ServiceNow (NYSE:NOW) Given New $115.00 Price Target at UBS Group

Key Points

• UBS Group raised its price target on ServiceNow to $115 from $100, while keeping a neutral rating on the stock.
• Despite the hike, UBS’s new target still implies only about 3.3% upside from the previous close, and the broader analyst consensus remains Moderate Buy with an average target of $140.60.
• ServiceNow recently reported Q1 revenue of $3.77 billion, up 22.1% year over year, with EPS matching expectations at $0.97; the stock was also up about 3.4% in trading.

ServiceNow (NYSE:NOW - Get Free Report) had its price target raised by research analysts at UBS Group from $100.00 to $115.00 in a report issued on Tuesday,Benzinga reports. The firm currently has a "neutral" rating on the information technology services provider's stock. UBS Group's target price would indicate a potential upside of 3.31% from the company's previous close.

Several other equities analysts have also issued reports on NOW. TD Cowen reissued a "buy" rating and set a $140.00 target price on shares of ServiceNow in a research note on Thursday, April 23rd. Canaccord Genuity Group dropped their target price on ServiceNow from $200.00 to $145.00 and set a "buy" rating for the company in a research report on Thursday, April 23rd. Oppenheimer reiterated an "outperform" rating on shares of ServiceNow in a research note on Tuesday, May 26th. FBN Securities lowered their price objective on shares of ServiceNow from $160.00 to $120.00 in a research note on Thursday, April 23rd. Finally, Citigroup raised their price target on shares of ServiceNow from $154.00 to $158.00 and gave the company a "buy" rating in a research report on Thursday, April 30th. One research analyst has rated the stock with a Strong Buy rating, thirty-five have given a Buy rating, four have issued a Hold rating and two have given a Sell rating to the company. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $140.60.

ServiceNow Stock Up 3.4%

ServiceNow stock opened at $111.32 on Tuesday. The company has a market capitalization of $114.77 billion, a PE ratio of 66.34, a price-to-earnings-growth ratio of 1.79 and a beta of 0.96. The company has a debt-to-equity ratio of 0.13, a quick ratio of 0.84 and a current ratio of 0.84. ServiceNow has a fifty-two week low of $81.24 and a fifty-two week high of $210.20. The firm has a 50 day moving average price of $102.95 and a 200 day moving average price of $110.65.

ServiceNow (NYSE:NOW - Get Free Report) last released its quarterly earnings results on Wednesday, April 22nd. The information technology services provider reported $0.97 EPS for the quarter, hitting analysts' consensus estimates of $0.97. ServiceNow had a return on equity of 18.16% and a net margin of 12.59%.The company had revenue of $3.77 billion for the quarter, compared to analysts' expectations of $3.75 billion. During the same period in the prior year, the firm earned $0.81 earnings per share. The firm's revenue was up 22.1% compared to the same quarter last year. Research analysts expect that ServiceNow will post 2.34 earnings per share for the current year.

Insider Activity

In other news, Director Paul Edward Chamberlain sold 1,500 shares of the firm's stock in a transaction on Thursday, May 14th. The shares were sold at an average price of $87.23, for a total value of $130,845.00. Following the sale, the director directly owned 44,930 shares in the company, valued at approximately $3,919,243.90. This trade represents a 3.23% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Anita M. Sands sold 16,445 shares of ServiceNow stock in a transaction on Thursday, May 14th. The stock was sold at an average price of $90.14, for a total transaction of $1,482,352.30. Following the sale, the director directly owned 30,090 shares of the company's stock, valued at approximately $2,712,312.60. This trade represents a 35.34% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 28,071 shares of company stock worth $2,529,956 over the last three months. Insiders own 0.34% of the company's stock.

Institutional Trading of ServiceNow

Hedge funds and other institutional investors have recently bought and sold shares of the business. Vanguard Group Inc. lifted its stake in ServiceNow by 404.5% during the fourth quarter. Vanguard Group Inc. now owns 101,963,384 shares of the information technology services provider's stock worth $15,619,771,000 after purchasing an additional 81,752,460 shares during the last quarter. State Street Corp lifted its position in shares of ServiceNow by 406.6% during the 4th quarter. State Street Corp now owns 47,896,597 shares of the information technology services provider's stock worth $7,337,280,000 after buying an additional 38,441,898 shares during the last quarter. Price T Rowe Associates Inc. MD lifted its position in shares of ServiceNow by 371.0% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 32,395,663 shares of the information technology services provider's stock worth $4,962,692,000 after buying an additional 25,517,218 shares during the last quarter. Geode Capital Management LLC grew its position in shares of ServiceNow by 404.8% in the 4th quarter. Geode Capital Management LLC now owns 23,512,428 shares of the information technology services provider's stock valued at $3,591,425,000 after buying an additional 18,854,775 shares during the last quarter. Finally, Morgan Stanley raised its stake in ServiceNow by 335.6% during the 4th quarter. Morgan Stanley now owns 22,733,483 shares of the information technology services provider's stock worth $3,482,543,000 after acquiring an additional 17,514,679 shares in the last quarter. 87.18% of the stock is currently owned by institutional investors and hedge funds.

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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