BMO Capital Markets Issues Pessimistic Forecast for ServiceNow (NYSE:NOW) Stock Price

ServiceNow (NYSE:NOW) had its price objective lowered by stock analysts at BMO Capital Markets from $175.00 to $170.00 in a report issued on Thursday, Marketbeat Ratings reports. The brokerage presently has an “outperform” rating on the information technology services provider’s stock. BMO Capital Markets’ price target indicates a potential upside of 45.64% from the stock’s current price.

NOW has been the topic of a number of other research reports. Zacks Research lowered shares of ServiceNow from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, November 11th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of ServiceNow in a research note on Thursday, January 22nd. DA Davidson set a $220.00 price objective on shares of ServiceNow and gave the company a “buy” rating in a research report on Tuesday, December 16th. Morgan Stanley set a $263.00 target price on ServiceNow and gave the company an “overweight” rating in a research note on Thursday, October 30th. Finally, Canaccord Genuity Group reiterated a “buy” rating and issued a $224.00 price target on shares of ServiceNow in a research note on Thursday, October 30th. Two research analysts have rated the stock with a Strong Buy rating, thirty-two have given a Buy rating, six have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $194.84.

ServiceNow Trading Down 0.0%

Shares of NOW opened at $116.73 on Thursday. ServiceNow has a 12 month low of $113.13 and a 12 month high of $211.48. The stock’s 50-day moving average is $149.79 and its two-hundred day moving average is $170.88. The company has a debt-to-equity ratio of 0.12, a current ratio of 1.00 and a quick ratio of 1.06. The stock has a market cap of $121.21 billion, a PE ratio of 69.98, a P/E/G ratio of 2.01 and a beta of 0.98.

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

Insider Buying and Selling at ServiceNow

In related news, Director Paul Edward Chamberlain sold 1,500 shares of the firm’s stock in a transaction on Friday, November 28th. The stock was sold at an average price of $161.60, for a total transaction of $242,400.00. Following the transaction, the director directly owned 47,930 shares in the company, valued at $7,745,488. This trade represents a 3.03% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Jacqueline P. Canney sold 470 shares of ServiceNow stock in a transaction on Tuesday, November 18th. The stock was sold at an average price of $165.42, for a total transaction of $77,745.52. Following the completion of the transaction, the insider directly owned 15,135 shares of the company’s stock, valued at approximately $2,503,571.16. This represents a 3.01% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders sold 15,310 shares of company stock worth $2,533,585. 0.34% of the stock is owned by insiders.

Hedge Funds Weigh In On ServiceNow

A number of large investors have recently bought and sold shares of NOW. Vanguard Group Inc. lifted its holdings in shares of ServiceNow by 404.5% in the 4th 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. Jennison Associates LLC increased its position in ServiceNow by 280.1% in the fourth quarter. Jennison Associates LLC now owns 8,432,389 shares of the information technology services provider’s stock worth $1,291,758,000 after buying an additional 6,213,762 shares during the period. Nordea Investment Management AB lifted its stake in ServiceNow by 388.7% in the fourth quarter. Nordea Investment Management AB now owns 4,706,164 shares of the information technology services provider’s stock valued at $720,325,000 after buying an additional 3,743,087 shares during the last quarter. Pictet Asset Management Holding SA boosted its holdings in shares of ServiceNow by 613.4% during the fourth quarter. Pictet Asset Management Holding SA now owns 3,840,262 shares of the information technology services provider’s stock valued at $588,326,000 after acquiring an additional 3,301,962 shares during the period. Finally, Norges Bank acquired a new position in shares of ServiceNow during the second quarter valued at $2,589,235,000. Institutional investors own 87.18% of the company’s stock.

ServiceNow News Summary

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Q4 results beat expectations — EPS and revenue topped street estimates and subscription revenue grew >20%, showing continued demand and AI adoption. Earnings Beat
• Positive Sentiment: Board authorized a $5B buyback (including $2B accelerated), which is supportive for EPS and signals management confidence. Buyback
• Positive Sentiment: Strong AI product traction and partnerships (Anthropic, OpenAI integrations) underpin longer-term growth potential and enterprise adoption. AI Partnerships
• Neutral Sentiment: Analyst reactions are mixed: several firms (DA Davidson, Cantor, BTIG, Needham) reiterated/maintained buy or overweight ratings and raised/kept targets, while others cut targets or downgraded — leaving a wide range of price targets and sentiment dispersion. Analyst Notes
• Neutral Sentiment: Unusually large options volume was reported, indicating speculative/moderately aggressive trading that can amplify intraday moves (uncertain directional implication). Options Activity
• Negative Sentiment: Guidance signaled a slowdown: management forecast subscription growth for FY26 that implies deceleration from 2025 levels — investors viewed this as a notable deceleration risk. Guidance/Slowdown
• Negative Sentiment: Broader sector and AI disruption fears triggered a sell-off in software names; commentary highlighted multiple compression and concerns competition from new AI entrants could hurt growth/valuation. Sector/AI Fears
• Negative Sentiment: Some firms cut price targets sharply (KeyCorp to $115, Macquarie to $140), reflecting concern over valuation and near‑term execution — that contributed to downward pressure. Price Target Cuts

About ServiceNow

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.