ServiceNow, Inc. $NOW Shares Sold by Dimensional Fund Advisors LP

Key Points

• Dimensional Fund Advisors LP trimmed its ServiceNow stake by 3.2% in the first quarter, selling 52,266 shares and ending with 1.56 million shares valued at about $163 million.
• ServiceNow reported a strong Q2 earnings beat, with EPS of $0.90 versus $0.86 expected and revenue of $3.99 billion, up 24% year over year.
• Analysts remain broadly positive after the results, with the stock carrying a Moderate Buy consensus and an average price target of $143.39, while management also highlighted continued AI momentum and raised guidance.

Dimensional Fund Advisors LP lowered its position in shares of ServiceNow, Inc. (NYSE:NOW - Free Report) by 3.2% during the 1st quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 1,558,708 shares of the information technology services provider's stock after selling 52,266 shares during the quarter. Dimensional Fund Advisors LP owned about 0.15% of ServiceNow worth $162,981,000 at the end of the most recent quarter.

A number of other large investors also recently bought and sold shares of NOW. Balefire LLC raised its position in shares of ServiceNow by 22.3% during the 1st quarter. Balefire LLC now owns 2,551 shares of the information technology services provider's stock valued at $267,000 after acquiring an additional 465 shares in the last quarter. Ironwood Investment Counsel LLC acquired a new position in ServiceNow in the first quarter worth $2,399,000. Pacific Wealth Strategies Group Inc. boosted its holdings in ServiceNow by 90.4% in the first quarter. Pacific Wealth Strategies Group Inc. now owns 4,065 shares of the information technology services provider's stock worth $425,000 after purchasing an additional 1,930 shares during the period. Little House Capital LLC increased its stake in ServiceNow by 47.7% during the first quarter. Little House Capital LLC now owns 16,303 shares of the information technology services provider's stock valued at $1,704,000 after purchasing an additional 5,268 shares during the last quarter. Finally, True North Advisors LLC increased its stake in ServiceNow by 12.1% during the first quarter. True North Advisors LLC now owns 3,105 shares of the information technology services provider's stock valued at $325,000 after purchasing an additional 335 shares during the last quarter. Institutional investors own 87.18% of the company's stock.

More ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow’s Q2 results showed robust growth, with revenue up about 24% year over year and subscription revenue accelerating, reinforcing that demand for its platform remains strong. Article Title
• Positive Sentiment: Management raised guidance and highlighted AI momentum, including AI contract value topping $1 billion and expanding enterprise adoption, which supports the case for continued growth. Article Title
• Positive Sentiment: Several analysts raised or reaffirmed bullish ratings and price targets after earnings, reflecting renewed confidence in ServiceNow’s outlook and valuation upside. Article Title
• Positive Sentiment: New partnerships and channel expansions, including deals with Experian, TeamViewer, and Exclusive Networks, suggest broader adoption of ServiceNow’s AI and cybersecurity offerings. Article Title
• Neutral Sentiment: Investors are also watching mixed signals from insider and institutional trading, with some large funds trimming positions even as others add shares; this appears more like portfolio rebalancing than a clear fundamental warning. Article Title
• Negative Sentiment: Despite the earnings beat, some commentary says the stock’s rally may be vulnerable if AI disruption fears return, especially around usage-based pricing and long-term software demand. Article Title

Insider Activity

In other news, Director Anita M. Sands sold 16,445 shares of the company's stock in a transaction dated Thursday, May 14th. The stock was sold at an average price of $90.14, for a total value of $1,482,352.30. Following the transaction, the director owned 30,090 shares in the company, valued at $2,712,312.60. This represents a 35.34% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Paul Fipps sold 1,048 shares of the 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 approximately $1,189,212.72. The trade was a 7.99% 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. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 19,144 shares of company stock worth $1,730,097 over the last 90 days. 0.34% of the stock is owned by company insiders.

Wall Street Analysts Forecast Growth

A number of equities analysts have issued reports on the stock. Mizuho cut their target price on shares of ServiceNow from $150.00 to $140.00 and set an "outperform" rating on the stock in a report on Thursday, April 23rd. Robert W. Baird upped their target price on ServiceNow from $118.00 to $125.00 and gave the company an "outperform" rating in a report on Thursday. Wells Fargo & Company dropped their price target on ServiceNow from $185.00 to $160.00 and set an "overweight" rating on the stock in a research report on Thursday, April 23rd. Royal Bank Of Canada reiterated an "outperform" rating and set a $130.00 price target on shares of ServiceNow in a research report on Thursday. Finally, Citizens Jmp reissued a "market outperform" rating and issued a $157.00 price target on shares of ServiceNow in a report on Tuesday, May 5th. One equities research analyst has rated the stock with a Strong Buy rating, thirty-six have issued a Buy rating, two have assigned a Hold rating and three have issued a Sell rating to the company. According to MarketBeat.com, ServiceNow currently has a consensus rating of "Moderate Buy" and an average target price of $143.39.

ServiceNow Trading Up 7.4%

ServiceNow stock opened at $98.77 on Friday. ServiceNow, Inc. has a 12-month low of $81.24 and a 12-month high of $201.15. The company has a debt-to-equity ratio of 0.43, a current ratio of 0.70 and a quick ratio of 0.84. The stock has a market capitalization of $101.83 billion, a PE ratio of 61.73, a price-to-earnings-growth ratio of 1.65 and a beta of 0.96. The firm has a 50 day simple moving average of $104.77 and a 200-day simple moving average of $107.70.

ServiceNow (NYSE:NOW - Get Free Report) last released its earnings results on Wednesday, July 22nd. The information technology services provider reported $0.90 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.86 by $0.04. The firm had revenue of $3.99 billion for the quarter, compared to analyst estimates of $3.93 billion. ServiceNow had a return on equity of 16.45% and a net margin of 11.34%.ServiceNow's revenue was up 24.0% compared to the same quarter last year. During the same period in the previous year, the company earned $0.81 earnings per share. As a group, equities research analysts expect that ServiceNow, Inc. will post 2.33 EPS for the current fiscal year.

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.

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.