ServiceNow, Inc. $NOW Shares Purchased by Railway Pension Investments Ltd

Key Points

• Railway Pension Investments Ltd boosted its ServiceNow stake by 460.2% in the fourth quarter, ending with 1,033,000 shares valued at about $158.2 million. ServiceNow now represents roughly 1.9% of the fund’s holdings.
• Institutional interest in ServiceNow remains strong overall, with major holders like Vanguard, Geode Capital, and Fisher also sharply increasing their positions. In total, 87.18% of the stock is owned by institutional investors and hedge funds.
• ServiceNow recently reported quarterly earnings of $0.97 per share, matching analyst expectations, while revenue rose 22.1% year over year to $3.77 billion. Analysts currently view the stock as a Moderate Buy with an average price target of $141.85.

Railway Pension Investments Ltd increased its position in shares of ServiceNow, Inc. (NYSE:NOW - Free Report) by 460.2% in the 4th quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 1,033,000 shares of the information technology services provider's stock after purchasing an additional 848,600 shares during the period. ServiceNow accounts for about 1.9% of Railway Pension Investments Ltd's holdings, making the stock its 25th biggest holding. Railway Pension Investments Ltd owned approximately 0.10% of ServiceNow worth $158,245,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently bought and sold shares of NOW. Vanguard Group Inc. increased its position in 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 worth $15,619,771,000 after purchasing an additional 81,752,460 shares during the last quarter. Geode Capital Management LLC increased its position in ServiceNow by 404.8% during the fourth quarter. Geode Capital Management LLC now owns 23,512,428 shares of the information technology services provider's stock worth $3,591,425,000 after purchasing an additional 18,854,775 shares during the last quarter. Norges Bank acquired a new stake in ServiceNow during the fourth quarter worth about $2,020,992,000. Fisher Asset Management LLC increased its position in ServiceNow by 404.3% during the fourth quarter. Fisher Asset Management LLC now owns 8,351,824 shares of the information technology services provider's stock worth $1,279,416,000 after purchasing an additional 6,695,802 shares during the last quarter. Finally, Jennison Associates LLC increased its position in 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 worth $1,291,758,000 after purchasing an additional 6,213,762 shares during the last quarter. 87.18% of the stock is currently owned by institutional investors and hedge funds.

ServiceNow Price Performance

Shares of NOW opened at $124.56 on Friday. ServiceNow, Inc. has a 1-year low of $81.24 and a 1-year high of $211.48. The stock has a market cap of $128.42 billion, a PE ratio of 74.23, a P/E/G ratio of 2.06 and a beta of 0.82. The firm has a 50-day simple moving average of $98.05 and a two-hundred day simple moving average of $123.74. 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 (NYSE:NOW - Get Free Report) last announced its quarterly earnings results on Wednesday, April 22nd. The information technology services provider reported $0.97 earnings per share for the quarter, meeting analysts' consensus estimates of $0.97. ServiceNow had a net margin of 12.59% and a return on equity of 18.16%. The business had revenue of $3.77 billion during the quarter, compared to analysts' expectations of $3.75 billion. During the same period last year, the business earned $0.81 earnings per share. The business's revenue for the quarter was up 22.1% on a year-over-year basis. As a group, analysts forecast that ServiceNow, Inc. will post 2.36 EPS for the current year.

Wall Street Analysts Forecast Growth

Several research firms recently issued reports on NOW. Stifel Nicolaus cut their price objective on shares of ServiceNow from $135.00 to $120.00 and set a "buy" rating for the company in a research report on Thursday, April 23rd. Citic Securities cut their price objective on shares of ServiceNow from $168.00 to $140.00 and set a "buy" rating for the company in a research report on Thursday, May 21st. Evercore raised their price objective on shares of ServiceNow from $140.00 to $150.00 and gave the stock an "outperform" rating in a research report on Tuesday, May 5th. BTIG Research restated a "buy" rating and set a $150.00 price objective on shares of ServiceNow in a research report on Monday, May 4th. Finally, Jefferies Financial Group reiterated a "buy" rating and set a $135.00 price target (down from $175.00) on shares of ServiceNow in a research report on Thursday, April 23rd. Two analysts have rated the stock with a Strong Buy rating, thirty-five have given a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of $141.85.

Key ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow is benefiting from a sector-wide rebound in software stocks after Snowflake’s strong earnings suggested AI is more of an opportunity than a threat for enterprise platforms. ServiceNow (NOW) Stock Trades Up, Here Is Why
• Positive Sentiment: Investors are also responding to ServiceNow’s expanding AI narrative, including its position as a key platform for agentic AI workflows and enterprise automation. ServiceNow's stock soars toward historic month as AI fears fade across software
• Positive Sentiment: Coverage calling ServiceNow a buy at current levels and setting a higher price target is adding to the bullish sentiment around the stock’s valuation reset. Buy, Hold, or Sell: Is This Cloud Automation Juggernaut a Steal Following Its Massive Valuation Reset?
• Positive Sentiment: Momentum from partnerships and AI-related headlines, including Wipro’s expanded ServiceNow collaboration, is reinforcing the company’s relevance in enterprise automation. Wipro stock gains 4%: can its ServiceNow tie-up drive growth?
• Neutral Sentiment: Unusually high options activity suggests traders are positioning for continued volatility in ServiceNow shares. ServiceNow Sees Unusually High Options Volume NYSE: NOW

Insider Activity at ServiceNow

In related news, Director Anita M. Sands sold 16,445 shares of ServiceNow stock in a transaction that occurred on Thursday, May 14th. The shares were sold at an average price of $90.14, for a total value of $1,482,352.30. Following the completion of the transaction, the director owned 30,090 shares in the company, valued at approximately $2,712,312.60. The trade was a 35.34% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider Paul Fipps sold 1,048 shares of ServiceNow 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 completion of the transaction, the insider owned 12,072 shares of the company's stock, valued at $1,189,212.72. This trade represents a 7.99% decrease in their position. The disclosure for this sale is available in the SEC filing. 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. Insiders have sold 28,071 shares of company stock valued at $2,529,956 in the last ninety days. Insiders own 0.34% of the company's stock.

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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