ServiceNow (NYSE:NOW) Trading Up 3.4% – Still a Buy?

ServiceNow, Inc. (NYSE:NOW)’s stock price rose 3.4% during mid-day trading on Monday . The company traded as high as $113.03 and last traded at $111.3190. Approximately 16,533,776 shares changed hands during mid-day trading, a decline of 30% from the average session volume of 23,766,605 shares. The stock had previously closed at $107.71.

Analysts Set New Price Targets

Several brokerages have issued reports on NOW. Robert W. Baird lowered their price target on ServiceNow from $125.00 to $118.00 and set an “outperform” rating for the company in a report on Thursday, April 23rd. The Goldman Sachs Group reiterated a “buy” rating and issued a $145.00 price objective (down from $163.00) on shares of ServiceNow in a research report on Wednesday. BMO Capital Markets dropped their price objective on shares of ServiceNow from $120.00 to $115.00 and set an “outperform” rating on the stock in a report on Thursday, April 23rd. Mizuho dropped their target price on ServiceNow from $150.00 to $140.00 and set an “outperform” rating on the stock in a research report on Thursday, April 23rd. Finally, Deutsche Bank Aktiengesellschaft reduced their price objective on shares of ServiceNow from $180.00 to $135.00 and set a “buy” rating for the company in a research note on Thursday, April 16th. One analyst has rated the stock with a Strong Buy rating, thirty-six have issued a Buy rating, three have given a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $141.47.

ServiceNow Trading Up 3.4%

The business’s 50 day moving average price is $102.49 and its two-hundred day moving average price is $110.95. The company has a market capitalization of $114.77 billion, a price-to-earnings ratio of 66.34, a P/E/G ratio of 1.79 and a beta of 0.96. The company has a current ratio of 0.84, a quick ratio of 0.84 and a debt-to-equity ratio of 0.13.

ServiceNow (NYSE:NOW) last issued its quarterly earnings results on Wednesday, April 22nd. The information technology services provider reported $0.97 EPS for the quarter, hitting analysts’ consensus estimates of $0.97. ServiceNow had a net margin of 12.59% and a return on equity of 18.16%. The company had revenue of $3.77 billion for the quarter, compared to analyst estimates of $3.75 billion. During the same quarter in the previous year, the business earned $0.81 earnings per share. ServiceNow’s revenue was up 22.1% compared to the same quarter last year. On average, equities analysts predict that ServiceNow, Inc. will post 2.34 earnings per share for the current fiscal year.

Insider Transactions at ServiceNow

In other news, Director Paul Edward Chamberlain sold 1,500 shares of the company’s stock in a transaction that occurred on Thursday, May 14th. The stock was sold at an average price of $87.23, for a total value of $130,845.00. Following the completion of the transaction, the director directly owned 44,930 shares of the company’s stock, valued at $3,919,243.90. This represents a 3.23% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Anita M. Sands sold 16,445 shares of the firm’s stock in a transaction dated Thursday, May 14th. The stock was sold at an average price of $90.14, for a total transaction of $1,482,352.30. Following the sale, the director owned 30,090 shares of the company’s stock, valued at $2,712,312.60. This trade represents a 35.34% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 28,071 shares of company stock valued at $2,529,956 in the last 90 days. 0.34% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. Wedge Capital Management L L P NC boosted its position in ServiceNow by 5.4% during the second quarter. Wedge Capital Management L L P NC now owns 2,512 shares of the information technology services provider’s stock worth $249,000 after purchasing an additional 129 shares during the period. Investors Research Corp lifted its stake in shares of ServiceNow by 787.2% during the 2nd quarter. Investors Research Corp now owns 7,674 shares of the information technology services provider’s stock valued at $762,000 after buying an additional 6,809 shares in the last quarter. Tema ETFs LLC boosted its holdings in ServiceNow by 10.0% in the 2nd quarter. Tema ETFs LLC now owns 20,679 shares of the information technology services provider’s stock worth $2,053,000 after buying an additional 1,885 shares during the period. Canvas Wealth Advisors LLC boosted its holdings in ServiceNow by 60.7% in the 2nd quarter. Canvas Wealth Advisors LLC now owns 28,524 shares of the information technology services provider’s stock worth $2,832,000 after buying an additional 10,773 shares during the period. Finally, Fiduciary Financial Group LLC purchased a new position in ServiceNow in the 2nd quarter valued at approximately $404,000. Institutional investors own 87.18% of the company’s stock.

About ServiceNow

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.