DA Davidson Has Lowered Expectations for ServiceNow (NYSE:NOW) Stock Price

ServiceNow (NYSE:NOW) had its target price dropped by research analysts at DA Davidson from $220.00 to $190.00 in a report issued on Thursday,MarketScreener reports. The firm currently has a “buy” rating on the information technology services provider’s stock. DA Davidson’s target price points to a potential upside of 118.86% from the stock’s current price.

NOW has been the topic of a number of other reports. Benchmark began coverage on shares of ServiceNow in a research report on Wednesday, April 1st. They set a “buy” rating and a $125.00 price target on the stock. HSBC decreased their target price on shares of ServiceNow from $226.00 to $171.00 and set a “buy” rating on the stock in a research report on Thursday, April 16th. Arete Research set a $200.00 price target on shares of ServiceNow in a research report on Tuesday, January 6th. Cantor Fitzgerald reiterated an “overweight” rating and issued a $200.00 price target on shares of ServiceNow in a research note on Thursday, January 29th. Finally, Macquarie Infrastructure reduced their price target on ServiceNow from $172.00 to $140.00 and set a “neutral” rating on the stock in a research report on Thursday, January 29th. Three equities research analysts have rated the stock with a Strong Buy rating, thirty-four have assigned a Buy rating, six have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $155.86.

ServiceNow Stock Performance

ServiceNow stock traded down $16.26 during mid-day trading on Thursday, hitting $86.81. 17,589,364 shares of the company’s stock traded hands, compared to its average volume of 20,024,004. The company has a debt-to-equity ratio of 0.12, a current ratio of 1.00 and a quick ratio of 1.00. The firm has a 50 day simple moving average of $105.55 and a two-hundred day simple moving average of $138.83. ServiceNow has a fifty-two week low of $81.24 and a fifty-two week high of $211.48. The stock has a market cap of $89.95 billion, a price-to-earnings ratio of 52.17, a P/E/G ratio of 1.68 and a beta of 1.01.

ServiceNow (NYSE:NOW) last announced its earnings results on Wednesday, April 22nd. The information technology services provider reported $0.97 EPS for the quarter, hitting the consensus estimate of $0.97. The business had revenue of $3.77 billion during the quarter, compared to the consensus estimate of $3.75 billion. ServiceNow had a net margin of 13.16% and a return on equity of 18.54%. ServiceNow’s revenue was up 22.1% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $4.04 EPS. On average, research analysts expect that ServiceNow will post 2.49 EPS for the current fiscal year.

Insider Transactions at ServiceNow

In other ServiceNow news, Director Paul Edward Chamberlain sold 1,500 shares of the business’s stock in a transaction that occurred on Thursday, February 12th. The shares were sold at an average price of $101.17, for a total transaction of $151,755.00. Following the sale, the director directly owned 46,430 shares of the company’s stock, valued at $4,697,323.10. The trade was a 3.13% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, insider Kevin Thomas Mcbride sold 1,400 shares of the company’s stock in a transaction that occurred on Friday, February 13th. The shares were sold at an average price of $105.71, for a total transaction of $147,994.00. Following the completion of the transaction, the insider owned 26,314 shares of the company’s stock, valued at approximately $2,781,652.94. This trade represents a 5.05% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 16,237 shares of company stock worth $1,697,162. Insiders own 0.34% of the company’s stock.

Institutional Trading of ServiceNow

Institutional investors have recently modified their holdings of the business. waypoint wealth counsel increased its holdings in ServiceNow by 9.1% in the first quarter. waypoint wealth counsel now owns 4,033 shares of the information technology services provider’s stock valued at $422,000 after purchasing an additional 338 shares during the period. North Star Investment Management Corp. lifted its holdings in ServiceNow by 1,016.0% during the 1st quarter. North Star Investment Management Corp. now owns 1,116 shares of the information technology services provider’s stock worth $117,000 after buying an additional 1,016 shares during the period. Continuum Advisory LLC lifted its holdings in ServiceNow by 41.6% during the 1st quarter. Continuum Advisory LLC now owns 3,119 shares of the information technology services provider’s stock worth $326,000 after buying an additional 916 shares during the period. Portus Wealth Advisors LLC bought a new stake in shares of ServiceNow in the 1st quarter valued at about $53,000. Finally, Apollon Wealth Management LLC increased its stake in shares of ServiceNow by 25.2% in the first quarter. Apollon Wealth Management LLC now owns 20,555 shares of the information technology services provider’s stock valued at $2,149,000 after buying an additional 4,143 shares during the period. Institutional investors own 87.18% of the company’s stock.

Trending Headlines about ServiceNow

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Q1 subscription revenue and top-line: Subscription revenue grew ~22% YoY and overall Q1 revenue slightly beat consensus, showing continued demand for ServiceNow’s AI-driven platform. BusinessWire Q1 Release
• Positive Sentiment: Company raised its annual subscription revenue outlook, citing stronger AI adoption — a sign management sees sustainable demand for Now Assist and related products. Reuters: Boosts Outlook
• Neutral Sentiment: Strategic moves: ServiceNow closed the Armis acquisition to expand into OT/IoT/cyber asset visibility and announced deeper Google Cloud AI integrations — positive long-term product synergy but with short-term execution risk. Yahoo: Google Cloud Partnership
• Neutral Sentiment: Management tone and events calendar: CEO emphasized AI-driven productivity and an Analyst Day is scheduled for May 4 — useful for forward guidance clarity. Investors.com: Analyst Day
• Negative Sentiment: Middle East deal delays: Management said delayed large deals in the Middle East created ~75 bps of subscription-revenue headwind in Q1 and could push some closures into later quarters — an immediate growth and sentiment headwind. Yahoo: Deal Delays
• Negative Sentiment: Margins to be pressured by Armis purchase: ServiceNow warned the acquisition will create a roughly 75‑bp FY operating-margin headwind (125 bps in Q2), which contributed to investor concern about near-term profitability. WSJ: Armis Margin Impact
• Negative Sentiment: Market reaction and analyst moves: Despite the beat, sentiment soured — multiple shops trimmed price targets and the stock drew higher short interest amid broader AI/disruption worries, amplifying the selloff. Finviz: Analyst PT Cuts Reuters: Short Interest

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.