ServiceNow (NYSE:NOW) Stock Price Down 1.3% Following Analyst Downgrade

ServiceNow, Inc. (NYSE:NOW) was down 1.3% on Wednesday after UBS Group lowered their price target on the stock from $230.00 to $200.00. The company traded as low as $152.01 and last traded at $152.4250. Approximately 3,896,300 shares were traded during mid-day trading, a decline of 53% from the average daily volume of 8,352,282 shares. The stock had previously closed at $154.36.

Several other equities research analysts also recently weighed in on the company. Guggenheim upgraded ServiceNow from a “sell” rating to a “neutral” rating in a report on Tuesday, December 16th. Sanford C. Bernstein restated an “outperform” rating and set a $218.60 target price on shares of ServiceNow in a research note on Thursday, October 30th. Arete Research raised shares of ServiceNow to a “hold” rating in a report on Thursday, December 11th. Royal Bank Of Canada reiterated an “outperform” rating and set a $240.00 price target on shares of ServiceNow in a report on Thursday, October 30th. Finally, Canaccord Genuity Group reissued a “buy” rating and issued a $224.00 price objective on shares of ServiceNow in a research report on Thursday, October 30th. Two research analysts have rated the stock with a Strong Buy rating, thirty-two have assigned a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $224.16.

Insider Activity

In other news, insider Paul Fipps sold 1,525 shares of ServiceNow stock in a transaction dated 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 owned 2,705 shares in the company, valued at approximately $442,294.55. The trade was a 36.05% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Jacqueline P. Canney sold 470 shares of the company’s stock in a transaction dated Tuesday, November 18th. The shares were sold at an average price of $165.42, for a total value of $77,745.52. Following the completion of the sale, the insider directly owned 15,135 shares of the company’s stock, valued at approximately $2,503,571.16. This trade represents a 3.01% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 15,310 shares of company stock worth $2,533,585 over the last three months. Company insiders own 0.34% of the company’s stock.

Key Headlines Impacting ServiceNow

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Acquisition expands security footprint and product mix — ServiceNow agreed to buy Armis for $7.75 billion in cash, adding device and asset?visibility capabilities that could accelerate cross?sell into ServiceNow’s enterprise workflow platform and strengthen its security TAM. ServiceNow to Acquire Armis for $7.75 Billion in Cash
• Positive Sentiment: Deal size looks manageable versus market cap and complements strategic AI/security positioning — at ~$7.75B the deal is a mid?single?digit percentage of ServiceNow’s market value, and management frames it as a way to deepen security data for automation and AI use cases. ServiceNow to acquire cybersecurity startup Armis for about $7.75 billion
• Neutral Sentiment: Market commentary and fund notes highlight broader AI-driven demand that supports long?term growth thesis, but these are background signals rather than immediate catalysts. Should You Be Bullish on ServiceNow (NOW)?
• Negative Sentiment: Shares reacted negatively on the confirmation of the cash buyout — the market sold off after the announcement, reflecting concerns about near?term cash use, integration risk, and execution. NOW: ServiceNow Confirms $7.75 Billion Armis Buyout, Stock Falls
• Negative Sentiment: Analysts trimmed price targets following the deal — UBS lowered its target (from $230 to $200), signaling some analyst caution despite remaining above the current share level, which can weigh on sentiment and near?term stock performance. UBS adjusts price target on ServiceNow to $200 from $230

Institutional Investors Weigh In On ServiceNow

Several large investors have recently modified their holdings of NOW. Kilter Group LLC acquired a new stake in ServiceNow during the 2nd quarter worth $25,000. IAG Wealth Partners LLC raised its holdings 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 valued at $25,000 after buying an additional 18 shares during the last quarter. Global X Japan Co. Ltd. purchased a new stake in shares of ServiceNow in the second quarter valued at about $30,000. Total Investment Management Inc. purchased a new position in shares of ServiceNow during the second quarter worth about $31,000. Finally, LGT Financial Advisors LLC acquired a new position in ServiceNow in the 2nd quarter valued at about $32,000. 87.18% of the stock is owned by institutional investors and hedge funds.

ServiceNow Trading Down 1.3%

The company has a 50 day simple moving average of $169.83 and a 200 day simple moving average of $182.13. The company has a current ratio of 1.06, a quick ratio of 1.06 and a debt-to-equity ratio of 0.13. The stock has a market capitalization of $158.28 billion, a PE ratio of 92.16, a P/E/G ratio of 3.17 and a beta of 0.97.

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.