ServiceNow (NYSE:NOW) Shares Down 2.1% – Here’s What Happened

ServiceNow, Inc. (NYSE:NOW) shares were down 2.1% during trading on Tuesday . The stock traded as low as $98.72 and last traded at $99.99. Approximately 23,144,634 shares traded hands during trading, an increase of 3% from the average daily volume of 22,456,352 shares. The stock had previously closed at $102.13.

Analysts Set New Price Targets

Several research analysts have weighed in on NOW shares. Argus lowered their target price on ServiceNow from $180.00 to $134.00 and set a “buy” rating on the stock in a research note on Friday, April 24th. Sanford C. Bernstein reaffirmed an “outperform” rating and set a $236.00 price target (up from $226.00) on shares of ServiceNow in a report on Wednesday, May 6th. Weiss Ratings cut shares of ServiceNow from a “hold (c)” rating to a “hold (c-)” rating in a research note on Tuesday, April 21st. BNP Paribas Exane upgraded shares of ServiceNow from a “neutral” rating to an “outperform” rating and set a $140.00 price objective for the company in a research report on Monday, March 16th. Finally, Macquarie Infrastructure reduced their target price on shares of ServiceNow from $172.00 to $140.00 and set a “neutral” rating for the company in a research note on Thursday, January 29th. Two analysts have rated the stock with a Strong Buy rating, thirty-five have given a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, ServiceNow has a consensus rating of “Moderate Buy” and an average price target of $141.85.

ServiceNow Price Performance

The stock has a fifty day moving average of $98.53 and a two-hundred day moving average of $125.20. The stock has a market cap of $103.09 billion, a price-to-earnings ratio of 59.59, a price-to-earnings-growth ratio of 1.85 and a beta of 0.82. The company has a quick ratio of 0.84, a current ratio of 0.84 and a debt-to-equity ratio of 0.13.

ServiceNow (NYSE:NOW) last issued its earnings results on Wednesday, April 22nd. The information technology services provider reported $0.97 EPS for the quarter, hitting the consensus estimate 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 period in the previous year, the firm earned $0.81 EPS. The business’s revenue was up 22.1% on a year-over-year basis. On average, equities research analysts anticipate that ServiceNow, Inc. will post 2.35 earnings per share for the current year.

Insider Activity at ServiceNow

In other ServiceNow news, insider Paul Fipps sold 1,048 shares of the company’s stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $98.51, for a total transaction of $103,238.48. Following the transaction, the insider directly owned 12,072 shares in the company, valued at approximately $1,189,212.72. This represents a 7.99% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Anita M. Sands sold 16,445 shares of the stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $90.14, for a total transaction of $1,482,352.30. Following the completion of the transaction, the director directly owned 30,090 shares of the company’s stock, valued at approximately $2,712,312.60. This trade represents a 35.34% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 28,071 shares of company stock worth $2,529,956 in the last ninety days. Corporate insiders own 0.34% of the company’s stock.

Institutional Trading of ServiceNow

A number of institutional investors have recently bought and sold shares of the company. Meridian Wealth Advisors LLC grew its stake in ServiceNow by 2.2% in the 3rd quarter. Meridian Wealth Advisors LLC now owns 552 shares of the information technology services provider’s stock valued at $508,000 after acquiring an additional 12 shares during the last quarter. Valley Brook Capital Group Inc. raised its position in ServiceNow by 2.1% during the third quarter. Valley Brook Capital Group Inc. now owns 634 shares of the information technology services provider’s stock worth $583,000 after acquiring an additional 13 shares during the last quarter. Catalyst Financial Partners LLC lifted its holdings in shares of ServiceNow by 1.0% in the third quarter. Catalyst Financial Partners LLC now owns 1,270 shares of the information technology services provider’s stock valued at $1,169,000 after purchasing an additional 13 shares in the last quarter. JT Stratford LLC grew its position in shares of ServiceNow by 3.5% in the third quarter. JT Stratford LLC now owns 385 shares of the information technology services provider’s stock valued at $354,000 after purchasing an additional 13 shares during the last quarter. Finally, Abbot Financial Management Inc. grew its position in shares of ServiceNow by 2.9% in the third quarter. Abbot Financial Management Inc. now owns 502 shares of the information technology services provider’s stock valued at $462,000 after purchasing an additional 14 shares during the last quarter. 87.18% of the stock is currently owned by hedge funds and other institutional investors.

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.