ServiceNow (NYSE:NOW) Trading Down 11.6% – Time to Sell?

ServiceNow, Inc. (NYSE:NOW) shares dropped 11.6% on Monday . The stock traded as low as $760.53 and last traded at $764.8270. Approximately 5,881,771 shares changed hands during trading, an increase of 258% from the average daily volume of 1,643,063 shares. The stock had previously closed at $865.06.

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on the stock. JPMorgan Chase & Co. raised their price objective on shares of ServiceNow from $1,020.00 to $1,075.00 and gave the company an “overweight” rating in a research report on Thursday, October 30th. Royal Bank Of Canada reissued an “outperform” rating and issued a $1,200.00 price target on shares of ServiceNow in a report on Thursday, October 30th. Cowen reaffirmed a “buy” rating on shares of ServiceNow in a report on Friday, October 24th. Wall Street Zen downgraded ServiceNow from a “buy” rating to a “hold” rating in a research report on Wednesday, December 3rd. Finally, TD Cowen boosted their target price on ServiceNow from $1,200.00 to $1,250.00 and gave the stock a “buy” rating in a research report on Thursday, October 30th. One research analyst has rated the stock with a Strong Buy rating, thirty-one have issued a Buy rating, five have assigned a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $1,137.58.

ServiceNow Trading Down 11.6%

The company has a current ratio of 1.06, a quick ratio of 1.06 and a debt-to-equity ratio of 0.13. The firm has a market cap of $159.08 billion, a PE ratio of 92.48, a PEG ratio of 3.61 and a beta of 0.97. The firm has a fifty day simple moving average of $873.65 and a two-hundred day simple moving average of $924.62.

ServiceNow’s stock is set to split on Thursday, December 18th. The 5-1 split was recently announced. The newly issued shares will be distributed to shareholders after the market closes on Wednesday, December 17th.

ServiceNow (NYSE:NOW) last released its earnings results on Wednesday, October 29th. The information technology services provider reported $4.82 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.21 by $0.61. ServiceNow had a net margin of 13.66% and a return on equity of 18.74%. The company had revenue of $3.41 billion during the quarter, compared to analyst estimates of $3.35 billion. During the same period in the prior year, the firm posted $3.72 EPS. The firm’s quarterly revenue was up 21.8% compared to the same quarter last year. Equities analysts forecast that ServiceNow, Inc. will post 8.93 EPS for the current year.

Insiders Place Their Bets

In related news, Vice Chairman Nicholas Tzitzon sold 522 shares of the business’s stock in a transaction that occurred on Tuesday, November 18th. The stock was sold at an average price of $827.08, for a total value of $431,735.76. Following the completion of the sale, the insider owned 3,000 shares in the company, valued at approximately $2,481,240. The trade was a 14.82% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Paul Edward Chamberlain sold 300 shares of the company’s stock in a transaction on Friday, November 28th. The stock was sold at an average price of $808.00, for a total value of $242,400.00. Following the completion of the sale, the director owned 9,586 shares of the company’s stock, valued at $7,745,488. This represents a 3.03% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 3,062 shares of company stock valued at $2,533,585 over the last quarter. Corporate insiders own 0.34% of the company’s stock.

Institutional Investors Weigh In On ServiceNow

Several institutional investors have recently added to or reduced their stakes in the business. Kilter Group LLC acquired a new position in ServiceNow in the second quarter valued at approximately $25,000. IAG Wealth Partners LLC lifted its stake in shares of ServiceNow by 200.0% in the 3rd quarter. IAG Wealth Partners LLC now owns 27 shares of the information technology services provider’s stock valued at $25,000 after purchasing an additional 18 shares during the period. Bogart Wealth LLC boosted its holdings in ServiceNow by 93.8% during the third quarter. Bogart Wealth LLC now owns 31 shares of the information technology services provider’s stock worth $29,000 after buying an additional 15 shares in the last quarter. Wealth Watch Advisors INC purchased a new position in ServiceNow in the third quarter valued at $29,000. Finally, Global X Japan Co. Ltd. acquired a new position in shares of ServiceNow in the second quarter worth about $30,000. Institutional investors and hedge funds 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.