ServiceNow (NYSE:NOW) CEO Sells $1,426,500.00 in Stock

Key Points

• CEO William McDermott of ServiceNow sold 1,585 shares for a total of $1,426,500, decreasing his ownership to 12,439 shares valued at approximately $11.2 million.
• ServiceNow reported a 22.4% revenue increase year-over-year, with earnings per share (EPS) of $4.09, surpassing estimates of $3.57.
• Analysts have mixed ratings on ServiceNow, with one strong buy, 29 buys, three holds, and one sell, and an average target price of $1,115.20.

ServiceNow, Inc. (NYSE:NOW - Get Free Report) CEO William Mcdermott sold 1,585 shares of the company's stock in a transaction dated Tuesday, August 19th. The stock was sold at an average price of $900.00, for a total transaction of $1,426,500.00. Following the sale, the chief executive officer directly owned 12,439 shares of the company's stock, valued at $11,195,100. This represents a 11.30% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink.

ServiceNow Price Performance

NOW traded down $12.5650 on Thursday, hitting $877.6850. 1,125,330 shares of the stock were exchanged, compared to its average volume of 1,716,612. ServiceNow, Inc. has a 12 month low of $678.66 and a 12 month high of $1,198.09. The business has a 50-day moving average of $959.60 and a two-hundred day moving average of $931.56. 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 firm has a market capitalization of $182.56 billion, a price-to-earnings ratio of 110.54, a PEG ratio of 4.00 and a beta of 0.93.

ServiceNow (NYSE:NOW - Get Free Report) last posted its quarterly earnings data on Wednesday, July 23rd. The information technology services provider reported $4.09 earnings per share for the quarter, topping the consensus estimate of $3.57 by $0.52. ServiceNow had a net margin of 13.78% and a return on equity of 18.04%. The business had revenue of $3.22 billion during the quarter, compared to analysts' expectations of $3.12 billion. During the same quarter in the prior year, the business posted $3.13 earnings per share. ServiceNow's revenue was up 22.4% compared to the same quarter last year. Sell-side analysts forecast that ServiceNow, Inc. will post 8.93 EPS for the current fiscal year.

Analyst Upgrades and Downgrades

Several equities research analysts recently weighed in on the stock. Cantor Fitzgerald reaffirmed an "overweight" rating and set a $1,200.00 price objective on shares of ServiceNow in a research report on Thursday, July 24th. Raymond James Financial boosted their target price on ServiceNow from $1,000.00 to $1,100.00 and gave the stock an "outperform" rating in a research note on Thursday, July 24th. FBN Securities raised ServiceNow to a "strong-buy" rating in a research note on Wednesday, June 11th. Jefferies Financial Group boosted their target price on ServiceNow from $1,025.00 to $1,150.00 and gave the stock a "buy" rating in a research note on Thursday, July 24th. Finally, Guggenheim reissued a "sell" rating and set a $724.00 target price on shares of ServiceNow in a research note on Thursday, July 17th. One analyst has rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $1,115.20.

Institutional Trading of ServiceNow

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Kilter Group LLC acquired a new stake in ServiceNow during the 2nd quarter valued at approximately $25,000. Quarry LP bought a new position in shares of ServiceNow during the 4th quarter worth approximately $27,000. Global X Japan Co. Ltd. bought a new position in shares of ServiceNow during the 2nd quarter worth approximately $30,000. LGT Financial Advisors LLC bought a new position in shares of ServiceNow during the 2nd quarter worth approximately $32,000. Finally, Bogart Wealth LLC boosted its holdings in shares of ServiceNow by 113.3% during the 1st quarter. Bogart Wealth LLC now owns 32 shares of the information technology services provider's stock worth $25,000 after buying an additional 17 shares in the last quarter. Institutional investors and hedge funds own 87.18% of the company's stock.

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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