ServiceNow (NYSE:NOW) Stock Gets Price Target Cut from BTIG Research

ServiceNow (NYSE:NOW) had its price objective cut by BTIG Research from $170.00 to $150.00 in a report issued on Thursday morning,Benzinga reports. They currently have a buy rating on the information technology services provider’s stock.

Other research analysts have also issued research reports about the company. Canaccord Genuity Group set a $145.00 price objective on ServiceNow in a report on Thursday. Citigroup reissued a “buy” rating and issued a $170.00 target price (up from $154.00) on shares of ServiceNow in a report on Wednesday, October 14th. TD Cowen boosted their target price on shares of ServiceNow from $140.00 to $165.00 and gave the stock a “buy” rating in a research report on Thursday, October 15th. Barclays set a $152.00 target price on shares of ServiceNow and gave the stock an “overweight” rating in a research report on Thursday. Finally, Bank of America upped their price target on shares of ServiceNow from $130.00 to $150.00 and gave the stock a “buy” rating in a research note on Wednesday, August 19th. One investment analyst has rated the stock with a Strong Buy rating, thirty-six have given a Buy rating, three have given a Hold rating and three have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $154.50.

ServiceNow Price Performance

Shares of NYSE:NOW opened at $105.12 on Thursday. ServiceNow has a 52 week low of $81.24 and a 52 week high of $189.53. The company has a 50-day moving average price of $138.71 and a 200 day moving average price of $115.45. The company has a market cap of $109.11 billion, a P/E ratio of 75.63, a PEG ratio of 1.94 and a beta of 0.99. The company has a quick ratio of 0.70, a current ratio of 0.72 and a debt-to-equity ratio of 0.42.

ServiceNow (NYSE:NOW) last issued its earnings results on Wednesday, October 28th. The information technology services provider reported $1.00 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.02 by ($0.02). The business had revenue of $4.11 billion for the quarter, compared to analysts’ expectations of $4.09 billion. ServiceNow had a return on equity of 15.17% and a net margin of 9.36%. The business’s quarterly revenue was up 20.5% on a year-over-year basis. During the same period last year, the company posted $4.82 earnings per share. Research analysts predict that ServiceNow will post 2.14 earnings per share for the current year.

Insider Buying and Selling

In related news, insider Paul Fipps sold 2,034 shares of the business’s 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 sale, 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. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Jacqueline Canney sold 7,847 shares of the stock in a transaction dated Friday, August 28th. The shares were sold at an average price of $138.00, for a total transaction of $1,082,886.00. Following the completion of the sale, the insider directly owned 30,042 shares in the company, valued at approximately $4,145,796. The trade was a 20.71% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 14,081 shares of company stock worth $1,937,904 in the last three months. Corporate insiders own 0.34% of the company’s stock.

Institutional Trading of ServiceNow

Several institutional investors and hedge funds have recently modified their holdings of the business. Pathway Financial Advisers LLC purchased a new stake in ServiceNow during the third quarter worth approximately $38,000. Cowa LLC raised its stake in shares of ServiceNow by 24.1% in the 3rd quarter. Cowa LLC now owns 7,219 shares of the information technology services provider’s stock valued at $967,000 after acquiring an additional 1,402 shares during the period. Richardson Financial Services Inc. raised its stake in shares of ServiceNow by 51.6% in the 3rd quarter. Richardson Financial Services Inc. now owns 1,066 shares of the information technology services provider’s stock valued at $143,000 after acquiring an additional 363 shares during the period. Ascent Group LLC raised its stake in shares of ServiceNow by 8.5% in the 3rd quarter. Ascent Group LLC now owns 26,196 shares of the information technology services provider’s stock valued at $3,511,000 after acquiring an additional 2,042 shares during the period. Finally, 3Chopt Investment Partners LLC acquired a new position in shares of ServiceNow during the 3rd quarter valued at $283,000. Hedge funds and other institutional investors own 87.18% of the company’s stock.

Key Stories Impacting ServiceNow

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow reported 20.5% year-over-year revenue growth, supported by subscription demand, and raised its 2026 artificial-intelligence contract target to $1.7 billion. Management and bullish analysts argue that AI adoption could accelerate growth in 2027. ServiceNow: 3 Key Takeaways for Long-Term Investors
• Positive Sentiment: Several analysts continue to rate NOW Buy or Overweight despite reducing their price targets. JPMorgan, Piper Sandler, Wells Fargo and Oppenheimer still see substantial long-term upside, suggesting the sell-off may have been excessive. ServiceNow stock is on track for its largest drop on record
• Positive Sentiment: A new partnership with BDO Canada will help organizations govern AI and automate operations using ServiceNow’s platform, providing potential support for future enterprise demand. BDO Canada partners with ServiceNow
• Neutral Sentiment: ServiceNow’s CEO has defended the company’s valuation and long-term opportunity, while a reported $3 million insider stock purchase may signal management confidence. However, such commentary has not offset investor concerns about guidance. ServiceNow CEO makes striking unicorn claim
• Negative Sentiment: The primary catalyst for the sell-off was management’s forecast for slower fourth-quarter current remaining performance obligation growth—about 18.5%, below the approximately 21.5% revenue-growth outlook. Because cRPO represents contracted future revenue, investors viewed the gap as a warning that demand may be weakening. ServiceNow Guides to Slower Backlog Growth
• Negative Sentiment: Third-quarter adjusted earnings of $1.00 per share fell short of the $1.02 consensus estimate. The miss, combined with concerns that AI could disrupt traditional software pricing and demand, overshadowed the revenue beat and higher AI target. ServiceNow shares plunge after earnings
• Negative Sentiment: Investors are also monitoring ServiceNow’s roughly $7.5 billion debt load and rising interest costs, while a shareholder investigation into potential securities-law violations adds reputational and legal uncertainty. ServiceNow’s Debt and Interest Costs Jump

ServiceNow Company Profile

ServiceNow, Inc provides cloud-based software designed to help organizations digitize, automate and manage enterprise workflows. Its Now Platform connects people, processes and systems across departments, enabling customers to manage work through a centralized technology environment.

The company’s products and services address a range of business needs, including information technology service management, IT operations management, customer service management, human resources service delivery, security operations, risk and compliance, and application development.