Cibc World Market Inc. Makes New $36.73 Million Investment in ServiceNow, Inc. $NOW

Cibc World Market Inc. bought a new stake in ServiceNow, Inc. (NYSE:NOW) in the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor bought 370,009 shares of the information technology services provider’s stock, valued at approximately $36,734,000.

A number of other hedge funds and other institutional investors have also modified their holdings of the stock. OMERS ADMINISTRATION Corp purchased a new stake in shares of ServiceNow in the second quarter valued at about $27,562,000. Osmosis Investment Management UK Ltd purchased a new position in ServiceNow during the second quarter worth about $3,495,000. Biondo Investment Advisors LLC purchased a new position in ServiceNow during the second quarter worth about $11,572,000. Saranac Partners Ltd acquired a new position in ServiceNow in the 2nd quarter valued at about $4,044,000. Finally, Solstein Capital LLC acquired a new position in ServiceNow in the 2nd quarter valued at about $35,000. 87.18% of the stock is owned by institutional investors and hedge funds.

Key Headlines Impacting ServiceNow

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow expanded its multi-year partnership with Tech Mahindra to help enterprises move AI projects from pilot programs into production. The “Client Zero” approach combines ServiceNow’s AI platform with Tech Mahindra’s industry expertise, potentially increasing adoption, automation revenue and measurable customer outcomes. Tech Mahindra and ServiceNow Expand Partnership to Deliver Production-Ready Enterprise AI at Scale
• Positive Sentiment: Bank of America raised its ServiceNow price target to $150, citing the company’s positioning to monetize artificial intelligence as concerns about AI disruption to traditional software fade. The move contributed to broader bullish sentiment across software stocks. Bank of America Increases ServiceNow Price Target to $150
• Positive Sentiment: ServiceNow has gained substantially since its latest earnings report, which beat estimates on both adjusted earnings and revenue. Quarterly revenue increased 24% year over year, reinforcing the view that the company remains a leading enterprise AI and workflow platform. ServiceNow Up 41.1% Since Last Earnings Report
• Positive Sentiment: ServiceNow was also selected as a CNBC “Final Trade,” providing additional visibility and signaling continued support from some professional investors. Final Trades: ServiceNow, Vertex and Uber
• Neutral Sentiment: Despite the favorable company news, midday AI buying has been concentrated in government-facing companies such as Palantir and BigBear.ai rather than enterprise software, limiting near-term upside for NOW. How Are Traders Picking the Software Winners?
• Negative Sentiment: Investors continue to monitor competitive threats from newer AI-native automation platforms, including Serval, as well as ServiceNow’s premium valuation. Those concerns may encourage profit-taking after the stock’s sharp post-earnings advance. Serval Wants To Replace ServiceNow With AI That Builds Enterprise Automation

Insider Buying and Selling

In other ServiceNow news, Director Paul Edward Chamberlain sold 1,500 shares of the company’s stock in a transaction on Thursday, August 13th. The stock was sold at an average price of $125.60, for a total transaction of $188,400.00. Following the transaction, the director directly owned 46,690 shares in the company, valued at $5,864,264. This represents a 3.11% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.34% of the stock is owned by company insiders.

ServiceNow Price Performance

ServiceNow stock opened at $128.73 on Monday. The company’s 50 day simple moving average is $108.88 and its 200-day simple moving average is $105.66. The company has a debt-to-equity ratio of 0.43, a quick ratio of 0.70 and a current ratio of 0.70. ServiceNow, Inc. has a 1 year low of $81.24 and a 1 year high of $194.73. The company has a market capitalization of $133.11 billion, a price-to-earnings ratio of 80.46, a price-to-earnings-growth ratio of 2.26 and a beta of 0.94.

ServiceNow (NYSE:NOW) last posted its quarterly earnings data on Wednesday, July 22nd. The information technology services provider reported $0.90 earnings per share for the quarter, topping analysts’ consensus estimates of $0.86 by $0.04. ServiceNow had a net margin of 11.34% and a return on equity of 16.45%. The firm had revenue of $3.99 billion during the quarter, compared to analysts’ expectations of $3.93 billion. During the same quarter last year, the company posted $0.81 EPS. The firm’s quarterly revenue was up 24.0% on a year-over-year basis. As a group, equities research analysts expect that ServiceNow, Inc. will post 2.24 earnings per share for the current year.

Analysts Set New Price Targets

NOW has been the subject of a number of recent analyst reports. Bank of America raised their price target on shares of ServiceNow from $130.00 to $150.00 and gave the stock a “buy” rating in a report on Wednesday, August 19th. TD Cowen reiterated a “buy” rating and issued a $140.00 price objective on shares of ServiceNow in a report on Monday, August 17th. Citic Securities decreased their price objective on ServiceNow from $168.00 to $140.00 and set a “buy” rating on the stock in a report on Thursday, May 21st. Sanford C. Bernstein reiterated an “outperform” rating and issued a $248.00 price objective (up from $236.00) on shares of ServiceNow in a research report on Thursday, July 23rd. Finally, Needham & Company LLC reissued a “buy” rating and set a $115.00 target price on shares of ServiceNow in a research note on Thursday, July 23rd. One analyst has rated the stock with a Strong Buy rating, thirty-six have issued a Buy rating, three have issued a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $144.24.

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.