ServiceNow (NYSE:NOW) Shares Up 1.3% – Here’s Why

by · The Markets Daily

ServiceNow, Inc. (NYSE:NOW – Get Free Report) traded up 1.3% on Monday. The company traded as high as $137.90 and last traded at $136.1420. Approximately 7,094,521 shares traded hands during mid-day trading, a decline of 68% from the average session volume of 22,062,381 shares. The stock had previously closed at $134.38.

Analyst Ratings Changes

A number of brokerages have recently issued reports on NOW. JPMorgan Chase & Co. upped their target price on shares of ServiceNow from $145.00 to $150.00 and gave the stock an “overweight” rating in a research report on Thursday, July 23rd. Oppenheimer reissued an “outperform” rating and issued a $140.00 price target (up from $130.00) on shares of ServiceNow in a report on Wednesday, July 15th. Citigroup reaffirmed a “market outperform” rating on shares of ServiceNow in a report on Thursday, July 23rd. KeyCorp reiterated an “underweight” rating on shares of ServiceNow in a research report on Tuesday, July 21st. Finally, Cantor Fitzgerald lifted their target price on ServiceNow from $141.00 to $174.00 and gave the company an “overweight” rating in a research note on Monday, September 21st. One analyst has rated the stock with a Strong Buy rating, thirty-six have assigned a Buy rating, three have assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $147.00.

Check Out Our Latest Analysis on ServiceNow

ServiceNow Price Performance

The company’s fifty day moving average is $130.08 and its two-hundred day moving average is $111.46. The firm has a market capitalization of $140.77 billion, a price-to-earnings ratio of 85.09, a price-to-earnings-growth ratio of 2.47 and a beta of 0.99. The company has a quick ratio of 0.70, a current ratio of 0.70 and a debt-to-equity ratio of 0.43.

ServiceNow (NYSE:NOW – Get Free Report) last released its earnings results on Wednesday, July 22nd. The information technology services provider reported $0.90 EPS for the quarter, topping analysts’ consensus estimates of $0.86 by $0.04. The firm had revenue of $3.99 billion during the quarter, compared to analyst estimates of $3.93 billion. ServiceNow had a net margin of 11.34% and a return on equity of 16.45%. The business’s quarterly revenue was up 24.0% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.81 EPS. Equities research analysts anticipate that ServiceNow, Inc. will post 2.22 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, insider Jacqueline Canney sold 7,847 shares of the company’s stock in a transaction dated Friday, August 28th. The stock was sold at an average price of $138.00, for a total value of $1,082,886.00. Following the completion of the sale, the insider owned 30,042 shares in the company, valued at approximately $4,145,796. This represents a 20.71% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Paul Fipps sold 2,034 shares of the stock in a transaction dated Monday, August 31st. The shares were sold at an average price of $147.87, for a total value of $300,767.58. Following the completion of the transaction, the insider directly owned 18,305 shares in the company, valued at $2,706,760.35. The trade was a 10.00% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 14,081 shares of company stock valued at $1,937,904 over the last three months. Company insiders own 0.34% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the company. BlackRock Inc. bought a new position in shares of ServiceNow during the second quarter worth $9,536,615,000. State Street Corp increased its position in shares of ServiceNow by 2.0% in the 2nd quarter. State Street Corp now owns 49,038,218 shares of the information technology services provider’s stock valued at $4,868,514,000 after buying an additional 979,726 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its stake in ServiceNow by 16.6% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 16,638,071 shares of the information technology services provider’s stock worth $1,651,828,000 after buying an additional 2,362,606 shares during the period. Amundi lifted its holdings in ServiceNow by 60.9% during the first quarter. Amundi now owns 11,479,098 shares of the information technology services provider’s stock worth $1,200,140,000 after acquiring an additional 4,346,722 shares in the last quarter. Finally, Capital International Investors lifted its holdings in ServiceNow by 396.0% during the fourth quarter. Capital International Investors now owns 10,393,373 shares of the information technology services provider’s stock worth $1,592,310,000 after acquiring an additional 8,297,818 shares in the last quarter. Institutional investors and hedge funds own 87.18% of the company’s stock.

About ServiceNow

(Get Free Report)

ServiceNow, Inc is a cloud-based enterprise software company that helps organizations digitize, automate and manage workflows. Its platform connects people, processes and systems across departments, enabling businesses to replace manual, disconnected activities with standardized digital workflows.

The company’s products and services support a range of functions, including information technology service management, IT operations management, customer service, human resources, risk and security operations, and software development.

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