JMP Securities Reiterates "Market Outperform" Rating for ServiceNow (NYSE:NOW)

Key Points

• JMP Securities has reiterated a "Market Outperform" rating for ServiceNow (NYSE: NOW) and set a target price of $1,300.00, indicating potential upside of 40.95% from its previous close.
• ServiceNow reported a strong quarter with earnings per share of $4.09, surpassing analyst expectations of $3.57, and a revenue increase of 22.4% year-over-year, totaling $3.22 billion.
• Despite positive ratings from several analysts, including Cantor Fitzgerald and Barclays, the stock has experienced insider sales, with insiders selling nearly 6,000 shares in the last 90 days.

ServiceNow (NYSE:NOW - Get Free Report)'s stock had its "market outperform" rating reaffirmed by equities researchers at JMP Securities in a report released on Monday,Benzinga reports. They presently have a $1,300.00 target price on the information technology services provider's stock. JMP Securities' price target would indicate a potential upside of 40.95% from the company's previous close.

Other analysts also recently issued reports about the company. Cantor Fitzgerald reiterated an "overweight" rating and set a $1,200.00 price target on shares of ServiceNow in a report on Thursday, July 24th. Barclays set a $1,210.00 target price on ServiceNow in a report on Thursday, July 24th. FBN Securities raised shares of ServiceNow to a "strong-buy" rating in a research report on Wednesday, June 11th. Raymond James Financial boosted their target price on shares of ServiceNow from $1,000.00 to $1,100.00 and gave the company an "outperform" rating in a research report on Thursday, July 24th. Finally, Needham & Company LLC raised their target price on ServiceNow from $1,050.00 to $1,200.00 and gave the company a "buy" rating in a research note on Thursday, July 24th. One investment analyst has rated the stock with a sell rating, three have issued a hold rating, thirty have issued a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus price target of $1,115.20.

ServiceNow Price Performance

NYSE:NOW traded up $7.92 during mid-day trading on Monday, reaching $922.29. The stock had a trading volume of 476,440 shares, compared to its average volume of 1,683,603. ServiceNow has a 12 month low of $678.66 and a 12 month high of $1,198.09. The company has a debt-to-equity ratio of 0.14, a current ratio of 1.09 and a quick ratio of 1.09. The stock has a 50-day simple moving average of $994.89 and a two-hundred day simple moving average of $949.28. The stock has a market capitalization of $191.84 billion, a PE ratio of 115.99, a P/E/G ratio of 4.12 and a beta of 0.93.

ServiceNow (NYSE:NOW - Get Free Report) last posted its earnings results on Wednesday, July 23rd. The information technology services provider reported $4.09 earnings per share for the quarter, topping analysts' consensus estimates of $3.57 by $0.52. ServiceNow had a net margin of 13.78% and a return on equity of 18.04%. The firm had revenue of $3.22 billion for the quarter, compared to analyst estimates of $3.12 billion. During the same period in the previous year, the firm posted $3.13 EPS. The company's revenue for the quarter was up 22.4% compared to the same quarter last year. On average, equities analysts anticipate that ServiceNow will post 8.93 earnings per share for the current year.

Insider Transactions at ServiceNow

In related news, Director Lawrence Jackson sold 757 shares of ServiceNow stock in a transaction dated Tuesday, July 29th. The stock was sold at an average price of $990.50, for a total value of $749,808.50. Following the completion of the sale, the director directly owned 588 shares in the company, valued at approximately $582,414. This trade represents a 56.28% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Jacqueline P. Canney sold 145 shares of ServiceNow stock in a transaction that occurred on Friday, May 30th. The stock was sold at an average price of $1,020.00, for a total transaction of $147,900.00. Following the completion of the sale, the insider owned 3,027 shares of the company's stock, valued at $3,087,540. This represents a 4.57% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 5,990 shares of company stock valued at $6,047,567. 0.38% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On ServiceNow

A number of institutional investors and hedge funds have recently modified their holdings of NOW. Haverford Trust Co raised its stake in ServiceNow by 0.9% during the first quarter. Haverford Trust Co now owns 1,176 shares of the information technology services provider's stock valued at $936,000 after buying an additional 10 shares in the last quarter. Ascent Group LLC lifted its stake in ServiceNow by 0.5% during the first quarter. Ascent Group LLC now owns 2,045 shares of the information technology services provider's stock worth $1,628,000 after purchasing an additional 10 shares during the last quarter. Edgemoor Investment Advisors Inc. boosted its holdings in ServiceNow by 2.5% in the first quarter. Edgemoor Investment Advisors Inc. now owns 459 shares of the information technology services provider's stock worth $366,000 after purchasing an additional 11 shares during the period. Integrated Investment Consultants LLC increased its stake in ServiceNow by 2.5% during the first quarter. Integrated Investment Consultants LLC now owns 450 shares of the information technology services provider's stock valued at $358,000 after purchasing an additional 11 shares during the last quarter. Finally, one8zero8 LLC raised its holdings in shares of ServiceNow by 3.2% during the first quarter. one8zero8 LLC now owns 356 shares of the information technology services provider's stock worth $283,000 after purchasing an additional 11 shares during the period. 87.18% of the stock is currently owned by hedge funds and other institutional investors.

About ServiceNow

ServiceNow, Inc provides end to-end intelligent workflow automation platform solutions for digital businesses in the North America, Europe, the Middle East and Africa, Asia Pacific, and internationally. The company operates the Now platform for end-to-end digital transformation, artificial intelligence, machine learning, robotic process automation, process mining, performance analytics, and collaboration and development tools.

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