Morgan Stanley Cuts ServiceNow (NYSE:NOW) Price Target to $180.00

ServiceNow (NYSE:NOW) had its target price lowered by Morgan Stanley from $210.00 to $180.00 in a research note published on Thursday morning,MarketScreener reports. The firm currently has an overweight rating on the information technology services provider’s stock.

A number of other equities analysts have also issued reports on the company. Royal Bank Of Canada reduced their target price on ServiceNow from $150.00 to $121.00 and set an “outperform” rating for the company in a research note on Monday, April 13th. UBS Group lowered ServiceNow from a “buy” rating to a “neutral” rating and reduced their target price for the stock from $170.00 to $100.00 in a research note on Friday, April 10th. DA Davidson reduced their target price on ServiceNow from $220.00 to $190.00 and set a “buy” rating for the company in a research note on Thursday. BMO Capital Markets reduced their target price on ServiceNow from $120.00 to $115.00 and set an “outperform” rating for the company in a research note on Thursday. Finally, BTIG Research restated a “buy” rating and issued a $185.00 target price on shares of ServiceNow in a research note on Monday, April 20th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-four have assigned a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $146.65.

ServiceNow Stock Performance

Shares of NOW opened at $90.09 on Thursday. ServiceNow has a 12 month low of $81.24 and a 12 month high of $211.48. The stock has a fifty day moving average price of $104.84 and a 200-day moving average price of $137.51. The company has a current ratio of 0.84, a quick ratio of 1.00 and a debt-to-equity ratio of 0.13. The firm has a market cap of $93.34 billion, a PE ratio of 53.69, a P/E/G ratio of 1.42 and a beta of 1.01.

ServiceNow (NYSE:NOW) last issued its earnings results on Wednesday, April 22nd. The information technology services provider reported $0.97 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $0.97. The company had revenue of $3.77 billion during the quarter, compared to analyst estimates of $3.75 billion. ServiceNow had a return on equity of 18.16% and a net margin of 12.59%.The firm’s quarterly revenue was up 22.1% on a year-over-year basis. During the same quarter last year, the business posted $0.81 EPS. Equities research analysts predict that ServiceNow will post 2.49 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other ServiceNow news, insider Kevin Thomas Mcbride sold 1,400 shares of the stock in a transaction dated Friday, February 13th. The stock was sold at an average price of $105.71, for a total transaction of $147,994.00. Following the sale, the insider directly owned 26,314 shares of the company’s stock, valued at approximately $2,781,652.94. This trade represents a 5.05% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Paul Edward Chamberlain sold 1,500 shares of the stock in a transaction dated Thursday, February 12th. The stock was sold at an average price of $101.17, for a total value of $151,755.00. Following the sale, the director directly owned 46,430 shares in the company, valued at $4,697,323.10. This represents a 3.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 16,237 shares of company stock valued at $1,697,162. Company insiders own 0.34% of the company’s stock.

Institutional Investors Weigh In On ServiceNow

Several hedge funds and other institutional investors have recently added to or reduced their stakes in NOW. IAG Wealth Partners LLC grew its position in ServiceNow by 200.0% during the 3rd quarter. IAG Wealth Partners LLC now owns 27 shares of the information technology services provider’s stock worth $25,000 after purchasing an additional 18 shares during the period. Noble Wealth Management PBC grew its position in ServiceNow by 400.0% during the 4th 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 during the period. Millstone Evans Group LLC grew its position in ServiceNow by 400.0% during the 4th quarter. Millstone Evans Group LLC now owns 165 shares of the information technology services provider’s stock worth $25,000 after purchasing an additional 132 shares during the period. CBIZ Investment Advisory Services LLC grew its position in ServiceNow by 540.0% during the 4th quarter. CBIZ Investment Advisory Services LLC now owns 160 shares of the information technology services provider’s stock worth $25,000 after purchasing an additional 135 shares during the period. Finally, Blueline Advisors LLC acquired a new stake in ServiceNow during the 4th quarter worth about $25,000. 87.18% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting ServiceNow

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Company fundamentals and AI traction remain supportive — ServiceNow beat revenue/earnings views for Q1 and highlighted accelerating AI product adoption (Now Assist / AI agents) that management says will drive long‑term growth. ServiceNow Reports First Quarter 2026 Financial Results
• Positive Sentiment: Strategic moves boost the product and security stack — ServiceNow closed the $7.75B Armis acquisition (extends security capabilities) and deepened Google Cloud AI partnerships, which support cross‑sell and AI workflow positioning. Armis acquisition Google Cloud partnership
• Neutral Sentiment: Mixed analyst reactions — Several firms reaffirmed buy/overweight ratings (some even raised PTs), but many cut targets after the quarter; consensus still leaves upside from current levels, reflecting disagreement over near‑term vs. long‑term outlook. Analyst coverage
• Negative Sentiment: Geopolitical deal delays hit near‑term growth — Management said Middle East conflict delayed several large deal closings (≈75 bps revenue headwind in Q1), and that pushed investors to downgrade near‑term growth expectations. Middle East deal delays
• Negative Sentiment: Margin and guidance concerns — Investors focused on acquisition costs (Armis) and a softer margin outlook/full‑year subscription guidance that many viewed as disappointing, triggering the sector‑wide selloff. Margin/guidance coverage
• Negative Sentiment: Short interest jumped — Short interest rose ~30% in April to ~38.95M shares (~3.8% of shares), increasing potential downside pressure and volatility if bearish sentiment persists.

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.