ServiceNow (NYSE:NOW) Stock Price Up 1.5% – Here’s Why

ServiceNow, Inc. (NYSE:NOW)’s stock price traded up 1.5% during trading on Monday . The company traded as high as $110.64 and last traded at $107.93. 16,165,716 shares traded hands during mid-day trading, a decline of 33% from the average session volume of 24,091,781 shares. The stock had previously closed at $106.32.

Wall Street Analysts Forecast Growth

NOW has been the subject of several recent analyst reports. Oppenheimer reaffirmed an “outperform” rating on shares of ServiceNow in a research note on Tuesday, May 26th. FBN Securities reduced their price objective on shares of ServiceNow from $160.00 to $120.00 in a research report on Thursday, April 23rd. Mizuho dropped their target price on ServiceNow from $150.00 to $140.00 and set an “outperform” rating for the company in a research report on Thursday, April 23rd. Wells Fargo & Company cut their target price on ServiceNow from $185.00 to $160.00 and set an “overweight” rating on the stock in a research note on Thursday, April 23rd. Finally, Citigroup raised their price target on ServiceNow from $154.00 to $158.00 and gave the stock a “buy” rating in a research note on Thursday, April 30th. One equities research analyst has rated the stock with a Strong Buy rating, thirty-six have issued a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $141.68.

ServiceNow Trading Up 1.5%

The stock’s 50-day moving average price is $100.53 and its 200 day moving average price is $112.60. The company has a debt-to-equity ratio of 0.13, a current ratio of 0.84 and a quick ratio of 0.84. The firm has a market capitalization of $111.28 billion, a PE ratio of 64.32, a price-to-earnings-growth ratio of 1.77 and a beta of 0.96.

ServiceNow (NYSE:NOW) last issued its earnings results on Wednesday, April 22nd. The information technology services provider reported $0.97 earnings per share for the quarter, meeting analysts’ consensus estimates of $0.97. ServiceNow had a return on equity of 18.16% and a net margin of 12.59%.The business had revenue of $3.77 billion during the quarter, compared to analyst estimates of $3.75 billion. During the same period in the previous year, the company posted $0.81 EPS. ServiceNow’s revenue was up 22.1% on a year-over-year basis. On average, sell-side analysts expect that ServiceNow, Inc. will post 2.34 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, insider Paul Fipps sold 1,048 shares of the stock in a transaction that occurred on Monday, May 18th. The shares were sold at an average price of $98.51, for a total value of $103,238.48. Following the completion of the transaction, the insider directly owned 12,072 shares of the company’s stock, valued at $1,189,212.72. This trade represents a 7.99% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Jacqueline P. Canney sold 8,927 shares of the business’s stock in a transaction that occurred on Friday, April 24th. The stock was sold at an average price of $89.60, for a total transaction of $799,859.20. Following the sale, the insider directly owned 29,531 shares in the company, valued at approximately $2,645,977.60. This represents a 23.21% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 28,071 shares of company stock worth $2,529,956 over the last ninety days. Insiders own 0.34% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Wealth Watch Advisors INC purchased a new position in ServiceNow during the third quarter valued at approximately $29,000. Texas Capital Bancshares Inc TX purchased a new stake in ServiceNow during the third quarter worth $37,000. Ameriflex Group Inc. boosted its holdings in ServiceNow by 187.5% during the third quarter. Ameriflex Group Inc. now owns 46 shares of the information technology services provider’s stock worth $42,000 after buying an additional 30 shares in the last quarter. Kelleher Financial Advisors acquired a new stake in ServiceNow during the third quarter valued at $50,000. Finally, Pin Oak Investment Advisors Inc. increased its holdings in ServiceNow by 20.7% in the third quarter. Pin Oak Investment Advisors Inc. now owns 134 shares of the information technology services provider’s stock valued at $123,000 after buying an additional 23 shares in the last quarter. 87.18% of the stock is currently owned by institutional investors and hedge funds.

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.