Q3 Earnings Estimate for ServiceNow Issued By DA Davidson

Key Points

• DA Davidson forecasts ServiceNow's Q3 earnings at $2.50 per share, with a "Buy" rating and a price target of $1,250.00.
• ServiceNow's stock has a current market cap of $200.37 billion, with a recent share price decline of 2.8% to $968.05.
• Institutional ownership is significant, with 87.18% of the stock held by institutional investors and hedge funds.

ServiceNow, Inc. (NYSE:NOW - Free Report) - Analysts at DA Davidson issued their Q3 2025 earnings estimates for shares of ServiceNow in a research note issued on Thursday, July 24th. DA Davidson analyst G. Luria forecasts that the information technology services provider will post earnings of $2.50 per share for the quarter. DA Davidson currently has a "Buy" rating and a $1,250.00 price target on the stock. The consensus estimate for ServiceNow's current full-year earnings is $8.93 per share. DA Davidson also issued estimates for ServiceNow's FY2025 earnings at $9.63 EPS and FY2026 earnings at $11.51 EPS.

ServiceNow (NYSE:NOW - Get Free Report) last posted its quarterly earnings data on Wednesday, July 23rd. The information technology services provider reported $4.09 EPS for the quarter, topping the consensus estimate of $3.57 by $0.52. The firm had revenue of $3.22 billion during the quarter, compared to analyst estimates of $3.12 billion. ServiceNow had a net margin of 13.78% and a return on equity of 18.04%. ServiceNow's revenue was up 22.4% on a year-over-year basis. During the same quarter in the previous year, the business posted $3.13 EPS.

A number of other research analysts have also issued reports on the stock. JPMorgan Chase & Co. cut their price target on shares of ServiceNow from $1,200.00 to $970.00 and set an "overweight" rating on the stock in a research note on Tuesday, April 22nd. Stifel Nicolaus upped their price target on shares of ServiceNow from $975.00 to $1,050.00 and gave the company a "buy" rating in a research note on Tuesday, May 6th. Raymond James Financial upped their price objective on shares of ServiceNow from $1,000.00 to $1,100.00 and gave the company an "outperform" rating in a report on Thursday. Evercore ISI upped their price objective on shares of ServiceNow from $925.00 to $1,000.00 and gave the company an "outperform" rating in a report on Thursday, April 24th. Finally, Morgan Stanley reaffirmed an "equal weight" rating on shares of ServiceNow in a report on Tuesday, July 8th. One equities research analyst has rated the stock with a sell rating, four have assigned a hold rating, twenty-nine have assigned a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $1,115.20.

ServiceNow Stock Up 1.5%

Shares of NYSE NOW traded up $14.44 during trading hours on Friday, hitting $983.23. 648,922 shares of the stock were exchanged, compared to its average volume of 1,689,367. The company has a quick ratio of 1.09, a current ratio of 1.09 and a debt-to-equity ratio of 0.14. ServiceNow has a 12 month low of $678.66 and a 12 month high of $1,198.09. The company has a market cap of $203.51 billion, a PE ratio of 123.83, a PEG ratio of 4.42 and a beta of 0.94. The firm has a fifty day moving average price of $1,000.33 and a 200-day moving average price of $951.85.

Hedge Funds Weigh In On ServiceNow

Several hedge funds and other institutional investors have recently modified their holdings of the business. GAMMA Investing LLC increased its position in ServiceNow by 87,501.3% during the first quarter. GAMMA Investing LLC now owns 2,689,361 shares of the information technology services provider's stock worth $2,141,108,000 after purchasing an additional 2,686,291 shares during the last quarter. Norges Bank acquired a new stake in ServiceNow during the fourth quarter worth about $2,603,360,000. Nuveen LLC acquired a new stake in ServiceNow during the first quarter worth about $1,817,535,000. OVERSEA CHINESE BANKING Corp Ltd increased its position in ServiceNow by 1,586.5% during the first quarter. OVERSEA CHINESE BANKING Corp Ltd now owns 933,209 shares of the information technology services provider's stock worth $742,965,000 after purchasing an additional 877,875 shares during the last quarter. Finally, Goldman Sachs Group Inc. increased its position in ServiceNow by 131.4% during the first quarter. Goldman Sachs Group Inc. now owns 1,480,526 shares of the information technology services provider's stock worth $1,178,706,000 after purchasing an additional 840,731 shares during the last quarter. 87.18% of the stock is owned by hedge funds and other institutional investors.

Insider Transactions at ServiceNow

In other news, Director Anita M. Sands sold 428 shares of the firm's stock in a transaction dated Tuesday, May 27th. The shares were sold at an average price of $1,013.61, for a total value of $433,825.08. Following the transaction, the director directly owned 10,891 shares of the company's stock, valued at approximately $11,039,226.51. This trade represents a 3.78% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, Vice Chairman Nicholas Tzitzon sold 1,171 shares of the firm's stock in a transaction dated Friday, May 30th. The stock was sold at an average price of $1,020.00, for a total transaction of $1,194,420.00. Following the completion of the transaction, the insider directly owned 3,000 shares in the company, valued at approximately $3,060,000. This represents a 28.07% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 5,233 shares of company stock valued at $5,297,758. Company insiders own 0.38% of the company's stock.

ServiceNow Company Profile

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.