ServiceNow, Inc. $NOW Shares Sold by Argent Capital Management LLC

Key Points

• Argent Capital Management cut its ServiceNow stake by 46.3% in the first quarter, selling 127,470 shares and retaining 148,085 shares valued at approximately $15.5 million.
• ServiceNow reported a quarterly earnings beat, with revenue of $3.99 billion—up 24% year over year—and raised its full-year revenue outlook. Management also cited more than $1 billion in AI-related contract value.
• Wall Street remains broadly positive, with a “Moderate Buy” consensus and an average price target of $143.39, though reported plans to eliminate up to 1,000 jobs and a bearish $72 target highlight execution and valuation risks.

Argent Capital Management LLC lessened its holdings in shares of ServiceNow, Inc. (NYSE:NOW - Free Report) by 46.3% during the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 148,085 shares of the information technology services provider's stock after selling 127,470 shares during the period. Argent Capital Management LLC's holdings in ServiceNow were worth $15,482,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors and hedge funds have also recently bought and sold shares of the company. Brighton Jones LLC grew its stake in shares of ServiceNow by 1.1% in the 4th quarter. Brighton Jones LLC now owns 2,753 shares of the information technology services provider's stock worth $2,919,000 after purchasing an additional 30 shares during the last quarter. Sivia Capital Partners LLC boosted its holdings in ServiceNow by 4.2% during the second quarter. Sivia Capital Partners LLC now owns 837 shares of the information technology services provider's stock worth $861,000 after buying an additional 34 shares in the last quarter. United Bank boosted its holdings in ServiceNow by 15.5% during the second quarter. United Bank now owns 1,519 shares of the information technology services provider's stock worth $1,562,000 after buying an additional 204 shares in the last quarter. Riggs Asset Managment Co. Inc. grew its position in ServiceNow by 2.2% in the second quarter. Riggs Asset Managment Co. Inc. now owns 1,922 shares of the information technology services provider's stock worth $1,976,000 after buying an additional 42 shares during the last quarter. Finally, Nebula Research & Development LLC increased its holdings in shares of ServiceNow by 205.1% in the second quarter. Nebula Research & Development LLC now owns 906 shares of the information technology services provider's stock valued at $931,000 after buying an additional 609 shares in the last quarter. Institutional investors own 87.18% of the company's stock.

Key Stories Impacting ServiceNow

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

ServiceNow Stock Performance

Shares of NOW opened at $111.57 on Friday. The firm has a market cap of $115.36 billion, a price-to-earnings ratio of 69.73, a price-to-earnings-growth ratio of 1.94 and a beta of 0.96. The company's fifty day moving average is $105.64 and its 200-day moving average is $106.43. The company has a quick ratio of 0.70, a current ratio of 0.70 and a debt-to-equity ratio of 0.43. ServiceNow, Inc. has a 12 month low of $81.24 and a 12 month high of $196.40.

ServiceNow (NYSE:NOW - Get Free Report) last announced its quarterly earnings results on Wednesday, July 22nd. The information technology services provider reported $0.90 earnings per share for the quarter, topping analysts' consensus estimates of $0.86 by $0.04. The company had revenue of $3.99 billion during the quarter, compared to analysts' expectations of $3.93 billion. ServiceNow had a return on equity of 16.45% and a net margin of 11.34%.The business's quarterly revenue was up 24.0% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.81 earnings per share. Equities analysts expect that ServiceNow, Inc. will post 2.24 EPS for the current fiscal year.

Insider Buying and Selling at ServiceNow

In other news, insider Paul Fipps sold 1,048 shares of the company's 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 transaction, the insider directly owned 12,072 shares in the company, valued at $1,189,212.72. The trade was a 7.99% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 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 transaction, the director directly owned 44,930 shares in the company, valued at $3,919,243.90. This trade represents a 3.23% 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. Insiders sold 19,144 shares of company stock worth $1,730,097 over the last ninety days. Company insiders own 0.34% of the company's stock.

Wall Street Analysts Forecast Growth

A number of equities analysts recently weighed in on NOW shares. Mizuho decreased their price target on ServiceNow from $150.00 to $140.00 and set an "outperform" rating for the company in a research report on Thursday, April 23rd. Argus reduced their price objective on shares of ServiceNow from $180.00 to $134.00 and set a "buy" rating for the company in a research note on Friday, April 24th. Capital One Financial raised their target price on shares of ServiceNow from $105.00 to $120.00 and gave the stock an "overweight" rating in a report on Tuesday, May 5th. CLSA began coverage on shares of ServiceNow in a research report on Monday, July 20th. They issued an "underperform" rating and a $72.00 target price on the stock. Finally, Morgan Stanley set a $180.00 price target on shares of ServiceNow in a report on Tuesday, July 21st. One 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 an average rating of "Moderate Buy" and a consensus price target of $143.39.

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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