ServiceNow (NYSE:NOW) Sees Unusually-High Trading Volume - Time to Buy?

Key Points

• ServiceNow shares jumped about 10% on unusually heavy trading volume, with more than 20.7 million shares changing hands as investors reacted to the latest news flow.
• The stock got a boost from a sector-wide software rally after Nvidia CEO Jensen Huang said AI tools are unlikely to disrupt software companies, helping lift sentiment around ServiceNow and other cloud names.
• Wall Street remains generally constructive: analysts have a Moderate Buy rating on average, with ServiceNow also posting solid quarterly results, including 22.1% year-over-year revenue growth and earnings that matched expectations.

Shares of ServiceNow, Inc. (NYSE:NOW - Get Free Report) saw unusually-high trading volume on Monday . Approximately 20,697,089 shares changed hands during trading, a decline of 10% from the previous session's volume of 23,054,986 shares.The stock last traded at $135.4350 and had previously closed at $124.37.

More ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow is catching a sector-wide rally after Nvidia’s Jensen Huang said AI tools are unlikely to disrupt software companies, which boosted sentiment across software and cloud names. ServiceNow, Adobe stocks jump as Nvidia's new AI chip sparks software rally
• Positive Sentiment: Investors are also reacting to continued enthusiasm around “agentic AI,” which supports ServiceNow’s positioning in enterprise workflow automation and AI-driven software. $700 Billion and Most Investors Are Watching The Wrong Companies
• Positive Sentiment: Recent coverage highlighted ServiceNow’s strong quarterly revenue beat and rising analyst confidence, reinforcing the stock’s rebound after a prior stretch of weakness. ServiceNow Stock (NOW) Extends Rally as Nvidia CEO Jensen Huang Backs Software Firms in AI Era
• Positive Sentiment: Another supportive backdrop is ServiceNow’s expanding AWS partnership and platform momentum, which could strengthen its long-term enterprise AI growth story. Here is Why ServiceNow (NOW) is One of the Best Future Tech Stocks According to Billionaires

Wall Street Analyst Weigh In

NOW has been the topic of several research reports. BMO Capital Markets cut their price objective on ServiceNow from $120.00 to $115.00 and set an "outperform" rating on the stock in a research report on Thursday, April 23rd. Truist Financial dropped their price target on ServiceNow from $125.00 to $120.00 and set a "buy" rating on the stock in a research report on Thursday, April 23rd. The Goldman Sachs Group decreased their price objective on shares of ServiceNow from $188.00 to $163.00 and set a "buy" rating for the company in a report on Thursday, April 23rd. KeyCorp set a $85.00 target price on shares of ServiceNow and gave the company an "underweight" rating in a research note on Thursday, April 23rd. Finally, Oppenheimer reiterated an "outperform" rating on shares of ServiceNow in a research note on Tuesday, May 26th. Two research analysts have rated the stock with a Strong Buy rating, thirty-five have issued a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average target price of $141.85.

ServiceNow Trading Up 10.0%

The company has a quick ratio of 0.84, a current ratio of 0.84 and a debt-to-equity ratio of 0.13. The company's 50 day simple moving average is $98.05 and its 200-day simple moving average is $123.39. The firm has a market cap of $141.05 billion, a P/E ratio of 81.48, a P/E/G ratio of 2.05 and a beta of 0.94.

ServiceNow (NYSE:NOW - Get Free Report) last released its quarterly earnings data on Wednesday, April 22nd. The information technology services provider reported $0.97 earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of $0.97. The firm had revenue of $3.77 billion for the quarter, compared to the consensus estimate of $3.75 billion. ServiceNow had a net margin of 12.59% and a return on equity of 18.16%. The company's quarterly revenue was up 22.1% on a year-over-year basis. During the same period last year, the firm earned $0.81 earnings per share. As a group, research analysts predict that ServiceNow, Inc. will post 2.36 earnings per share for the current fiscal year.

Insider Buying and Selling at ServiceNow

In other ServiceNow news, Director Paul Edward Chamberlain sold 1,500 shares of the stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $87.23, for a total value of $130,845.00. Following the completion of the sale, the director owned 44,930 shares in the company, valued at approximately $3,919,243.90. This represents a 3.23% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Paul Fipps sold 1,048 shares of the stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $98.51, for a total transaction of $103,238.48. Following the completion of the sale, the insider owned 12,072 shares of the company's stock, valued at approximately $1,189,212.72. The trade was a 7.99% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last ninety days, insiders have sold 28,071 shares of company stock valued at $2,529,956. Company insiders own 0.34% of the company's stock.

Hedge Funds Weigh In On ServiceNow

Hedge funds have recently made changes to their positions in the stock. Brighton Jones LLC boosted its position in ServiceNow by 1.1% in the 4th quarter. Brighton Jones LLC now owns 2,753 shares of the information technology services provider's stock valued at $2,919,000 after buying an additional 30 shares during the period. Sivia Capital Partners LLC boosted its position in ServiceNow by 4.2% in the 2nd quarter. Sivia Capital Partners LLC now owns 837 shares of the information technology services provider's stock valued at $861,000 after buying an additional 34 shares during the period. United Bank boosted its position in ServiceNow by 15.5% in the 2nd quarter. United Bank now owns 1,519 shares of the information technology services provider's stock valued at $1,562,000 after buying an additional 204 shares during the period. Riggs Asset Managment Co. Inc. boosted its position in ServiceNow by 2.2% in the 2nd quarter. Riggs Asset Managment Co. Inc. now owns 1,922 shares of the information technology services provider's stock valued at $1,976,000 after buying an additional 42 shares during the period. Finally, Nebula Research & Development LLC boosted its position in ServiceNow by 205.1% in the 2nd quarter. Nebula Research & Development LLC now owns 906 shares of the information technology services provider's stock valued at $931,000 after buying an additional 609 shares during the period. Hedge funds and other institutional investors own 87.18% of the company's stock.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.