ServiceNow (NYSE:NOW) Hits New 12-Month Low After Analyst Downgrade

ServiceNow, Inc. (NYSE:NOW)’s share price hit a new 52-week low on Wednesday after The Goldman Sachs Group lowered their price target on the stock from $216.00 to $188.00. The Goldman Sachs Group currently has a buy rating on the stock. ServiceNow traded as low as $96.96 and last traded at $97.2460, with a volume of 14368952 shares changing hands. The stock had previously closed at $100.55.

Other research analysts have also recently issued reports about the company. Truist Financial set a $175.00 target price on ServiceNow in a research report on Thursday, February 5th. DZ Bank upgraded shares of ServiceNow to a “strong-buy” rating in a research note on Thursday, December 18th. Benchmark initiated coverage on shares of ServiceNow in a research note on Wednesday, April 1st. They set a “buy” rating and a $125.00 price target on the stock. KeyCorp lowered their target price on shares of ServiceNow from $155.00 to $115.00 and set an “underweight” rating for the company in a report on Thursday, January 29th. Finally, HSBC decreased their target price on ServiceNow from $266.40 to $226.00 and set a “buy” rating for the company in a research report on Friday, January 30th. Three equities research analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $187.46.

Insider Transactions at ServiceNow

In related news, Director Paul Edward Chamberlain sold 1,500 shares of the firm’s stock in a transaction on Thursday, February 12th. The shares were sold at an average price of $101.17, for a total value of $151,755.00. Following the completion of the transaction, the director owned 46,430 shares of the company’s stock, valued at approximately $4,697,323.10. This trade represents a 3.13% 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 hyperlink. Also, insider Kevin Thomas Mcbride sold 1,400 shares of ServiceNow stock in a transaction dated Friday, February 13th. The shares were sold at an average price of $105.71, for a total transaction of $147,994.00. Following the completion of the transaction, 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. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 16,237 shares of company stock valued at $1,697,162 over the last 90 days. 0.34% of the stock is owned by corporate insiders.

ServiceNow News Roundup

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Analyst/industry checks argue the sell-off is overdone — Dan Ives says CIO feedback shows AI adoption moving from experimentation to large-scale deployment in 2026, which could support revenue acceleration for ServiceNow. Article Title
• Positive Sentiment: Enterprise partnerships and ecosystem expansion — ServiceNow announced a multi‑year agreement with DXC to scale AI-first transformations, and a new AI-native consultancy (Naitiv) founded by ex-ServiceNow leaders intends to drive larger, industry-focused implementations. These strengthen adoption pathways and potential revenue traction. Article Title Article Title
• Positive Sentiment: Institutional/manager buying — Portfolio manager Stephanie Link added to ServiceNow in a public trade, a small but visible vote of confidence from an active manager. Article Title
• Neutral Sentiment: Minor analyst estimate tweak — Erste Group trimmed FY2027 EPS expectation marginally (from $3.20 to $3.19), a change too small to drive major fundamentals shifts but noted by the street. Article Title
• Negative Sentiment: Sector-wide software sell-off and valuation pain — Commentaries note a broader “SaaSpocalypse” that has pushed ServiceNow shares down roughly 30% in 2026, amplifying downside pressure on the stock. Article Title
• Negative Sentiment: Analyst price-target cuts and scrutiny — Goldman (216→188) and BTIG (200→185) lowered targets while keeping buy ratings, and BTIG flagged questions about FY26 revenue-growth guidance; Stifel turned more cautious. These moves increase near‑term selling pressure. Article Title Article Title Article Title
• Negative Sentiment: Corporate governance/perception hit — Reporting that the CEO’s compensation rose nearly 40% in 2025 could add to investor dissatisfaction while the stock is under pressure. Article Title

Institutional Investors Weigh In On ServiceNow

Institutional investors and hedge funds have recently made changes to their positions in the stock. IAG Wealth Partners LLC raised its holdings 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 last quarter. Noble Wealth Management PBC lifted its stake in ServiceNow by 400.0% in the fourth quarter. Noble Wealth Management PBC now owns 160 shares of the information technology services provider’s stock valued at $25,000 after buying an additional 128 shares during the period. Millstone Evans Group LLC increased its stake in shares of ServiceNow by 400.0% in the 4th quarter. Millstone Evans Group LLC now owns 165 shares of the information technology services provider’s stock valued at $25,000 after acquiring an additional 132 shares in the last quarter. CBIZ Investment Advisory Services LLC grew its holdings in ServiceNow by 540.0% in the fourth 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 bought a new position in shares of ServiceNow during the 4th quarter worth about $25,000. Institutional investors and hedge funds own 87.18% of the company’s stock.

ServiceNow Price Performance

The company has a current ratio of 1.00, a quick ratio of 1.00 and a debt-to-equity ratio of 0.12. The business has a 50-day moving average of $109.13 and a 200 day moving average of $145.54. The firm has a market capitalization of $101.89 billion, a P/E ratio of 58.46, a price-to-earnings-growth ratio of 1.71 and a beta of 1.01.

ServiceNow (NYSE:NOW) last released its quarterly earnings data on Wednesday, January 28th. The information technology services provider reported $0.92 EPS for the quarter, beating the consensus estimate of $0.89 by $0.03. ServiceNow had a return on equity of 18.54% and a net margin of 13.16%.The firm had revenue of $3.57 billion during the quarter, compared to the consensus estimate of $3.53 billion. During the same quarter in the previous year, the company posted $0.73 earnings per share. The company’s quarterly revenue was up 20.7% on a year-over-year basis. On average, sell-side analysts predict that ServiceNow, Inc. will post 8.93 earnings per share for the current fiscal year.

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.