ServiceNow (NYSE:NOW) Trading Up 1.6% – Still a Buy?

by · The Markets Daily

ServiceNow, Inc. (NYSE:NOW – Get Free Report) shares rose 1.6% during trading on Tuesday . The company traded as high as $105.70 and last traded at $102.4610. Approximately 17,850,334 shares were traded during mid-day trading, a decline of 11% from the average daily volume of 20,060,615 shares. The stock had previously closed at $100.80.

Trending Headlines about ServiceNow

Here are the key news stories impacting ServiceNow this week:

Analysts Set New Price Targets

NOW has been the topic of several research reports. Zacks Research lowered ServiceNow from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, November 11th. Wells Fargo & Company set a $225.00 price target on ServiceNow and gave the company an “overweight” rating in a research note on Thursday, January 8th. Weiss Ratings restated a “hold (c)” rating on shares of ServiceNow in a research report on Thursday, January 22nd. UBS Group set a $115.00 price objective on ServiceNow in a report on Thursday, January 29th. Finally, DZ Bank upgraded ServiceNow to a “strong-buy” rating in a report on Thursday, December 18th. Three research analysts have rated the stock with a Strong Buy rating, thirty-two have issued a Buy rating, six have assigned a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $192.06.

Check Out Our Latest Report on ServiceNow

ServiceNow Stock Performance

The company has a current ratio of 1.00, a quick ratio of 1.00 and a debt-to-equity ratio of 0.12. The stock has a market capitalization of $107.17 billion, a price-to-earnings ratio of 61.43, a price-to-earnings-growth ratio of 1.76 and a beta of 0.98. The stock’s 50 day moving average is $130.57 and its two-hundred day moving average is $161.13.

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

Insider Activity

In related news, insider Kevin Thomas Mcbride sold 1,400 shares of the business’s stock in a transaction that occurred on Friday, February 13th. The stock was sold at an average price of $105.71, for a total transaction of $147,994.00. Following the transaction, the insider directly owned 26,314 shares of the company’s stock, valued at approximately $2,781,652.94. The trade was a 5.05% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Gina Mastantuono sold 2,075 shares of the stock in a transaction dated Friday, December 5th. The shares were sold at an average price of $170.00, for a total transaction of $352,750.00. Following the completion of the transaction, the chief financial officer directly owned 61,140 shares in the company, valued at $10,393,800. The trade was a 3.28% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 19,526 shares of company stock valued at $2,467,814. 0.34% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Kilter Group LLC acquired a new stake in shares of ServiceNow during the 2nd quarter worth $25,000. IAG Wealth Partners LLC boosted its position in shares of ServiceNow by 200.0% during the 3rd quarter. IAG Wealth Partners LLC now owns 27 shares of the information technology services provider’s stock worth $25,000 after acquiring an additional 18 shares in the last quarter. Noble Wealth Management PBC increased its stake in ServiceNow by 400.0% in the fourth quarter. Noble Wealth Management PBC now owns 160 shares of the information technology services provider’s stock valued at $25,000 after acquiring an additional 128 shares during the last quarter. Millstone Evans Group LLC lifted its stake in ServiceNow by 400.0% during the fourth quarter. Millstone Evans Group LLC now owns 165 shares of the information technology services provider’s stock worth $25,000 after purchasing an additional 132 shares during the last quarter. Finally, CBIZ Investment Advisory Services LLC raised its holdings in shares of ServiceNow by 540.0% during the 4th quarter. CBIZ Investment Advisory Services LLC now owns 160 shares of the information technology services provider’s stock worth $25,000 after buying an additional 135 shares in the last quarter. 87.18% of the stock is owned by institutional investors and hedge funds.

ServiceNow Company Profile

(Get Free Report)

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.

Further Reading