ServiceNow, Inc. (NYSE:NOW) Receives Consensus Recommendation of "Moderate Buy" from Analysts

Key Points

• Analyst consensus: 42 analysts rate ServiceNow a "Moderate Buy" (32 Buy, 3 Strong Buy, 5 Hold, 2 Sell) with an average 1‑year price target of about $192.61, implying meaningful upside from the recent ~$105 share price.
• Recent results: ServiceNow beat quarterly estimates with EPS of $0.92 (vs. $0.89 expected) and revenue of $3.57B (vs. $3.53B), with revenue up 20.7% year‑over‑year.
• Insider activity & ownership: Insiders sold 16,237 shares totaling ~$1.70M over the past 90 days and now own just 0.34% of the stock, while institutional investors hold roughly 87.2%, a potential cautionary signal on insider conviction.

Shares of ServiceNow, Inc. (NYSE:NOW - Get Free Report) have received a consensus recommendation of "Moderate Buy" from the forty-two research firms that are presently covering the firm, Marketbeat Ratings reports. Two equities research analysts have rated the stock with a sell recommendation, five have issued a hold recommendation, thirty-two have assigned a buy recommendation and three have given a strong buy recommendation to the company. The average 1-year price target among analysts that have issued ratings on the stock in the last year is $192.6054.

NOW has been the topic of several analyst reports. Royal Bank Of Canada cut their price target on shares of ServiceNow from $185.00 to $150.00 and set an "outperform" rating on the stock in a report on Monday, February 9th. HSBC decreased their price objective on ServiceNow from $266.40 to $226.00 and set a "buy" rating for the company in a report on Friday, January 30th. BTIG Research restated a "buy" rating and set a $200.00 target price on shares of ServiceNow in a research note on Thursday, January 29th. Wall Street Zen lowered ServiceNow from a "buy" rating to a "hold" rating in a research report on Saturday, February 28th. Finally, BNP Paribas Exane upgraded ServiceNow from a "neutral" rating to an "outperform" rating and set a $140.00 price target for the company in a research note on Monday, March 16th.

Insider Activity

In related news, insider Paul Fipps sold 9,641 shares of the stock in a transaction that occurred on Wednesday, February 18th. The shares were sold at an average price of $105.93, for a total value of $1,021,271.13. Following the completion of the transaction, the insider directly owned 11,757 shares of the company's stock, valued at $1,245,419.01. This trade represents a 45.06% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Paul Edward Chamberlain sold 1,500 shares of the company's stock in a transaction that occurred on Thursday, February 12th. The shares were sold at an average price of $101.17, for a total value of $151,755.00. Following the completion of the sale, the director owned 46,430 shares in the company, valued at approximately $4,697,323.10. This represents a 3.13% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 16,237 shares of company stock worth $1,697,162 over the last 90 days. 0.34% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On ServiceNow

Several institutional investors and hedge funds have recently modified their holdings of NOW. Kilter Group LLC purchased a new stake in ServiceNow during the 2nd quarter worth approximately $25,000. IAG Wealth Partners LLC increased its position in shares of ServiceNow by 200.0% during the third quarter. IAG Wealth Partners LLC now owns 27 shares of the information technology services provider's stock worth $25,000 after purchasing an additional 18 shares in the last quarter. Total Investment Management Inc. acquired a new stake in ServiceNow during the 2nd quarter worth $31,000. Bogart Wealth LLC grew its holdings in shares of ServiceNow by 93.8% during the third quarter. Bogart Wealth LLC now owns 31 shares of the information technology services provider's stock worth $29,000 after buying an additional 15 shares in the last quarter. Finally, Wealth Watch Advisors INC acquired a new stake in shares of ServiceNow in the third quarter valued at about $29,000. Hedge funds and other institutional investors own 87.18% of the company's stock.

ServiceNow Stock Performance

NOW stock opened at $104.97 on Tuesday. The firm has a market cap of $109.80 billion, a price-to-earnings ratio of 62.93, a PEG ratio of 1.68 and a beta of 0.99. The firm has a 50-day simple moving average of $112.44 and a two-hundred day simple moving average of $149.20. ServiceNow has a one year low of $98.00 and a one year high of $211.48. The company has a debt-to-equity ratio of 0.12, a quick ratio of 1.00 and a current ratio of 1.00.

ServiceNow (NYSE:NOW - Get Free Report) last issued its quarterly earnings data on Wednesday, January 28th. The information technology services provider reported $0.92 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.89 by $0.03. The firm had revenue of $3.57 billion for the quarter, compared to the consensus estimate of $3.53 billion. ServiceNow had a net margin of 13.16% and a return on equity of 18.54%. The company's quarterly revenue was up 20.7% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.73 EPS. On average, equities analysts forecast that ServiceNow will post 8.93 EPS for the current fiscal year.

Key ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Media and analyst pieces point to renewed buying interest and technical strength as reasons for the stock’s rise; commentary frames the move as momentum-driven rather than tied to a single catalyst. ServiceNow stock is on the rise: Here's what the chart says
• Positive Sentiment: Headlines highlighting a sharp share move have drawn retail and technical traders’ attention, amplifying intraday momentum. ServiceNow (NOW) shares skyrocket, what you need to know
• Positive Sentiment: A press release notes Ziperase launched an Enterprise Connector on the ServiceNow Store — a small but constructive ecosystem expansion that can help platform adoption and revenue via marketplace integrations. Ziperase Launches Enterprise Connector on the ServiceNow Store
• Positive Sentiment: Investor commentary (The Motley Fool) attributes today’s jump to improving sentiment around AI risk and optimism for ServiceNow’s AI agent/orchestration opportunities — a narrative that supports outsized multiple retention for high-growth SaaS names. Why ServiceNow Stock Jumped Today
• Positive Sentiment: Longer-form pieces argue the broader SaaS sell-off has created buying opportunities for durable franchises like ServiceNow that are embedded in workflows and positioned for AI-led upsell. Why the SaaS Sell-Off Is Creating Generational Buying Opportunities
• Neutral Sentiment: A governance paper on AI oversight for boards underscores that companies adopting AI (including ServiceNow customers) face rising expectations for board-level controls — relevant for long-term adoption and compliance but not an immediate stock mover. AI Governance for Boards: A Framework by Robert Maciejko
• Negative Sentiment: Macro risk: commentary about geopolitical uncertainty (Iran war concerns) could depress broad risk appetite and weigh on SaaS multiples if market volatility rises. The problem for investors: We don't know how Trump wants the Iran war to end

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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