TD Cowen Issues Pessimistic Forecast for ServiceNow (NYSE:NOW) Stock Price

ServiceNow (NYSE:NOW) had its target price decreased by TD Cowen from $200.00 to $185.00 in a report released on Thursday,MarketScreener reports. The firm presently has a “buy” rating on the information technology services provider’s stock. TD Cowen’s target price would suggest a potential upside of 58.49% from the company’s previous close.

NOW has been the subject of several other research reports. Evercore ISI reiterated an “outperform” rating and issued a $175.00 price target (down previously from $225.00) on shares of ServiceNow in a research report on Thursday. DZ Bank upgraded ServiceNow to a “strong-buy” rating in a report on Thursday, December 18th. Capital One Financial lowered their price target on ServiceNow from $188.00 to $161.00 and set an “overweight” rating for the company in a research report on Friday, January 16th. Royal Bank Of Canada cut their price objective on shares of ServiceNow from $195.00 to $185.00 and set an “outperform” rating on the stock in a research report on Thursday. Finally, Sanford C. Bernstein reaffirmed an “outperform” rating on shares of ServiceNow in a research note on Thursday. Two research analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, six have assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $194.47.

ServiceNow Price Performance

Shares of ServiceNow stock traded down $0.00 on Thursday, hitting $116.73. 28,031,876 shares of the company traded hands, compared to its average volume of 14,789,080. ServiceNow has a 52 week low of $113.13 and a 52 week high of $211.48. The business has a 50-day simple moving average of $149.79 and a 200 day simple moving average of $170.88. The company has a debt-to-equity ratio of 0.12, a quick ratio of 1.06 and a current ratio of 1.00. The stock has a market capitalization of $121.21 billion, a P/E ratio of 69.98, a price-to-earnings-growth ratio of 2.01 and a beta of 0.98.

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

Insider Activity at ServiceNow

In other ServiceNow news, Director Paul Edward Chamberlain sold 1,500 shares of the business’s stock in a transaction dated Friday, November 28th. The shares were sold at an average price of $161.60, for a total value of $242,400.00. Following the completion of the transaction, the director directly owned 47,930 shares in the company, valued at approximately $7,745,488. The trade was a 3.03% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, insider Kevin Thomas Mcbride sold 1,400 shares of the firm’s stock in a transaction dated Friday, November 14th. The shares were sold at an average price of $168.50, for a total transaction of $235,894.40. Following the completion of the sale, the insider owned 25,270 shares in the company, valued at $4,257,893.92. This represents a 5.25% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 15,310 shares of company stock valued at $2,533,585 over the last quarter. 0.34% of the stock is owned by insiders.

Hedge Funds Weigh In On ServiceNow

Several institutional investors and hedge funds have recently bought and sold shares of the company. Vanguard Group Inc. increased its position in ServiceNow by 404.5% during 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 buying an additional 81,752,460 shares in the last quarter. Jennison Associates LLC grew its stake in shares of ServiceNow by 280.1% during 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 acquiring an additional 6,213,762 shares during the last quarter. Nordea Investment Management AB raised its position in shares of ServiceNow by 388.7% in the 4th 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 purchasing an additional 3,743,087 shares during the last quarter. Pictet Asset Management Holding SA raised its position in shares of ServiceNow by 613.4% in the 4th 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 purchasing an additional 3,301,962 shares during the last quarter. Finally, Norges Bank acquired a new stake in ServiceNow in the 2nd quarter worth approximately $2,589,235,000. 87.18% of the stock is owned by hedge funds and other institutional investors.

More ServiceNow News

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.