ServiceNow (NYSE:NOW) Shares Down 1.4% – What’s Next?

ServiceNow, Inc. (NYSE:NOW)’s share price dropped 1.4% during mid-day trading on Wednesday . The company traded as low as $138.33 and last traded at $139.8970. 9,806,187 shares were traded during mid-day trading, a decline of 57% from the average session volume of 22,896,064 shares. The stock had previously closed at $141.90.

Analyst Upgrades and Downgrades

NOW has been the subject of several recent analyst reports. UBS Group set a $248.00 target price on shares of ServiceNow in a research report on Thursday, July 23rd. TD Cowen reaffirmed a “buy” rating and issued a $140.00 price target on shares of ServiceNow in a report on Monday, August 17th. Wells Fargo & Company reaffirmed an “overweight” rating and set a $175.00 price target (up from $160.00) on shares of ServiceNow in a research report on Wednesday, August 12th. Needham & Company LLC increased their price objective on ServiceNow from $115.00 to $155.00 and gave the company a “buy” rating in a report on Friday, September 11th. Finally, Morgan Stanley set a $180.00 target price on ServiceNow in a research note on Tuesday, July 21st. One equities research analyst has rated the stock with a Strong Buy rating, thirty-six have assigned a Buy rating, three have issued a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $145.71.

ServiceNow Stock Down 1.4%

The company’s 50 day moving average price is $121.59 and its 200 day moving average price is $109.52. The company has a quick ratio of 0.70, a current ratio of 0.70 and a debt-to-equity ratio of 0.43. The firm has a market capitalization of $144.65 billion, a price-to-earnings ratio of 87.44, a P/E/G ratio of 2.61 and a beta of 0.97.

ServiceNow (NYSE:NOW) last released its earnings results on Wednesday, July 22nd. The information technology services provider reported $0.90 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.86 by $0.04. ServiceNow had a return on equity of 16.45% and a net margin of 11.34%.The firm had revenue of $3.99 billion for the quarter, compared to the consensus estimate of $3.93 billion. During the same period in the prior year, the firm earned $0.81 EPS. The firm’s revenue was up 24.0% on a year-over-year basis. As a group, research analysts forecast that ServiceNow, Inc. will post 2.22 earnings per share for the current fiscal year.

Insider Activity

In other news, insider Paul Fipps sold 2,034 shares of the stock in a transaction dated Monday, August 31st. The stock was sold at an average price of $147.87, for a total value of $300,767.58. Following the transaction, the insider directly owned 18,305 shares of the company’s stock, valued at approximately $2,706,760.35. This represents a 10.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Paul Chamberlain sold 2,700 shares of the firm’s stock in a transaction dated Thursday, August 27th. The stock was sold at an average price of $135.50, for a total value of $365,850.00. Following the completion of the transaction, the director owned 43,990 shares of the company’s stock, valued at approximately $5,960,645. The trade was a 5.78% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 14,081 shares of company stock valued at $1,937,904. Company insiders own 0.34% of the company’s stock.

Institutional Trading of ServiceNow

Several large investors have recently made changes to their positions in NOW. National Pension Service raised its holdings in shares of ServiceNow by 5.8% during the second quarter. National Pension Service now owns 2,705,240 shares of the information technology services provider’s stock worth $268,576,000 after purchasing an additional 147,467 shares during the last quarter. WINTON GROUP Ltd boosted its holdings in ServiceNow by 45.9% in the second quarter. WINTON GROUP Ltd now owns 132,411 shares of the information technology services provider’s stock valued at $13,146,000 after purchasing an additional 41,653 shares during the last quarter. Engineers Gate Manager LP grew its position in ServiceNow by 6.7% during the 2nd quarter. Engineers Gate Manager LP now owns 370,643 shares of the information technology services provider’s stock worth $36,797,000 after purchasing an additional 23,409 shares during the period. Capital Analysts LLC grew its position in ServiceNow by 12,952.5% during the 2nd quarter. Capital Analysts LLC now owns 5,221 shares of the information technology services provider’s stock worth $518,000 after purchasing an additional 5,181 shares during the period. Finally, SVB Wealth LLC raised its stake in shares of ServiceNow by 11.9% during the 2nd quarter. SVB Wealth LLC now owns 2,618 shares of the information technology services provider’s stock valued at $260,000 after buying an additional 278 shares during the last quarter. 87.18% of the stock is owned by hedge funds and other institutional investors.

ServiceNow Company Profile

ServiceNow, Inc is a cloud-based enterprise software company that provides digital workflow and automation solutions. Its Now Platform enables organizations to manage and connect business processes across information technology, customer service, human resources, finance, legal operations and other departments.

The company’s products and services include IT service management, IT operations management, customer service management, human resources service delivery, security operations, risk and compliance management, strategic portfolio management and application development tools.