Xcel Wealth Management LLC Has $3.25 Million Stake in ServiceNow, Inc. $NOW

Key Points

• Xcel Wealth Management boosted its stake in ServiceNow by 368.2% in Q4 to 21,210 shares worth $3.249 million, part of a broader trend of institutional buying that leaves 87.18% of the stock held by institutions.
• Sentiment is mixed: ServiceNow shows momentum from AI demand, a modest quarterly beat and geographic expansion, but numerous analysts have cut price targets and negative "SaaSpocalypse" narratives are adding selling pressure.
• Shares trade near $96 (12‑month range $81–$211) with a MarketBeat consensus of Moderate Buy and an average price target around $173, while insiders have sold roughly 16,237 shares in the past 90 days.

Xcel Wealth Management LLC lifted its position in ServiceNow, Inc. (NYSE:NOW - Free Report) by 368.2% in the fourth quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 21,210 shares of the information technology services provider's stock after purchasing an additional 16,680 shares during the quarter. ServiceNow accounts for 0.8% of Xcel Wealth Management LLC's portfolio, making the stock its 27th largest position. Xcel Wealth Management LLC's holdings in ServiceNow were worth $3,249,000 at the end of the most recent reporting period.

A number of other large investors have also modified their holdings of NOW. Cohen Klingenstein LLC raised its stake 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 acquiring an additional 8,000 shares in the last quarter. Sumitomo Mitsui Trust Group Inc. raised its stake in ServiceNow by 385.9% during the fourth quarter. Sumitomo Mitsui Trust Group Inc. now owns 2,599,397 shares of the information technology services provider's stock worth $398,202,000 after acquiring an additional 2,064,440 shares in the last quarter. Focus Financial Network Inc. raised its stake in ServiceNow by 286.1% during the fourth quarter. Focus Financial Network Inc. now owns 53,650 shares of the information technology services provider's stock worth $8,219,000 after acquiring an additional 39,756 shares in the last quarter. Natural Investments LLC raised its stake in ServiceNow by 332.0% during the fourth quarter. Natural Investments LLC now owns 16,453 shares of the information technology services provider's stock worth $2,520,000 after acquiring an additional 12,644 shares in the last quarter. Finally, Telos Capital Management Inc. raised its stake in ServiceNow by 706.0% during the fourth quarter. Telos Capital Management Inc. now owns 50,940 shares of the information technology services provider's stock worth $7,803,000 after acquiring an additional 44,620 shares in the last quarter. 87.18% of the stock is currently owned by institutional investors and hedge funds.

ServiceNow News Summary

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Momentum/upside drivers: market risk‑on, bullish media commentary and AI demand expectations that have helped lift the stock despite prior weakness. Analysts and commentators cite early signs of AI-driven demand and a modest expected Q1 beat, and Jim Cramer said the name "can go higher." ServiceNow Seen Delivering Modest Q1 Beat Jim Cramer on ServiceNow
• Positive Sentiment: Product/partner news: ComplianceCow announced an integration with ServiceNow’s Integrated Risk Management to automate continuous control monitoring — a small but direct enterprise-sales and ecosystem signal for GRC/AI use cases. ComplianceCow Integration
• Positive Sentiment: Geographic expansion: ServiceNow expanded AI Workflow Hub infrastructure in Brazil with new data centers as it targets enterprise adoption in Latin America — supports longer‑term revenue growth prospects outside the U.S. Brazil expansion article
• Neutral Sentiment: Sector context: Q4 reviews and sector commentary compare ServiceNow to automation/enterprise peers; useful for relative valuation but not company‑specific catalysts. Automation Software Q4 Review
• Negative Sentiment: Big headwinds — multiple analysts cut price targets today and this week (HSBC to $171, Deutsche Bank to $135, Capital One to $113, TD Cowen to $140, Robert W. Baird to $125, BMO to $120, Citi previously trimmed targets). While many firms left positive ratings, the cuts signal lower near‑term expectations and add selling pressure. HSBC target cut Deutsche Bank target cut Capital One target cut
• Negative Sentiment: Negative narratives gaining traction: pieces arguing ServiceNow is a main victim of a broader "SaaSpocalypse" or "death of software" / "AI seat contraction" narratives increase investor skepticism on growth sustainability and justify multiple compression. Seeking Alpha SaaSpocalypse MSN narrative piece

Analyst Upgrades and Downgrades

NOW has been the subject of several recent analyst reports. Citigroup reiterated a "buy" rating and set a $177.00 price objective (down from $237.00) on shares of ServiceNow in a research note on Wednesday. Cantor Fitzgerald reiterated an "overweight" rating and set a $200.00 price objective on shares of ServiceNow in a research note on Thursday, January 29th. Weiss Ratings reiterated a "hold (c)" rating on shares of ServiceNow in a research note on Thursday, January 22nd. Macquarie Infrastructure dropped their price objective on ServiceNow from $172.00 to $140.00 and set a "neutral" rating for the company in a research note on Thursday, January 29th. Finally, Jefferies Financial Group dropped their price objective on ServiceNow from $230.00 to $175.00 and set a "buy" rating for the company in a research note on Friday, January 23rd. Three investment analysts have rated the stock with a Strong Buy rating, thirty-four have assigned a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, ServiceNow currently has a consensus rating of "Moderate Buy" and a consensus price target of $173.46.

Insider Activity

In other news, insider Paul Fipps sold 3,696 shares of the firm's stock in a transaction on Monday, February 23rd. The stock was sold at an average price of $101.77, for a total value of $376,141.92. Following the completion of the sale, the insider directly owned 8,061 shares in the company, valued at approximately $820,367.97. This trade represents a 31.44% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, insider Kevin Thomas Mcbride sold 1,400 shares of the firm's stock in a transaction dated Friday, February 13th. The shares were sold at an average price of $105.71, for a total value of $147,994.00. Following the completion of the transaction, the insider owned 26,314 shares in the company, valued at approximately $2,781,652.94. This represents a 5.05% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 16,237 shares of company stock worth $1,697,162. 0.34% of the stock is owned by corporate insiders.

ServiceNow Stock Performance

Shares of NYSE:NOW opened at $96.43 on Friday. ServiceNow, Inc. has a twelve month low of $81.24 and a twelve month high of $211.48. The firm has a market cap of $99.91 billion, a PE ratio of 57.81, a price-to-earnings-growth ratio of 1.58 and a beta of 1.01. The company has a debt-to-equity ratio of 0.12, a quick ratio of 1.00 and a current ratio of 1.00. The business has a fifty day moving average of $105.80 and a 200-day moving average of $141.47.

ServiceNow (NYSE:NOW - Get Free Report) last announced its earnings results on Wednesday, January 28th. The information technology services provider reported $0.92 earnings per share for the quarter, beating analysts' consensus estimates of $0.89 by $0.03. ServiceNow had a return on equity of 18.54% and a net margin of 13.16%.The company had revenue of $3.57 billion during the quarter, compared to analyst estimates of $3.53 billion. During the same period last year, the company posted $0.73 earnings per share. The firm's quarterly revenue was up 20.7% compared to the same quarter last year. On average, equities research analysts predict that ServiceNow, Inc. will post 8.93 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.

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