ServiceNow (NYSE:NOW) Earns Overweight Rating from Piper Sandler

ServiceNow (NYSE:NOW)‘s stock had its “overweight” rating restated by equities research analysts at Piper Sandler in a note issued to investors on Thursday, Benzinga reports. They presently have a $175.00 price objective on the information technology services provider’s stock. Piper Sandler‘s price target suggests a potential upside of 17.02% from the company’s current price.

Other research analysts have also recently issued research reports about the company. Citigroup reaffirmed a “buy” rating and set a $170.00 price target (up from $154.00) on shares of ServiceNow in a research report on Wednesday, October 14th. Yorkville Ives assumed coverage on ServiceNow in a report on Monday, October 5th. They issued an “outperform” rating and a $160.00 price objective for the company. Argus boosted their price objective on ServiceNow from $134.00 to $170.00 and gave the company a “buy” rating in a research note on Wednesday, October 7th. Guggenheim reaffirmed a “buy” rating and set a $175.00 price objective (up from $125.00) on shares of ServiceNow in a report on Friday, October 23rd. Finally, Mizuho set a $165.00 target price on shares of ServiceNow in a research report on Thursday. One analyst has rated the stock with a Strong Buy rating, thirty-six have assigned a Buy rating, two have assigned a Hold rating and four have given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $154.95.

ServiceNow Stock Down 3.4%

ServiceNow stock opened at $149.55 on Thursday. The firm has a 50 day moving average price of $139.55 and a 200-day moving average price of $115.79. The company has a quick ratio of 0.70, a current ratio of 0.70 and a debt-to-equity ratio of 0.43. ServiceNow has a twelve month low of $81.24 and a twelve month high of $192.97. The company has a market capitalization of $154.63 billion, a P/E ratio of 93.47, a P/E/G ratio of 2.92 and a beta of 0.99.

ServiceNow (NYSE:NOW) last posted its quarterly earnings data on Wednesday, October 28th. The information technology services provider reported $1.00 EPS for the quarter, missing the consensus estimate of $1.02 by ($0.02). ServiceNow had a net margin of 11.34% and a return on equity of 16.45%. The firm had revenue of $4.11 billion during the quarter, compared to analysts’ expectations of $4.09 billion. During the same quarter in the previous year, the company posted $4.82 EPS. ServiceNow’s revenue for the quarter was up 20.5% on a year-over-year basis. As a group, equities analysts predict that ServiceNow will post 2.23 EPS for the current year.

Insiders Place Their Bets

In other ServiceNow news, insider Jacqueline Canney sold 7,847 shares of ServiceNow stock in a transaction dated Friday, August 28th. The stock was sold at an average price of $138.00, for a total transaction of $1,082,886.00. Following the completion of the transaction, the insider owned 30,042 shares of the company’s stock, valued at $4,145,796. The trade was a 20.71% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Paul Fipps sold 2,034 shares of the company’s stock in a transaction dated Monday, August 31st. The shares were sold at an average price of $147.87, for a total value of $300,767.58. Following the sale, the insider owned 18,305 shares in the company, valued at approximately $2,706,760.35. This represents a 10.00% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 14,081 shares of company stock worth $1,937,904 in the last quarter. 0.34% of the stock is owned by company insiders.

Hedge Funds Weigh In On ServiceNow

Several hedge funds have recently bought and sold shares of NOW. BlackRock Inc. purchased a new position in shares of ServiceNow during the 2nd quarter valued at $9,536,615,000. State Street Corp increased its holdings in shares of ServiceNow by 2.0% in the second quarter. State Street Corp now owns 49,038,218 shares of the information technology services provider’s stock worth $4,868,514,000 after purchasing an additional 979,726 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its holdings in shares of ServiceNow by 16.6% in the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 16,638,071 shares of the information technology services provider’s stock worth $1,651,828,000 after purchasing an additional 2,362,606 shares during the period. Amundi raised its position in shares of ServiceNow by 60.9% in the first quarter. Amundi now owns 11,479,098 shares of the information technology services provider’s stock worth $1,200,140,000 after buying an additional 4,346,722 shares in the last quarter. Finally, Bank of New York Mellon Corp raised its position in shares of ServiceNow by 6.5% in the first quarter. Bank of New York Mellon Corp now owns 8,526,931 shares of the information technology services provider’s stock worth $891,491,000 after buying an additional 518,263 shares in the last quarter. Hedge funds and other institutional investors own 87.18% of the company’s stock.

Key ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow reported third-quarter revenue of $4.11 billion, up 20.5% year over year and ahead of the $4.09 billion analyst consensus. Subscription revenue increased 21% to $3.99 billion, supporting the company’s longer-term growth narrative. ServiceNow Reports Third Quarter 2026 Financial Results
• Positive Sentiment: Management raised its artificial-intelligence outlook and pointed to an increase in large, multi-million-dollar AI transactions. ServiceNow also expanded its enterprise-AI partnership with OpenAI, potentially strengthening its position in governed AI workflows and automation. ServiceNow and OpenAI partnership
• Positive Sentiment: HPE selected ServiceNow for a five-year agreement to provide AI-powered support services for its Cloud & AI business. JPMorgan and other analysts maintained a constructive long-term view, citing recurring revenue growth and AI adoption potential. HPE selects ServiceNow
• Neutral Sentiment: ServiceNow launched a Control Tower Alliance with companies including Anthropic, AWS and Cisco to help enterprises adopt AI with governance and security. The initiative may improve future demand, but its financial contribution is not yet clear. ServiceNow Control Tower Alliance
• Negative Sentiment: Adjusted earnings of $1.00 per share missed the $1.02 consensus estimate, ending a six-quarter streak of earnings beats. Acquisition-related costs and continued AI investment appear to have weighed on profitability. ServiceNow Q3 earnings miss
• Negative Sentiment: Fourth-quarter revenue guidance reportedly fell below Wall Street expectations, raising concerns that AI-related demand may take longer to translate into subscription growth. The earnings miss and outlook overshadowed the raised AI targets, prompting the selloff. ServiceNow stock and JPMorgan outlook

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.