Needham & Company LLC Reiterates “Buy” Rating for ServiceNow (NYSE:NOW)

ServiceNow (NYSE:NOW)‘s stock had its “buy” rating reissued by research analysts at Needham & Company LLC in a research report issued to clients and investors on Tuesday,Benzinga reports. They currently have a $115.00 price objective on the information technology services provider’s stock. Needham & Company LLC’s price target would indicate a potential upside of 29.07% from the stock’s previous close.

Several other brokerages have also issued reports on NOW. Sanford C. Bernstein boosted their price target on shares of ServiceNow from $219.00 to $226.00 and gave the company an “outperform” rating in a report on Thursday, April 23rd. Citigroup boosted their price target on shares of ServiceNow from $154.00 to $158.00 and gave the company a “buy” rating in a report on Thursday, April 30th. FBN Securities cut their price objective on shares of ServiceNow from $160.00 to $120.00 in a research report on Thursday, April 23rd. Morgan Stanley cut their price objective on shares of ServiceNow from $210.00 to $180.00 and set an “overweight” rating on the stock in a research report on Thursday, April 23rd. Finally, Deutsche Bank Aktiengesellschaft cut their price objective on shares of ServiceNow from $180.00 to $135.00 and set a “buy” rating on the stock in a research report on Thursday, April 16th. Two analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $144.71.

ServiceNow Price Performance

Shares of NOW stock opened at $89.10 on Tuesday. ServiceNow has a 12-month low of $81.24 and a 12-month high of $211.48. The firm has a market capitalization of $91.86 billion, a price-to-earnings ratio of 53.10, a price-to-earnings-growth ratio of 1.63 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. The firm has a fifty day moving average of $102.97 and a 200-day moving average of $133.33.

ServiceNow (NYSE:NOW) last announced its quarterly earnings results on Wednesday, April 22nd. The information technology services provider reported $0.97 earnings per share (EPS) for the quarter, meeting 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 during the quarter, compared to analyst estimates of $3.75 billion. During the same quarter in the previous year, the business earned $0.81 EPS. The firm’s revenue was up 22.1% on a year-over-year basis. On average, equities research analysts forecast that ServiceNow will post 2.35 earnings per share for the current year.

Insider Buying and Selling at ServiceNow

In other ServiceNow news, insider Paul Fipps sold 3,696 shares of the business’s stock in a transaction dated Monday, February 23rd. The shares were sold at an average price of $101.77, for a total transaction of $376,141.92. Following the sale, the insider directly owned 8,061 shares of the company’s stock, valued at $820,367.97. The trade was a 31.44% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this link. Also, insider Kevin Thomas Mcbride sold 1,400 shares of the business’s stock in a transaction dated Friday, February 13th. The stock was sold at an average price of $105.71, for a total transaction of $147,994.00. Following the sale, the insider directly owned 26,314 shares in the company, valued at $2,781,652.94. This trade represents a 5.05% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 25,164 shares of company stock valued at $2,497,021. Corporate insiders own 0.34% of the company’s stock.

Institutional Investors Weigh In On ServiceNow

Several institutional investors and hedge funds have recently added to or reduced their stakes in NOW. Vanguard Group Inc. lifted its position in ServiceNow by 404.5% during the 4th quarter. Vanguard Group Inc. now owns 101,963,384 shares of the information technology services provider’s stock worth $15,619,771,000 after buying an additional 81,752,460 shares in the last quarter. State Street Corp lifted its position in ServiceNow by 406.6% during the 4th quarter. State Street Corp now owns 47,896,597 shares of the information technology services provider’s stock worth $7,337,280,000 after buying an additional 38,441,898 shares in the last quarter. Price T Rowe Associates Inc. MD lifted its position in ServiceNow by 371.0% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 32,395,663 shares of the information technology services provider’s stock worth $4,962,692,000 after buying an additional 25,517,218 shares in the last quarter. Geode Capital Management LLC lifted its position in ServiceNow by 404.8% during the 4th quarter. Geode Capital Management LLC now owns 23,512,428 shares of the information technology services provider’s stock worth $3,591,425,000 after buying an additional 18,854,775 shares in the last quarter. Finally, Morgan Stanley lifted its position in ServiceNow by 335.6% during the 4th quarter. Morgan Stanley now owns 22,733,483 shares of the information technology services provider’s stock worth $3,482,543,000 after buying an additional 17,514,679 shares in the last quarter. 87.18% of the stock is owned by institutional investors.

More ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Major AI product and partner announcements at Knowledge 2026 position ServiceNow as an enterprise “AI control tower” (Project Arc, Otto, expanded AI Control Tower) that could drive multi‑year revenue and margin upside. ServiceNow And NVIDIA Project Arc Puts AI Agents At Center Stage
• Positive Sentiment: Expanded strategic partnerships and ecosystem integrations (NVIDIA, Microsoft, Google Cloud, Lenovo, FedEx, AWS and many ISV integrations) strengthen go‑to‑market reach and make it easier for customers to deploy agentic AI at scale. These tie directly into ServiceNow’s revenue growth story. ServiceNow (NOW) Valuation Check After Knowledge 2026 AI Partnerships And Product Launches
• Positive Sentiment: Analysts are reacting positively — several firms raised price targets or reaffirmed buy/outperform ratings after the event (Bernstein, Barclays, Evercore, Citi, Capital One, Citizens JMP, DA Davidson, Needham). Upgrades fuel longer‑term upside expectations. Bernstein Hikes ServiceNow Price Target to $236
• Positive Sentiment: Commercial traction signals — ServiceNow reports growing marketplace activity (>$1B in AWS Marketplace transactions) and customer deployments cited in press coverage, supporting faster adoption of agentic AI in enterprise workflows. ServiceNow hits $1 billion in AWS Marketplace transactions
• Neutral Sentiment: Investor Day materials (transcript & slideshow) provide detail on targets and margin levers but require time for verification against execution — useful for modeling but not immediately catalytic. ServiceNow, Inc. (NOW) Analyst/Investor Day Transcript
• Neutral Sentiment: Numerous partner/integration announcements (Outreach, RightCrowd, Ataccama, Cloudera, Lenovo, etc.) broaden the ecosystem; individually modest near‑term revenue impact but they reduce adoption friction. RightCrowd Integrates Physical Access Control with ServiceNow
• Negative Sentiment: Near‑term skepticism and valuation reset persist — ServiceNow shares remain well below their prior highs, investors worry about “agent sprawl” execution risk, and the stock has been under pressure year‑to‑date despite the event. That mix is likely why shares are trading down today. ServiceNow And NVIDIA Project Arc Puts AI Agents At Center Stage
• Negative Sentiment: High expectations are baked into long‑term forecasts (company has suggested very large 2030 targets). Misses on execution, slower enterprise buying cycles, or margin pressure could prompt further downside before long‑term thesis plays out. ServiceNow just told Wall Street it’s going to double again. Here’s why $30 billion of revenue isn’t crazy

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.