Commonwealth Equity Services LLC Acquires 26,091 Shares of ServiceNow, Inc. $NOW

Commonwealth Equity Services LLC grew its holdings in ServiceNow, Inc. (NYSE:NOW) by 7.4% in the third quarter, HoldingsChannel.com reports. The institutional investor owned 379,123 shares of the information technology services provider’s stock after acquiring an additional 26,091 shares during the period. Commonwealth Equity Services LLC’s holdings in ServiceNow were worth $50,806,000 at the end of the most recent reporting period.

A number of other large investors have also recently made changes to their positions in NOW. BlackRock Inc. bought a new position in shares of ServiceNow in the 2nd quarter valued at about $9,536,615,000. State Street Corp grew its position in ServiceNow by 2.0% in the second quarter. State Street Corp now owns 49,038,218 shares of the information technology services provider’s stock worth $4,868,514,000 after acquiring an additional 979,726 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its position in ServiceNow by 16.6% in the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 16,638,071 shares of the information technology services provider’s stock worth $1,651,828,000 after acquiring an additional 2,362,606 shares in the last quarter. Amundi grew its position in ServiceNow by 60.9% in the first quarter. Amundi now owns 11,479,098 shares of the information technology services provider’s stock worth $1,200,140,000 after acquiring an additional 4,346,722 shares in the last quarter. Finally, Bank of New York Mellon Corp increased its stake in ServiceNow by 6.5% during the first quarter. Bank of New York Mellon Corp now owns 8,526,931 shares of the information technology services provider’s stock worth $891,491,000 after acquiring an additional 518,263 shares during the last quarter. 87.18% of the stock is currently owned by institutional investors.

ServiceNow Stock Performance

Shares of NYSE:NOW opened at $101.91 on Friday. The company has a market capitalization of $105.78 billion, a price-to-earnings ratio of 73.32, a PEG ratio of 1.99 and a beta of 1.00. ServiceNow, Inc. has a 12 month low of $81.24 and a 12 month high of $175.00. The firm’s 50-day moving average is $136.31 and its 200 day moving average is $114.81. The company has a current ratio of 0.72, a quick ratio of 0.72 and a debt-to-equity ratio of 0.42.

ServiceNow (NYSE:NOW) last posted its quarterly earnings data on Wednesday, October 28th. The information technology services provider reported $1.00 earnings per share for the quarter, missing analysts’ consensus estimates of $1.02 by ($0.02). The firm had revenue of $4.11 billion during the quarter, compared to analysts’ expectations of $4.09 billion. ServiceNow had a return on equity of 15.17% and a net margin of 9.36%. The business’s revenue for the quarter was up 20.5% compared to the same quarter last year. During the same period last year, the company earned $4.82 earnings per share. Research analysts predict that ServiceNow, Inc. will post 2.12 EPS for the current year.

Wall Street Analysts Forecast Growth

A number of equities research analysts have issued reports on NOW shares. Piper Sandler restated an “overweight” rating and set a $175.00 price objective on shares of ServiceNow in a research report on Thursday, October 29th. Guggenheim reiterated a “buy” rating and issued a $175.00 target price (up from $125.00) on shares of ServiceNow in a report on Friday, October 23rd. Wells Fargo & Company cut their target price on ServiceNow from $190.00 to $175.00 and set an “overweight” rating on the stock in a research report on Thursday, October 29th. The Goldman Sachs Group restated a “buy” rating on shares of ServiceNow in a report on Monday, August 3rd. Finally, BTIG Research decreased their price target on ServiceNow from $170.00 to $150.00 and set a “buy” rating on the stock in a report on Thursday, October 29th. One equities research analyst has rated the stock with a Strong Buy rating, thirty-six have given a Buy rating, three have issued a Hold rating and three have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $154.50.

Insider Activity

In other news, insider Paul Fipps sold 2,034 shares of the company’s stock in a transaction that occurred on Monday, August 31st. The stock was sold at an average price of $147.87, for a total transaction of $300,767.58. Following the transaction, the insider owned 18,305 shares of the company’s stock, valued at approximately $2,706,760.35. This represents a 10.00% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, insider Jacqueline Canney sold 7,847 shares of the 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 completion of the sale, the insider owned 30,042 shares in the company, valued at approximately $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. Over the last 90 days, insiders have sold 14,081 shares of company stock valued at $1,937,904. 0.34% of the stock is currently owned by insiders.

ServiceNow News Roundup

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow is broadening its agentic-AI partnership with LTM, aiming to take AI workflows to more enterprise customers. The company also highlighted deployments and selections by customers including LTM, KORE and Keysight, supporting its case that businesses are adopting its AI platform. ServiceNow expands enterprise AI partnerships
• Positive Sentiment: ServiceNow raised its AI contract-value target to $1.7 billion, and its CFO described fears that AI will disrupt the company’s business as unfounded. These points may help reassure investors about AI’s potential as a growth driver. ServiceNow Q3 earnings call highlights
• Neutral Sentiment: The NBA extended its partnership with ServiceNow, adopting EmployeeWorks for employee self-service and workplace requests. The deal adds a customer use case, though its near-term financial impact was not specified. NBA and ServiceNow extend partnership
• Negative Sentiment: Investors are focused on the outlook: despite a third-quarter revenue beat, ServiceNow’s fourth-quarter current remaining performance obligations growth forecast of 18.5% disappointed the market and prompted concerns about slowing backlog growth. The stock has fallen sharply since the report. ServiceNow outlook and AI concerns
• Negative Sentiment: ServiceNow is undertaking another round of layoffs, while third-quarter severance costs rose to $87 million from $24 million a year earlier. Separate reports that the board approved $127 million in retention awards as the company cuts jobs may also draw scrutiny over costs and priorities. ServiceNow layoffs and severance costs
• Negative Sentiment: ETFs were net sellers of $29.5 million in ServiceNow shares on Wednesday, adding a modest near-term headwind. ETF selling of ServiceNow shares

About ServiceNow

ServiceNow, Inc provides cloud-based software that helps organizations manage digital workflows and automate business processes. Founded in 2004 by Fred Luddy, the company began with a focus on IT service management and has expanded its platform to support a range of enterprise operations.

Its products include tools for IT service and operations management, customer service, human resources, security, and application development. ServiceNow also offers artificial intelligence capabilities, including tools designed to help organizations automate tasks and find information across workflows.

ServiceNow serves businesses and public-sector organizations around the world.