ServiceNow (NYSE:NOW) Price Target Lowered to $881.00 at Morgan Stanley

ServiceNow (NYSE:NOW) had its target price decreased by investment analysts at Morgan Stanley from $960.00 to $881.00 in a research note issued to investors on Wednesday,Benzinga reports. The brokerage presently has an “equal weight” rating on the information technology services provider’s stock. Morgan Stanley’s target price indicates a potential upside of 9.38% from the company’s current price.

Several other equities research analysts have also recently commented on the company. Royal Bank of Canada set a $986.00 price target on ServiceNow in a research note on Tuesday, March 11th. StockNews.com downgraded shares of ServiceNow from a “buy” rating to a “hold” rating in a report on Tuesday, February 11th. UBS Group cut their price target on shares of ServiceNow from $1,250.00 to $1,000.00 and set a “buy” rating for the company in a report on Tuesday, March 11th. Bank of America lowered their price objective on ServiceNow from $1,280.00 to $1,025.00 and set a “buy” rating on the stock in a report on Tuesday. Finally, Wells Fargo & Company cut their target price on ServiceNow from $1,250.00 to $1,100.00 and set an “overweight” rating for the company in a research note on Monday. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating and twenty-eight have assigned a buy rating to the stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $1,057.17.

ServiceNow Stock Performance

NYSE:NOW traded down $11.08 during trading hours on Wednesday, reaching $805.42. 822,953 shares of the company’s stock were exchanged, compared to its average volume of 1,867,464. ServiceNow has a 1-year low of $637.99 and a 1-year high of $1,198.09. The company has a quick ratio of 1.10, a current ratio of 1.10 and a debt-to-equity ratio of 0.15. The firm has a market capitalization of $166.72 billion, a price-to-earnings ratio of 117.92, a P/E/G ratio of 4.51 and a beta of 1.08. The company has a 50-day moving average of $866.88 and a 200 day moving average of $972.23.

ServiceNow (NYSE:NOW) last announced its earnings results on Wednesday, January 29th. The information technology services provider reported $3.67 earnings per share for the quarter, hitting the consensus estimate of $3.67. ServiceNow had a net margin of 12.97% and a return on equity of 17.11%. Research analysts anticipate that ServiceNow will post 8.93 EPS for the current year.

ServiceNow declared that its board has approved a stock repurchase program on Wednesday, January 29th that authorizes the company to buyback $3.00 billion in outstanding shares. This buyback authorization authorizes the information technology services provider to purchase up to 1.3% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s board believes its stock is undervalued.

Insiders Place Their Bets

In other news, Vice Chairman Nicholas Tzitzon sold 2,945 shares of ServiceNow stock in a transaction dated Tuesday, February 25th. The stock was sold at an average price of $923.72, for a total transaction of $2,720,355.40. Following the sale, the insider now directly owns 3,649 shares of the company’s stock, valued at approximately $3,370,654.28. The trade was a 44.66 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Jacqueline P. Canney sold 455 shares of the stock in a transaction dated Thursday, January 16th. The shares were sold at an average price of $1,058.54, for a total value of $481,635.70. Following the completion of the transaction, the insider now directly owns 3,027 shares of the company’s stock, valued at $3,204,200.58. This represents a 13.07 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 20,351 shares of company stock worth $20,050,076 in the last 90 days. 0.38% of the stock is owned by company insiders.

Institutional Trading of ServiceNow

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Quarry LP acquired a new position in ServiceNow in the fourth quarter worth about $27,000. Atala Financial Inc acquired a new position in shares of ServiceNow in the 4th quarter worth approximately $28,000. LFA Lugano Financial Advisors SA bought a new stake in shares of ServiceNow in the 4th quarter valued at approximately $32,000. FPC Investment Advisory Inc. lifted its stake in ServiceNow by 725.0% during the fourth quarter. FPC Investment Advisory Inc. now owns 33 shares of the information technology services provider’s stock worth $34,000 after purchasing an additional 29 shares during the last quarter. Finally, Noble Wealth Management PBC acquired a new position in ServiceNow in the fourth quarter worth $34,000. Institutional investors own 87.18% of the company’s stock.

ServiceNow Company Profile

ServiceNow, Inc provides end to-end intelligent workflow automation platform solutions for digital businesses in the North America, Europe, the Middle East and Africa, Asia Pacific, and internationally. The company operates the Now platform for end-to-end digital transformation, artificial intelligence, machine learning, robotic process automation, process mining, performance analytics, and collaboration and development tools.