ServiceNow (NYSE:NOW) Earns Buy Rating from Analysts at DA Davidson

DA Davidson started coverage on shares of ServiceNow (NYSE:NOW) in a research report released on Wednesday, Marketbeat.com reports. The firm issued a buy rating and a $1,150.00 target price on the information technology services provider’s stock. DA Davidson also issued estimates for ServiceNow’s Q2 2025 earnings at $1.78 EPS, FY2025 earnings at $9.39 EPS and FY2026 earnings at $11.39 EPS.

Other analysts have also issued research reports about the stock. Piper Sandler lowered their target price on shares of ServiceNow from $1,200.00 to $1,120.00 and set an “overweight” rating for the company in a report on Thursday, April 24th. Stifel Nicolaus lifted their target price on shares of ServiceNow from $975.00 to $1,050.00 and gave the stock a “buy” rating in a report on Tuesday, May 6th. BMO Capital Markets lifted their target price on shares of ServiceNow from $1,025.00 to $1,150.00 and gave the stock an “outperform” rating in a report on Wednesday, May 14th. Jefferies Financial Group lowered their price objective on shares of ServiceNow from $1,250.00 to $1,025.00 and set a “buy” rating for the company in a research report on Tuesday, April 15th. Finally, Scotiabank set a $1,100.00 price objective on shares of ServiceNow and gave the company an “outperform” rating in a research report on Wednesday, May 7th. One analyst has rated the stock with a sell rating, two have assigned a hold rating, thirty-one have given a buy rating and two have issued a strong buy rating to the company’s stock. According to MarketBeat, ServiceNow has an average rating of “Moderate Buy” and a consensus price target of $1,065.32.

ServiceNow Price Performance

NOW opened at $1,023.56 on Wednesday. The company has a fifty day moving average price of $985.61 and a two-hundred day moving average price of $967.23. The company has a debt-to-equity ratio of 0.15, a quick ratio of 1.12 and a current ratio of 1.12. ServiceNow has a 52 week low of $678.66 and a 52 week high of $1,198.09. The firm has a market capitalization of $211.86 billion, a PE ratio of 139.07, a P/E/G ratio of 4.65 and a beta of 0.95.

ServiceNow (NYSE:NOW) last released its earnings results on Wednesday, April 23rd. The information technology services provider reported $4.04 EPS for the quarter, topping analysts’ consensus estimates of $3.78 by $0.26. ServiceNow had a net margin of 13.41% and a return on equity of 17.34%. The firm had revenue of $3.09 billion during the quarter, compared to analyst estimates of $3.09 billion. During the same quarter in the previous year, the business earned $3.41 EPS. The business’s quarterly revenue was up 18.6% compared to the same quarter last year. As a group, analysts anticipate that ServiceNow will post 8.93 earnings per share for the current year.

Insider Activity

In other news, insider Jacqueline P. Canney sold 354 shares of the company’s stock in a transaction dated Wednesday, April 16th. The shares were sold at an average price of $804.61, for a total value of $284,831.94. Following the sale, the insider now directly owns 3,027 shares of the company’s stock, valued at approximately $2,435,554.47. This represents a 10.47% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO William R. Mcdermott sold 2,050 shares of the company’s stock in a transaction dated Friday, May 30th. The shares were sold at an average price of $1,012.01, for a total transaction of $2,074,620.50. Following the completion of the sale, the chief executive officer now directly owns 6,614 shares in the company, valued at approximately $6,693,434.14. The trade was a 23.66% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 6,716 shares of company stock valued at $6,611,245. 0.38% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. Bogart Wealth LLC grew its stake in ServiceNow by 113.3% in the 1st quarter. Bogart Wealth LLC now owns 32 shares of the information technology services provider’s stock valued at $25,000 after buying an additional 17 shares during the last quarter. Graybill Wealth Management LTD. acquired a new position in ServiceNow in the 1st quarter valued at about $26,000. Quarry LP acquired a new position in ServiceNow in the 4th quarter valued at about $27,000. Atala Financial Inc acquired a new position in shares of ServiceNow during the 4th quarter worth approximately $28,000. Finally, WASHINGTON TRUST Co grew its position in shares of ServiceNow by 620.0% during the 1st quarter. WASHINGTON TRUST Co now owns 36 shares of the information technology services provider’s stock worth $29,000 after purchasing an additional 31 shares in the last quarter. Institutional investors and hedge funds own 87.18% of the company’s stock.

About ServiceNow

ServiceNow, Inc provides end to-end intelligent workflow automation platform solutions for digital businesses in the North America, Europe, the Middle East and Africa, Asia Pacific, and internationally. The company operates the Now platform for end-to-end digital transformation, artificial intelligence, machine learning, robotic process automation, process mining, performance analytics, and collaboration and development tools.