ServiceNow’s (NOW) Overweight Rating Reiterated at Piper Sandler

Piper Sandler reissued their overweight rating on shares of ServiceNow (NYSE:NOW) in a research note issued to investors on Thursday,Benzinga reports. They currently have a $175.00 price objective on the information technology services provider’s stock.

A number of other equities research analysts have also recently issued reports on NOW. Robert W. Baird upped their price objective on ServiceNow from $118.00 to $125.00 and gave the stock an “outperform” rating in a research note on Thursday, July 23rd. Sanford C. Bernstein reissued an “outperform” rating and issued a $266.00 target price on shares of ServiceNow in a research note on Tuesday, October 20th. Royal Bank Of Canada boosted their target price on shares of ServiceNow from $130.00 to $176.00 and gave the stock an “outperform” rating in a report on Monday, October 12th. Benchmark reaffirmed a “buy” rating on shares of ServiceNow in a research report on Friday, July 17th. Finally, Stifel Nicolaus set a $160.00 price target on shares of ServiceNow and gave the company a “buy” rating in a research note on Tuesday, October 6th. One analyst has rated the stock with a Strong Buy rating, thirty-six have issued a Buy rating, three have issued a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat.com, ServiceNow has an average rating of “Moderate Buy” and a consensus target price of $154.50.

ServiceNow Stock Performance

NOW opened at $105.12 on Thursday. ServiceNow has a 52-week low of $81.24 and a 52-week high of $189.53. The firm has a market capitalization of $109.11 billion, a PE ratio of 75.63, a PEG ratio of 1.94 and a beta of 0.99. The company has a debt-to-equity ratio of 0.42, a quick ratio of 0.70 and a current ratio of 0.72. The business’s 50-day simple moving average is $138.71 and its 200 day simple moving average is $115.45.

ServiceNow (NYSE:NOW) last issued its quarterly earnings results 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). The company had revenue of $4.11 billion for the quarter, compared to analyst estimates of $4.09 billion. ServiceNow had a net margin of 9.36% and a return on equity of 15.17%. The business’s revenue for the quarter was up 20.5% on a year-over-year basis. During the same period last year, the company posted $4.82 earnings per share. As a group, sell-side analysts expect that ServiceNow will post 2.14 earnings per share for the current fiscal year.

Insider Buying and Selling 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 stock was sold at an average price of $135.50, for a total transaction of $365,850.00. Following the completion of the transaction, the director directly owned 43,990 shares in the company, valued at approximately $5,960,645. The trade was a 5.78% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, insider Jacqueline P. Canney sold 7,847 shares of the business’s stock in a transaction that occurred on Friday, August 28th. The stock was sold at an average price of $138.00, for a total value of $1,082,886.00. Following the transaction, the insider directly owned 30,042 shares in the company, valued at $4,145,796. The trade was a 20.71% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 14,081 shares of company stock worth $1,937,904 over the last 90 days. Company insiders own 0.34% of the company’s stock.

Institutional Investors Weigh In On ServiceNow

Large investors have recently added to or reduced their stakes in the business. Cornerstone Financial Management LLC increased its holdings in ServiceNow by 72.8% in the second quarter. Cornerstone Financial Management LLC now owns 254 shares of the information technology services provider’s stock valued at $25,000 after purchasing an additional 107 shares during the period. Marquette Asset Management LLC raised its position in ServiceNow by 75.0% during the 2nd quarter. Marquette Asset Management LLC now owns 301 shares of the information technology services provider’s stock worth $30,000 after purchasing an additional 129 shares during the last quarter. Kilter Group LLC bought a new position in ServiceNow during the 2nd quarter worth $31,000. Solstein Capital LLC acquired a new position in ServiceNow during the 2nd quarter worth about $35,000. Finally, Pathway Financial Advisers LLC acquired a new position in ServiceNow during the 3rd quarter worth about $38,000. Institutional investors own 87.18% of the company’s stock.

More ServiceNow News

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

About ServiceNow

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.