity ratio of 0.43. The stock has a market cap of $113.93 billion, a PE ratio of 68.86, a PEG ratio of 2.04 and a beta of 0.96. ServiceNow, Inc. has a 12-month low of $81.24 and a 12-month high of $196.40. The business has a 50-day simple moving average of $105.45 and a two-hundred day simple moving average of $106.40.

ServiceNow (NYSE:NOW - Get Free Report) last released 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 company had revenue of $3.99 billion for the quarter, compared to analysts' expectations of $3.93 billion. During the same period in the previous year, the business posted $0.81 earnings per share. The business's quarterly revenue was up 24.0% compared to the same quarter last year. Analysts anticipate that ServiceNow, Inc. will post 2.24 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

NOW has been the topic of several recent analyst reports. Evercore reissued an "outperform" rating and issued a $160.00 target price on shares of ServiceNow in a report on Thursday, July 23rd. FBN Securities decreased their price objective on shares of ServiceNow from $160.00 to $120.00 in a research note on Thursday, April 23rd. Piper Sandler restated an "overweight" rating and set a $140.00 price objective on shares of ServiceNow in a research report on Thursday, July 23rd. TD Cowen restated a "buy" rating and set a $140.00 target price on shares of ServiceNow in a research note on Friday, July 17th. Finally, KeyCorp reaffirmed an "underweight" rating on shares of ServiceNow in a report on Tuesday, July 21st. One investment analyst has rated the stock with a Strong Buy rating, thirty-six have given a Buy rating, two have assigned a Hold rating and three have issued a Sell rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $143.39.

Insiders Place Their Bets

In other ServiceNow news, insider Paul Fipps sold 1,048 shares of the business's stock in a transaction that occurred on Monday, May 18th. The shares were sold at an average price of $98.51, for a total transaction of $103,238.48. Following the sale, the insider directly owned 12,072 shares of the company's stock, valued at $1,189,212.72. The trade was a 7.99% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. 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. Also, Director Paul Edward Chamberlain sold 1,500 shares of the business's stock in a transaction on Thursday, May 14th. The stock was sold at an average price of $87.23, for a total transaction of $130,845.00. Following the completion of the sale, the director directly owned 44,930 shares in the company, valued at approximately $3,919,243.90. This represents a 3.23% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 19,144 shares of company stock valued at $1,730,097 in the last ninety days. 0.34% of the stock is currently owned by insiders.

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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