ServiceNow (NYSE:NOW) Shares Down 2.1% on Analyst Downgrade

ServiceNow, Inc. (NYSE:NOW) shares traded down 2.1% during trading on Tuesday after Wall Street Zen downgraded the stock from a buy rating to a hold rating. The company traded as low as $811.61 and last traded at $818.1020. 1,520,946 shares traded hands during mid-day trading, a decline of 7% from the average session volume of 1,640,260 shares. The stock had previously closed at $835.79.

A number of other research firms have also recently commented on NOW. Barclays increased their target price on ServiceNow from $1,210.00 to $1,225.00 and gave the stock an “overweight” rating in a research note on Thursday, October 30th. JPMorgan Chase & Co. upped their price objective on ServiceNow from $1,020.00 to $1,075.00 and gave the company an “overweight” rating in a research report on Thursday, October 30th. Morgan Stanley set a $1,315.00 target price on ServiceNow and gave the stock an “overweight” rating in a report on Thursday, October 30th. Erste Group Bank restated a “hold” rating on shares of ServiceNow in a research note on Wednesday, July 23rd. Finally, Mizuho set a $1,150.00 price objective on ServiceNow in a research report on Thursday, October 30th. One investment analyst has rated the stock with a Strong Buy rating, thirty-one have given a Buy rating, four have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $1,159.66.

Insider Transactions at ServiceNow

In other news, CEO William R. Mcdermott sold 5,825 shares of ServiceNow stock in a transaction dated Thursday, August 28th. The stock was sold at an average price of $916.63, for a total transaction of $5,339,369.75. Following the transaction, the chief executive officer directly owned 6,614 shares of the company’s stock, valued at $6,062,590.82. The trade was a 46.83% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Kevin Thomas Mcbride sold 280 shares of the company’s stock in a transaction that occurred on Friday, November 14th. The stock was sold at an average price of $842.48, for a total transaction of $235,894.40. Following the completion of the transaction, the insider owned 5,054 shares of the company’s stock, valued at approximately $4,257,893.92. The trade was a 5.25% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 7,330 shares of company stock worth $6,688,244. 0.38% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On ServiceNow

Hedge funds have recently modified their holdings of the stock. Norges Bank purchased a new stake in shares of ServiceNow during the 2nd quarter worth approximately $2,589,235,000. Nuveen LLC bought a new stake in ServiceNow in the first quarter worth $1,817,535,000. Goldman Sachs Group Inc. increased its position in ServiceNow by 131.4% in the first quarter. Goldman Sachs Group Inc. now owns 1,480,526 shares of the information technology services provider’s stock worth $1,178,706,000 after purchasing an additional 840,731 shares during the last quarter. Parnassus Investments LLC purchased a new stake in ServiceNow during the first quarter valued at $519,806,000. Finally, Amundi lifted its position in ServiceNow by 61.9% during the first quarter. Amundi now owns 1,638,927 shares of the information technology services provider’s stock valued at $1,269,777,000 after purchasing an additional 626,623 shares during the last quarter. Hedge funds and other institutional investors own 87.18% of the company’s stock.

ServiceNow Stock Down 2.1%

The firm has a market capitalization of $170.17 billion, a PE ratio of 98.92, a PEG ratio of 4.11 and a beta of 0.94. The business’s 50 day simple moving average is $910.56 and its 200 day simple moving average is $947.36. The company has a current ratio of 1.09, a quick ratio of 1.09 and a debt-to-equity ratio of 0.14.

ServiceNow’s stock is set to split on Friday, December 5th. The 5-1 split was announced on Wednesday, October 29th. The newly created shares will be issued to shareholders after the market closes on Thursday, December 4th.

ServiceNow (NYSE:NOW) last issued its quarterly earnings results on Wednesday, October 29th. The information technology services provider reported $4.82 EPS for the quarter, beating the consensus estimate of $4.21 by $0.61. The company had revenue of $3.41 billion for the quarter, compared to the consensus estimate of $3.35 billion. ServiceNow had a net margin of 13.66% and a return on equity of 19.23%. The firm’s revenue was up 21.8% compared to the same quarter last year. During the same period in the prior year, the firm posted $3.72 EPS. On average, equities research analysts forecast that ServiceNow, Inc. will post 8.93 earnings per share for the current year.

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.