Macquarie Issues Pessimistic Forecast for ServiceNow (NYSE:NOW) Stock Price

ServiceNow (NYSE:NOW) had its price target reduced by investment analysts at Macquarie from $172.00 to $140.00 in a research report issued on Thursday,Benzinga reports. The firm presently has a “neutral” rating on the information technology services provider’s stock. Macquarie’s price target would suggest a potential upside of 19.94% from the company’s previous close.

A number of other analysts have also recently issued reports on NOW. UBS Group set a $115.00 target price on shares of ServiceNow in a research note on Thursday. Wall Street Zen raised shares of ServiceNow from a “hold” rating to a “buy” rating in a research note on Saturday, December 27th. Barclays increased their target price on shares of ServiceNow from $242.00 to $245.00 and gave the stock an “overweight” rating in a research report on Thursday, October 30th. Stifel Nicolaus set a $180.00 target price on ServiceNow and gave the company a “buy” rating in a report on Thursday. Finally, JPMorgan Chase & Co. upped their price target on ServiceNow from $204.00 to $215.00 and gave the stock an “overweight” rating in a research note on Thursday, October 30th. Two analysts have rated the stock with a Strong Buy rating, thirty-two have assigned a Buy rating, six have given a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $194.84.

ServiceNow Price Performance

Shares of NYSE:NOW opened at $116.73 on Thursday. The firm has a market cap of $121.21 billion, a price-to-earnings ratio of 69.98, a P/E/G ratio of 2.01 and a beta of 0.98. ServiceNow has a 1 year low of $113.13 and a 1 year high of $211.48. The company has a current ratio of 1.00, a quick ratio of 1.06 and a debt-to-equity ratio of 0.12. The business has a fifty day simple moving average of $149.79 and a 200 day simple moving average of $170.88.

ServiceNow (NYSE:NOW) last issued its earnings results on Wednesday, January 28th. The information technology services provider reported $0.92 earnings per share for the quarter, topping the consensus estimate of $0.89 by $0.03. ServiceNow had a return on equity of 18.54% and a net margin of 13.16%.The company had revenue of $3.57 billion for the quarter, compared to analyst estimates of $3.53 billion. During the same period in the prior year, the firm posted $0.73 EPS. The business’s revenue was up 20.7% compared to the same quarter last year. As a group, sell-side analysts predict that ServiceNow will post 8.93 earnings per share for the current fiscal year.

Insider Buying and Selling at ServiceNow

In other ServiceNow news, Director Paul Edward Chamberlain sold 1,500 shares of the business’s stock in a transaction dated Friday, November 28th. The shares were sold at an average price of $161.60, for a total value of $242,400.00. Following the transaction, the director directly owned 47,930 shares in the company, valued at $7,745,488. The trade was a 3.03% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Paul Fipps sold 1,525 shares of the firm’s stock in a transaction that occurred on Tuesday, November 18th. The stock was sold at an average price of $163.51, for a total transaction of $249,352.75. Following the sale, the insider directly owned 2,705 shares of the company’s stock, valued at approximately $442,294.55. The trade was a 36.05% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 15,310 shares of company stock worth $2,533,585 over the last ninety days. Company insiders own 0.34% of the company’s stock.

Hedge Funds Weigh In On ServiceNow

Several institutional investors have recently bought and sold shares of the business. Kilter Group LLC acquired a new position in ServiceNow during the 2nd quarter worth about $25,000. IAG Wealth Partners LLC raised its stake in shares of ServiceNow by 200.0% in the third quarter. IAG Wealth Partners LLC now owns 27 shares of the information technology services provider’s stock worth $25,000 after acquiring an additional 18 shares during the last quarter. Noble Wealth Management PBC lifted its position in shares of ServiceNow by 400.0% during the fourth quarter. Noble Wealth Management PBC now owns 160 shares of the information technology services provider’s stock worth $25,000 after purchasing an additional 128 shares in the last quarter. Lodestone Wealth Management LLC bought a new stake in shares of ServiceNow during the fourth quarter valued at approximately $26,000. Finally, Albion Financial Group UT increased its holdings in shares of ServiceNow by 400.0% in the fourth quarter. Albion Financial Group UT now owns 170 shares of the information technology services provider’s stock valued at $26,000 after purchasing an additional 136 shares in the last quarter. Institutional investors own 87.18% of the company’s stock.

More ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Q4 results beat expectations — EPS and revenue topped street estimates and subscription revenue grew >20%, showing continued demand and AI adoption. Earnings Beat
• Positive Sentiment: Board authorized a $5B buyback (including $2B accelerated), which is supportive for EPS and signals management confidence. Buyback
• Positive Sentiment: Strong AI product traction and partnerships (Anthropic, OpenAI integrations) underpin longer-term growth potential and enterprise adoption. AI Partnerships
• Neutral Sentiment: Analyst reactions are mixed: several firms (DA Davidson, Cantor, BTIG, Needham) reiterated/maintained buy or overweight ratings and raised/kept targets, while others cut targets or downgraded — leaving a wide range of price targets and sentiment dispersion. Analyst Notes
• Neutral Sentiment: Unusually large options volume was reported, indicating speculative/moderately aggressive trading that can amplify intraday moves (uncertain directional implication). Options Activity
• Negative Sentiment: Guidance signaled a slowdown: management forecast subscription growth for FY26 that implies deceleration from 2025 levels — investors viewed this as a notable deceleration risk. Guidance/Slowdown
• Negative Sentiment: Broader sector and AI disruption fears triggered a sell-off in software names; commentary highlighted multiple compression and concerns competition from new AI entrants could hurt growth/valuation. Sector/AI Fears
• Negative Sentiment: Some firms cut price targets sharply (KeyCorp to $115, Macquarie to $140), reflecting concern over valuation and near‑term execution — that contributed to downward pressure. Price Target Cuts

ServiceNow Company Profile

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.