ServiceNow’s (NOW) “Outperform” Rating Reiterated at Oppenheimer

Oppenheimer reaffirmed their outperform rating on shares of ServiceNow (NYSE:NOW) in a report published on Thursday morning,Benzinga reports. The firm currently has a $165.00 price objective on the information technology services provider’s stock.

Several other equities analysts also recently commented on NOW. Mizuho set a $165.00 price objective on ServiceNow in a research report on Thursday. Robert W. Baird set a $185.00 target price on ServiceNow in a research report on Thursday. KeyCorp reissued an “underweight” rating and issued a $110.00 price target (up from $85.00) on shares of ServiceNow in a report on Thursday. DA Davidson set a $170.00 price target on ServiceNow and gave the stock a “buy” rating in a research note on Monday, July 20th. Finally, Bank of America upped their price target on ServiceNow from $130.00 to $150.00 and gave the stock a “buy” rating in a research note on Wednesday, August 19th. One analyst has rated the stock with a Strong Buy rating, thirty-six have given a Buy rating, three have assigned a Hold rating and three have issued a Sell rating to the company. According to MarketBeat, ServiceNow presently has an average rating of “Moderate Buy” and a consensus target price of $154.50.

ServiceNow Stock Performance

Shares of NYSE NOW opened at $105.12 on Thursday. The stock has a market cap of $109.11 billion, a PE ratio of 75.63, a price-to-earnings-growth ratio of 1.94 and a beta of 0.99. ServiceNow has a 1 year low of $81.24 and a 1 year high of $189.53. The firm has a fifty day moving average price of $138.71 and a 200-day moving average price of $115.45. The company has a debt-to-equity ratio of 0.42, a current ratio of 0.72 and a quick ratio of 0.70.

ServiceNow (NYSE:NOW) last released its earnings results on Wednesday, October 28th. The information technology services provider reported $1.00 earnings per share for the quarter, missing analysts’ consensus estimates of $1.02 by ($0.02). The firm had revenue of $4.11 billion for the quarter, compared to analysts’ expectations of $4.09 billion. ServiceNow had a net margin of 9.36% and a return on equity of 15.17%. The firm’s quarterly revenue was up 20.5% compared to the same quarter last year. During the same quarter last year, the firm posted $4.82 EPS. Equities analysts anticipate that ServiceNow will post 2.14 earnings per share for the current fiscal year.

Insider Activity at ServiceNow

In other news, Director Paul Chamberlain sold 2,700 shares of ServiceNow stock in a transaction that occurred on Thursday, August 27th. The shares were sold at an average price of $135.50, for a total value of $365,850.00. Following the transaction, the director owned 43,990 shares of the company’s stock, valued at $5,960,645. The trade was a 5.78% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, insider Paul Fipps sold 2,034 shares of the business’s stock in a transaction that occurred on Monday, August 31st. The stock was sold at an average price of $147.87, for a total transaction of $300,767.58. Following the transaction, the insider owned 18,305 shares of the company’s stock, valued at approximately $2,706,760.35. This trade represents a 10.00% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 14,081 shares of company stock valued at $1,937,904 over the last quarter. 0.34% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On ServiceNow

Institutional investors have recently bought and sold shares of the company. Pathway Financial Advisers LLC acquired a new stake in shares of ServiceNow in the 3rd quarter worth $38,000. Cowa LLC increased its position in ServiceNow by 24.1% during the 3rd quarter. Cowa LLC now owns 7,219 shares of the information technology services provider’s stock valued at $967,000 after buying an additional 1,402 shares in the last quarter. Richardson Financial Services Inc. increased its position in ServiceNow by 51.6% during the 3rd quarter. Richardson Financial Services Inc. now owns 1,066 shares of the information technology services provider’s stock valued at $143,000 after buying an additional 363 shares in the last quarter. Ascent Group LLC increased its position in ServiceNow by 8.5% during the 3rd quarter. Ascent Group LLC now owns 26,196 shares of the information technology services provider’s stock valued at $3,511,000 after buying an additional 2,042 shares in the last quarter. Finally, 3Chopt Investment Partners LLC purchased a new stake in ServiceNow in the third quarter valued at about $283,000. 87.18% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about ServiceNow

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow reported 20.5% year-over-year revenue growth, supported by subscription demand, and raised its 2026 artificial-intelligence contract target to $1.7 billion. Management and bullish analysts argue that AI adoption could accelerate growth in 2027. ServiceNow: 3 Key Takeaways for Long-Term Investors
• Positive Sentiment: Several analysts continue to rate NOW Buy or Overweight despite reducing their price targets. JPMorgan, Piper Sandler, Wells Fargo and Oppenheimer still see substantial long-term upside, suggesting the sell-off may have been excessive. ServiceNow stock is on track for its largest drop on record
• Positive Sentiment: A new partnership with BDO Canada will help organizations govern AI and automate operations using ServiceNow’s platform, providing potential support for future enterprise demand. BDO Canada partners with ServiceNow
• Neutral Sentiment: ServiceNow’s CEO has defended the company’s valuation and long-term opportunity, while a reported $3 million insider stock purchase may signal management confidence. However, such commentary has not offset investor concerns about guidance. ServiceNow CEO makes striking unicorn claim
• Negative Sentiment: The primary catalyst for the sell-off was management’s forecast for slower fourth-quarter current remaining performance obligation growth—about 18.5%, below the approximately 21.5% revenue-growth outlook. Because cRPO represents contracted future revenue, investors viewed the gap as a warning that demand may be weakening. ServiceNow Guides to Slower Backlog Growth
• Negative Sentiment: Third-quarter adjusted earnings of $1.00 per share fell short of the $1.02 consensus estimate. The miss, combined with concerns that AI could disrupt traditional software pricing and demand, overshadowed the revenue beat and higher AI target. ServiceNow shares plunge after earnings
• Negative Sentiment: Investors are also monitoring ServiceNow’s roughly $7.5 billion debt load and rising interest costs, while a shareholder investigation into potential securities-law violations adds reputational and legal uncertainty. ServiceNow’s Debt and Interest Costs Jump

ServiceNow Company Profile

ServiceNow, Inc provides cloud-based software designed to help organizations digitize, automate and manage enterprise workflows. Its Now Platform connects people, processes and systems across departments, enabling customers to manage work through a centralized technology environment.

The company’s products and services address a range of business needs, including information technology service management, IT operations management, customer service management, human resources service delivery, security operations, risk and compliance, and application development.