ServiceNow (NYSE:NOW) Coverage Initiated at Benchmark

Benchmark began coverage on shares of ServiceNow (NYSE:NOW) in a research note issued on Wednesday,MarketScreener reports. The firm set a “buy” rating and a $125.00 price target on the information technology services provider’s stock. Benchmark’s price objective suggests a potential upside of 22.58% from the stock’s previous close.

A number of other research firms have also weighed in on NOW. Jefferies Financial Group cut their price objective on shares of ServiceNow from $230.00 to $175.00 and set a “buy” rating for the company in a research report on Friday, January 23rd. Guggenheim upgraded shares of ServiceNow from a “sell” rating to a “neutral” rating in a research report on Tuesday, December 16th. BTIG Research reaffirmed a “buy” rating and issued a $200.00 target price on shares of ServiceNow in a research note on Thursday, January 29th. Canaccord Genuity Group set a $200.00 price target on ServiceNow in a report on Thursday, January 29th. Finally, Arete Research set a $200.00 price target on ServiceNow in a research note on Tuesday, January 6th. Three research analysts have rated the stock with a Strong Buy rating, thirty-three have given a Buy rating, five have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat, ServiceNow presently has a consensus rating of “Moderate Buy” and an average target price of $188.59.

ServiceNow Stock Down 2.0%

NOW opened at $101.98 on Wednesday. The firm has a market cap of $106.67 billion, a P/E ratio of 61.14, a PEG ratio of 1.74 and a beta of 1.01. The business’s fifty day simple moving average is $111.06 and its 200 day simple moving average is $147.99. ServiceNow has a 52 week low of $98.00 and a 52 week high of $211.48. The company has a quick ratio of 1.00, a current ratio of 1.00 and a debt-to-equity ratio of 0.12.

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

Insider Buying and Selling

In other news, Director Paul Edward Chamberlain sold 1,500 shares of the business’s stock in a transaction on Thursday, February 12th. The shares were sold at an average price of $101.17, for a total transaction of $151,755.00. Following the completion of the sale, the director directly owned 46,430 shares of the company’s stock, valued at $4,697,323.10. The trade was a 3.13% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, insider Paul Fipps sold 9,641 shares of the company’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 sale, the insider owned 11,757 shares of the company’s stock, valued at approximately $1,245,419.01. The trade was a 45.06% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 16,237 shares of company stock valued at $1,697,162. Insiders own 0.34% of the company’s stock.

Institutional Investors Weigh In On ServiceNow

A number of institutional investors have recently added to or reduced their stakes in the company. Kilter Group LLC acquired a new stake in ServiceNow during the 2nd quarter worth approximately $25,000. IAG Wealth Partners LLC lifted its position in ServiceNow by 200.0% during the third quarter. IAG Wealth Partners LLC now owns 27 shares of the information technology services provider’s stock valued at $25,000 after buying an additional 18 shares in the last quarter. Noble Wealth Management PBC grew its stake in 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 buying an additional 128 shares during the period. Millstone Evans Group LLC increased its position in shares of ServiceNow by 400.0% in the fourth quarter. Millstone Evans Group LLC now owns 165 shares of the information technology services provider’s stock worth $25,000 after acquiring an additional 132 shares in the last quarter. Finally, CBIZ Investment Advisory Services LLC increased its position in shares of ServiceNow by 540.0% in the fourth quarter. CBIZ Investment Advisory Services LLC now owns 160 shares of the information technology services provider’s stock worth $25,000 after acquiring an additional 135 shares in the last quarter. Hedge funds and other institutional investors own 87.18% of the company’s stock.

ServiceNow News Summary

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Benchmark initiated coverage with a Buy and a $125 price target, arguing the selloff creates a compelling entry point for long‑term investors. Benchmark Initiates Coverage
• Positive Sentiment: Morgan Stanley reiterated a Buy and a high $210 target, highlighting resilient growth, AI monetization potential, and accretive dealmaking as long‑term supports. Morgan Stanley Maintains Buy
• Positive Sentiment: ServiceNow expanded its partnership with NVIDIA to operationalize AI workflows (AI Control Tower + NVIDIA Enterprise AI Factory), which supports the company’s AI roadmap and total addressable market narrative. ServiceNow Expands Partnership With NVIDIA
• Positive Sentiment: ServiceNow boosted liquidity with a new $3 billion unsecured revolving credit facility and commercial paper programs, reducing short‑term financing risk ahead of earnings. ServiceNow Boosts Liquidity
• Neutral Sentiment: ServiceNow set April 22 as the date to report Q1 results — a near‑term catalyst that could either validate or widen the recent reassessment of growth expectations. Q1 Earnings Date Announced
• Neutral Sentiment: Company leadership moves (appointment of Kulmeet Bawa as MD & GVP, India/SAARC) and partner integrations (BigPanda) reflect ongoing GTM and ecosystem activity but are unlikely to swing near‑term sentiment materially. ServiceNow Appoints Kulmeet Bawa
• Negative Sentiment: Stifel cut its price target to $135 (from $180), citing weaker U.S. federal spending and softer Q1 trends — the downgrade of expectations for government demand is being cited as a direct reason for recent selling pressure. Stifel Lowers Price Target to $135
• Negative Sentiment: Analyst and media pieces highlight secular challenges — AI‑native competitors, doubts about switching costs, and a large YTD decline — which keep investor skepticism elevated despite product progress. These narratives are pressuring multiples and share price. Fool: AI Competition Concerns

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.