State of Michigan Retirement System Boosts Holdings in ServiceNow, Inc. $NOW

Key Points

• State of Michigan Retirement System boosted its stake in ServiceNow by 462.7% in Q4, adding 260,320 shares to hold 316,575 shares valued at about $48.5 million.
• ServiceNow beat Q1 revenue and EPS and is accelerating AI adoption while closing the $7.75B Armis acquisition and deepening Google Cloud ties, but management cited Middle East deal delays (~75 bps headwind), acquisition costs and softer margin/guidance that spurred analyst cuts and a sector selloff.
• Insiders have been net sellers (16,237 shares sold in the last 90 days, ~$1.7M) and short interest jumped roughly 30% in April to ~38.95M shares (~3.8% of float), raising near‑term downside risk and volatility.

State of Michigan Retirement System raised its position in shares of ServiceNow, Inc. (NYSE:NOW - Free Report) by 462.7% during the fourth quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 316,575 shares of the information technology services provider's stock after acquiring an additional 260,320 shares during the period. State of Michigan Retirement System's holdings in ServiceNow were worth $48,496,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Magnus Financial Group LLC boosted its stake in shares of ServiceNow by 1.9% during the 3rd quarter. Magnus Financial Group LLC now owns 589 shares of the information technology services provider's stock worth $542,000 after purchasing an additional 11 shares during the period. Avidian Wealth Enterprises LLC grew its holdings in ServiceNow by 2.5% during the 3rd quarter. Avidian Wealth Enterprises LLC now owns 453 shares of the information technology services provider's stock valued at $417,000 after purchasing an additional 11 shares during the last quarter. Regatta Capital Group LLC raised its position in ServiceNow by 1.9% in the 3rd quarter. Regatta Capital Group LLC now owns 633 shares of the information technology services provider's stock worth $583,000 after purchasing an additional 12 shares during the period. Traveka Wealth LLC raised its position in ServiceNow by 3.8% in the 3rd quarter. Traveka Wealth LLC now owns 330 shares of the information technology services provider's stock worth $304,000 after purchasing an additional 12 shares during the period. Finally, Yoder Wealth Management Inc. lifted its stake in ServiceNow by 4.6% in the third quarter. Yoder Wealth Management Inc. now owns 272 shares of the information technology services provider's stock worth $250,000 after purchasing an additional 12 shares during the last quarter. Hedge funds and other institutional investors own 87.18% of the company's stock.

Key Headlines Impacting ServiceNow

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Company fundamentals and AI traction remain supportive — ServiceNow beat revenue/earnings views for Q1 and highlighted accelerating AI product adoption (Now Assist / AI agents) that management says will drive long‑term growth. ServiceNow Reports First Quarter 2026 Financial Results
• Positive Sentiment: Strategic moves boost the product and security stack — ServiceNow closed the $7.75B Armis acquisition (extends security capabilities) and deepened Google Cloud AI partnerships, which support cross‑sell and AI workflow positioning. Armis acquisition Google Cloud partnership
• Neutral Sentiment: Mixed analyst reactions — Several firms reaffirmed buy/overweight ratings (some even raised PTs), but many cut targets after the quarter; consensus still leaves upside from current levels, reflecting disagreement over near‑term vs. long‑term outlook. Analyst coverage
• Negative Sentiment: Geopolitical deal delays hit near‑term growth — Management said Middle East conflict delayed several large deal closings (≈75 bps revenue headwind in Q1), and that pushed investors to downgrade near‑term growth expectations. Middle East deal delays
• Negative Sentiment: Margin and guidance concerns — Investors focused on acquisition costs (Armis) and a softer margin outlook/full‑year subscription guidance that many viewed as disappointing, triggering the sector‑wide selloff. Margin/guidance coverage
• Negative Sentiment: Short interest jumped — Short interest rose ~30% in April to ~38.95M shares (~3.8% of shares), increasing potential downside pressure and volatility if bearish sentiment persists.

Insiders Place Their Bets

In related news, Director Paul Edward Chamberlain sold 1,500 shares of ServiceNow stock in a transaction dated Thursday, February 12th. The stock was sold at an average price of $101.17, for a total value of $151,755.00. Following the completion of the sale, the director directly owned 46,430 shares in the company, valued at $4,697,323.10. The trade was a 3.13% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, insider Paul Fipps sold 3,696 shares of the company's stock in a transaction dated Monday, February 23rd. The stock was sold at an average price of $101.77, for a total transaction of $376,141.92. Following the completion of the sale, the insider directly owned 8,061 shares of the company's stock, valued at approximately $820,367.97. This trade represents a 31.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 16,237 shares of company stock worth $1,697,162. 0.34% of the stock is currently owned by company insiders.

Analyst Ratings Changes

Several research analysts have issued reports on the company. Royal Bank Of Canada dropped their target price on ServiceNow from $150.00 to $121.00 and set an "outperform" rating for the company in a research report on Monday, April 13th. Citizens Jmp decreased their price target on ServiceNow from $260.00 to $157.00 and set a "market outperform" rating for the company in a research note on Thursday. Raymond James Financial dropped their price objective on ServiceNow from $160.00 to $130.00 and set an "outperform" rating for the company in a report on Thursday. KeyCorp set a $85.00 price objective on ServiceNow and gave the company an "underweight" rating in a research report on Thursday. Finally, Arete Research set a $200.00 target price on ServiceNow in a research note on Tuesday, January 6th. Two research analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $146.65.

ServiceNow Stock Performance

ServiceNow stock opened at $90.09 on Monday. The company has a debt-to-equity ratio of 0.13, a quick ratio of 0.84 and a current ratio of 0.84. The company has a market capitalization of $92.88 billion, a PE ratio of 53.69, a P/E/G ratio of 1.53 and a beta of 1.01. The company has a 50 day moving average price of $104.84 and a 200-day moving average price of $137.19. ServiceNow, Inc. has a fifty-two week low of $81.24 and a fifty-two week high of $211.48.

ServiceNow (NYSE:NOW - Get Free Report) last announced its quarterly earnings data on Wednesday, April 22nd. The information technology services provider reported $0.97 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.97. The company had revenue of $3.77 billion for the quarter, compared to analysts' expectations of $3.75 billion. ServiceNow had a return on equity of 18.16% and a net margin of 12.59%.ServiceNow's revenue was up 22.1% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.81 earnings per share. As a group, equities analysts forecast that ServiceNow, Inc. will post 2.47 earnings per share for the current year.

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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