ServiceNow (NYSE:NOW) Rating Increased to Strong-Buy at Argus

ServiceNow (NYSE:NOW) was upgraded by investment analysts at Argus to a “strong-buy” rating in a note issued to investors on Wednesday,Zacks.com reports.

A number of other analysts have also recently weighed in on NOW. TD Cowen reduced their price objective on shares of ServiceNow from $200.00 to $185.00 and set a “buy” rating for the company in a research note on Thursday, January 29th. Mizuho dropped their target price on shares of ServiceNow from $210.00 to $190.00 and set an “outperform” rating on the stock in a report on Wednesday, January 21st. Weiss Ratings reissued a “hold (c)” rating on shares of ServiceNow in a research report on Thursday, January 22nd. HSBC lowered their price target on ServiceNow from $266.40 to $226.00 and set a “buy” rating on the stock in a research report on Friday, January 30th. Finally, Stifel Nicolaus set a $180.00 price objective on ServiceNow and gave the stock a “buy” rating in a research note on Thursday, January 29th. Three research analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, six have issued a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $193.01.

ServiceNow Price Performance

NYSE NOW opened at $102.88 on Wednesday. ServiceNow has a fifty-two week low of $101.72 and a fifty-two week high of $211.48. The stock’s 50-day moving average is $145.63 and its two-hundred day moving average is $168.60. The firm has a market cap of $107.61 billion, a P/E ratio of 61.68, a price-to-earnings-growth ratio of 1.88 and a beta of 0.97. The company has a debt-to-equity ratio of 0.12, a current ratio of 1.00 and a quick ratio of 1.00.

ServiceNow (NYSE:NOW) last released its quarterly earnings results on Wednesday, January 28th. The information technology services provider reported $0.92 earnings per share (EPS) for the quarter, topping 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 company had revenue of $3.57 billion during the quarter, compared to the consensus estimate of $3.53 billion. During the same quarter in the prior year, the company posted $0.73 EPS. The firm’s revenue was up 20.7% on a year-over-year basis. On average, analysts anticipate that ServiceNow will post 8.93 earnings per share for the current fiscal year.

Insider Buying and Selling at ServiceNow

In related news, CFO Gina Mastantuono sold 2,075 shares of the business’s stock in a transaction dated Friday, December 5th. The stock was sold at an average price of $170.00, for a total transaction of $352,750.00. Following the transaction, the chief financial officer directly owned 61,140 shares in the company, valued at $10,393,800. The trade was a 3.28% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, insider Paul Fipps sold 1,525 shares of the company’s stock in a transaction that occurred on Tuesday, November 18th. The shares were sold at an average price of $163.51, for a total value of $249,352.75. Following the completion of the transaction, the insider directly owned 2,705 shares of the company’s stock, valued at approximately $442,294.55. This trade represents a 36.05% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 15,310 shares of company stock valued at $2,533,585 over the last quarter. Company insiders own 0.34% of the company’s stock.

Institutional Investors Weigh In On ServiceNow

A number of institutional investors have recently bought and sold shares of NOW. Vanguard Group Inc. raised its position in ServiceNow by 404.5% in the fourth quarter. Vanguard Group Inc. now owns 101,963,384 shares of the information technology services provider’s stock worth $15,619,771,000 after purchasing an additional 81,752,460 shares in the last quarter. State Street Corp grew its stake in shares of ServiceNow by 1.4% in the 3rd quarter. State Street Corp now owns 9,454,699 shares of the information technology services provider’s stock valued at $8,700,970,000 after purchasing an additional 131,080 shares during the period. Jennison Associates LLC raised its holdings in shares of ServiceNow by 280.1% in the 4th quarter. Jennison Associates LLC now owns 8,432,389 shares of the information technology services provider’s stock worth $1,291,758,000 after buying an additional 6,213,762 shares in the last quarter. Nordea Investment Management AB lifted its position in shares of ServiceNow by 388.7% during the 4th quarter. Nordea Investment Management AB now owns 4,706,164 shares of the information technology services provider’s stock worth $720,325,000 after buying an additional 3,743,087 shares during the period. Finally, Geode Capital Management LLC lifted its position in shares of ServiceNow by 2.0% during the 2nd quarter. Geode Capital Management LLC now owns 4,574,563 shares of the information technology services provider’s stock worth $4,684,445,000 after buying an additional 88,057 shares during the period. Institutional investors and hedge funds own 87.18% of the company’s stock.

Key Stories Impacting ServiceNow

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Needham reaffirmed a Buy on NOW and set a $155 price target, citing strong adoption of Now Assist and AI-driven growth — an upgrade-style catalyst that supports upside potential if execution continues to track. ServiceNow: Strong Now Assist Adoption and AI-Driven Growth Create Attractive Buy Entry Point
• Positive Sentiment: Partnership with Anthropic deepens ServiceNow’s AI platform strategy, strengthening product differentiation and enterprise AI roadmap — a medium-term positive for revenue/retention. ServiceNow Deepens AI Platform Strategy With Anthropic Partnership
• Positive Sentiment: Bernstein flagged NOW as a discounted large-cap growth name, suggesting valuation support for long-term investors if near-term volatility stabilizes. Why Bernstein Calls ServiceNow (NOW) a Discount Large-Cap Growth Stock
• Neutral Sentiment: BTIG and others debate whether recent weakness is a buying opportunity or sign of structural risk; views point to a polarized market — this fuels volatility but not a clear directional verdict. Software ‘SaaSpocalypse:’ BTIG Sees Salesforce, ServiceNow Rebound, But Jim Cramer Warns Of Permanent AI Obsolescence
• Neutral Sentiment: Zacks notes NOW is a trending stock — increased attention can amplify moves in either direction depending on next catalysts (earnings, product announcements, sector flow). ServiceNow, Inc. (NOW) Is a Trending Stock: Facts to Know Before Betting on It
• Negative Sentiment: MarketBeat/Fool coverage highlights that NOW plunged amid a sectorwide rout — broad software selling and momentum chasing are the immediate drivers of the stock’s decline. Why ServiceNow Tumbled by Almost 8% on Thursday
• Negative Sentiment: The broader “SaaSpocalypse” narrative and articles highlighting tech stocks being cut in half are pressuring investor sentiment toward SaaS names like NOW. The SaaSpocalypse Has Cut These Stocks In Half
• Negative Sentiment: Security research flagged exploitable AI agents tied to Microsoft and ServiceNow, raising short-term operational and reputational risk that could amplify downside until clarified. Microsoft and ServiceNow’s exploitable agents reveal a growing – and preventable – AI security crisis
• Negative Sentiment: High-profile criticism (Jim Cramer pieces) and headlines about AI fears hammering software stocks are feeding momentum selling in NOW despite company-level positives. Jim Cramer on ServiceNow: “This Stock Has Become a Nightmare”

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.