ServiceNow (NYSE:NOW) Price Target Lowered to $118.00 at Robert W. Baird

ServiceNow (NYSE:NOW) had its price target reduced by research analysts at Robert W. Baird from $125.00 to $118.00 in a note issued to investors on Thursday,Benzinga reports. The brokerage presently has an “outperform” rating on the information technology services provider’s stock. Robert W. Baird’s price objective points to a potential upside of 14.39% from the stock’s previous close.

Several other equities research analysts also recently weighed in on the company. BNP Paribas Exane upgraded ServiceNow from a “neutral” rating to an “outperform” rating and set a $140.00 price target on the stock in a report on Monday, March 16th. Cantor Fitzgerald reiterated an “overweight” rating and issued a $200.00 price target on shares of ServiceNow in a report on Thursday, January 29th. Wells Fargo & Company reduced their price target on ServiceNow from $225.00 to $185.00 and set an “overweight” rating on the stock in a report on Tuesday, March 31st. Jefferies Financial Group reiterated a “buy” rating on shares of ServiceNow in a report on Thursday. Finally, The Goldman Sachs Group reduced their price target on ServiceNow from $216.00 to $188.00 and set a “buy” rating on the stock in a report on Tuesday, April 7th. Three research analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, ServiceNow presently has an average rating of “Moderate Buy” and an average price target of $170.51.

ServiceNow Price Performance

NYSE:NOW opened at $103.16 on Thursday. The firm has a market capitalization of $106.89 billion, a price-to-earnings ratio of 61.85, a PEG ratio of 1.68 and a beta of 1.01. ServiceNow has a 1 year low of $81.24 and a 1 year high of $211.48. The business has a 50 day simple moving average of $105.55 and a 200-day simple moving average of $138.83. The company has a debt-to-equity ratio of 0.12, a current ratio of 1.00 and a quick ratio of 1.00.

ServiceNow (NYSE:NOW) last posted its quarterly earnings data on Wednesday, April 22nd. The information technology services provider reported $0.97 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.97. The business had revenue of $3.77 billion during the quarter, compared to analyst estimates of $3.75 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 22.1% on a year-over-year basis. During the same period last year, the company earned $4.04 EPS. Equities analysts forecast that ServiceNow will post 2.49 EPS for the current year.

Insiders Place Their Bets

In other ServiceNow news, insider Kevin Thomas Mcbride sold 1,400 shares of the firm’s stock in a transaction 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 in the company, valued at $2,781,652.94. This trade represents a 5.05% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, insider Paul Fipps sold 9,641 shares of the firm’s stock in a transaction on Wednesday, February 18th. The stock was sold at an average price of $105.93, for a total value of $1,021,271.13. Following the transaction, the insider owned 11,757 shares in the company, valued at $1,245,419.01. The trade was a 45.06% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 16,237 shares of company stock worth $1,697,162 in the last ninety days. 0.34% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in NOW. Vanguard Group Inc. increased 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 valued at $15,619,771,000 after acquiring an additional 81,752,460 shares during the period. State Street Corp increased its holdings in shares of ServiceNow by 406.6% in the 4th quarter. State Street Corp now owns 47,896,597 shares of the information technology services provider’s stock valued at $7,337,280,000 after acquiring an additional 38,441,898 shares during the period. Price T Rowe Associates Inc. MD increased its holdings in shares of ServiceNow by 371.0% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 32,395,663 shares of the information technology services provider’s stock valued at $4,962,692,000 after acquiring an additional 25,517,218 shares during the period. Geode Capital Management LLC increased its holdings in shares of ServiceNow by 404.8% in the 4th quarter. Geode Capital Management LLC now owns 23,512,428 shares of the information technology services provider’s stock valued at $3,591,425,000 after acquiring an additional 18,854,775 shares during the period. Finally, Morgan Stanley increased its holdings in shares of ServiceNow by 335.6% in the 4th quarter. Morgan Stanley now owns 22,733,483 shares of the information technology services provider’s stock valued at $3,482,543,000 after acquiring an additional 17,514,679 shares during the period. 87.18% of the stock is currently owned by hedge funds and other institutional investors.

More ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Q1 results showed solid revenue growth and ServiceNow raised its annual subscription-revenue outlook, citing strong enterprise adoption of its AI products — a driver for longer-term revenue expansion. ServiceNow boosts annual subscription revenue outlook on strong AI software demand
• Positive Sentiment: Strategic moves broaden product reach: ServiceNow closed the Armis acquisition (adds OT/IoT and agentless asset visibility) and deepened ties with Google Cloud while landing customer wins (e.g., TridentCare) — these support cross-sell and AI/security revenue opportunities. ServiceNow inches up after it closes Armis acquisition ServiceNow and Google Cloud unite AI agents for autonomous enterprise operations
• Neutral Sentiment: Management reiterated that AI boosts productivity (CEO expects to hold headcount flat), which could improve operating leverage over time but leaves short-term margin and execution questions open. AI will boost productivity so ServiceNow won’t have to backfill open jobs, CEO says
• Negative Sentiment: Near-term margin pressure: ServiceNow warned the Armis deal will dent operating margins (~75 bps full year; ~125 bps in Q2), which was a key reason the stock sold off after hours. Margin guidance concerns are a primary driver of recent volatility. ServiceNow Posts Revenue Growth, But Says Armis Deal Will Weigh on Margins
• Negative Sentiment: Middle East conflict has delayed several large deals, creating a reported ~75 bps revenue headwind in Q1 and contributing to cautious guidance and investor disappointment. Management expects those deals to close later in the year, so impact is timing-related. ServiceNow flags Middle East deal delays, shares crash
• Negative Sentiment: Sector and sentiment pressure: broader AI-disruption fears and elevated short interest in ServiceNow amplified the reaction to mixed guidance/ margin news, prompting sharp intraday moves in NOW and other software names. US software stocks slide as IBM, ServiceNow results reignite AI disruption fears

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.