ServiceNow (NYSE:NOW) Price Target Cut to $185.00 by Analysts at Wells Fargo & Company

ServiceNow (NYSE:NOW) had its price target reduced by Wells Fargo & Company from $225.00 to $185.00 in a note issued to investors on Tuesday,Benzinga reports. The brokerage currently has an “overweight” rating on the information technology services provider’s stock. Wells Fargo & Company‘s price objective suggests a potential upside of 76.89% from the stock’s current price.

Several other research analysts have also issued reports on the stock. DZ Bank raised shares of ServiceNow to a “strong-buy” rating in a research report on Thursday, December 18th. Needham & Company LLC reaffirmed a “buy” rating and set a $155.00 price objective on shares of ServiceNow in a report on Thursday, February 5th. BNP Paribas Exane upgraded ServiceNow from a “neutral” rating to an “outperform” rating and set a $140.00 price objective on the stock in a research note on Monday, March 16th. HSBC dropped their target price on ServiceNow from $266.40 to $226.00 and set a “buy” rating for the company in a report on Friday, January 30th. Finally, Piper Sandler restated an “overweight” rating on shares of ServiceNow in a research report on Thursday, January 29th. Three research analysts have rated the stock with a Strong Buy rating, thirty-two have given a Buy rating, five have given a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $191.52.

ServiceNow Stock Performance

ServiceNow stock traded down $0.39 on Tuesday, hitting $104.58. The company’s stock had a trading volume of 2,232,429 shares, compared to its average volume of 18,640,420. The firm has a market cap of $109.39 billion, a P/E ratio of 63.02, a price-to-earnings-growth ratio of 1.68 and a beta of 0.99. The company has a quick ratio of 1.00, a current ratio of 1.00 and a debt-to-equity ratio of 0.12. The company has a fifty day moving average price of $112.44 and a 200-day moving average price of $149.20. ServiceNow has a one year low of $98.00 and a one year high of $211.48.

ServiceNow (NYSE:NOW) last announced its quarterly earnings data on Wednesday, January 28th. The information technology services provider reported $0.92 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.89 by $0.03. The company had revenue of $3.57 billion during the quarter, compared to analysts’ expectations of $3.53 billion. ServiceNow had a net margin of 13.16% and a return on equity of 18.54%. The business’s revenue was up 20.7% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.73 EPS. On average, equities analysts anticipate that ServiceNow will post 8.93 earnings per share for the current year.

Insider Transactions at ServiceNow

In other news, insider Paul Fipps sold 9,641 shares of the firm’s stock in a transaction on Wednesday, February 18th. The stock was sold at an average price of $105.93, for a total value of $1,021,271.13. Following the completion of the sale, the insider directly owned 11,757 shares in the company, valued at approximately $1,245,419.01. This trade represents a 45.06% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, Director Paul Edward Chamberlain sold 1,500 shares of ServiceNow stock in a transaction dated Thursday, February 12th. The shares were sold at an average price of $101.17, for a total value of $151,755.00. Following the completion of the transaction, the director directly owned 46,430 shares of the company’s stock, valued at $4,697,323.10. This represents a 3.13% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 16,237 shares of company stock valued at $1,697,162 in the last three months. 0.34% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On ServiceNow

A number of institutional investors have recently modified their holdings of NOW. Vanguard Group Inc. lifted its position in shares of ServiceNow by 404.5% during the fourth quarter. Vanguard Group Inc. now owns 101,963,384 shares of the information technology services provider’s stock worth $15,619,771,000 after purchasing an additional 81,752,460 shares in the last quarter. State Street Corp increased its holdings in shares of ServiceNow by 406.6% in the fourth quarter. State Street Corp now owns 47,896,597 shares of the information technology services provider’s stock valued at $7,337,280,000 after purchasing an additional 38,441,898 shares in the last quarter. Price T Rowe Associates Inc. MD increased its holdings in shares of ServiceNow by 371.0% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 32,395,663 shares of the information technology services provider’s stock valued at $4,962,692,000 after purchasing an additional 25,517,218 shares in the last quarter. Geode Capital Management LLC raised its position in ServiceNow by 404.8% in the 4th quarter. Geode Capital Management LLC now owns 23,512,428 shares of the information technology services provider’s stock worth $3,591,425,000 after purchasing an additional 18,854,775 shares during the last quarter. Finally, Morgan Stanley lifted its holdings in ServiceNow by 335.6% during the 4th quarter. Morgan Stanley now owns 22,733,483 shares of the information technology services provider’s stock worth $3,482,543,000 after buying an additional 17,514,679 shares in the last quarter. 87.18% of the stock is owned by institutional investors.

Trending Headlines about ServiceNow

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: New AI/security integrations deepen ServiceNow’s role as an “AI control tower,” extending its platform into security, voice workflows and data resilience—supports longer‑term revenue leverage from enterprise AI. AI Security Partnerships
• Positive Sentiment: Bargain‑hunting after a near‑52‑week low spurred a sharp intraday bounce, indicating investor appetite for high‑quality SaaS names at cheaper levels. Bargain-Hunting Bounce
• Positive Sentiment: Shares jumped after headlines that US‑Iran talks showed signs of progress — easing some near‑term risk sentiment and boosting risk assets. Geopolitical Sentiment
• Positive Sentiment: Analyst coverage remains constructive: consensus “Moderate Buy” reinforces institutional support as valuation reset attracts buyers. Analyst Rating
• Neutral Sentiment: New partner integrations and third‑party connectors (Ziperase, Liquibase mentions) expand the ecosystem but are incremental; they support platform stickiness rather than immediate revenue shocks. Ziperase Connector
• Neutral Sentiment: Macro market action is mixed — S&P futures are firmer amid Fed caution and bond‑market moves; that helps software stocks broadly but also keeps volatility high. Macro Market Update
• Negative Sentiment: Broader geopolitical uncertainty (Iran war risk) and rising European yields remain a downside risk for multiples — any escalation could re‑pressure SaaS valuations. Geopolitical Risk
• Negative Sentiment: ServiceNow is still well below its 200‑day average and part of a broader SaaS sell‑off; valuation remains stretched versus near‑term growth expectations, keeping downside risk if enterprise spending slows. SaaS Sell-Off Context

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.