ServiceNow (NYSE:NOW) Stock Price Up 2.6% – Here’s What Happened

ServiceNow, Inc. (NYSE:NOW) shares shot up 2.6% during mid-day trading on Monday . The stock traded as high as $149.60 and last traded at $148.43. Approximately 25,758,407 shares traded hands during mid-day trading, an increase of 10% from the average daily volume of 23,484,400 shares. The stock had previously closed at $144.71.

More ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow’s AI business is attracting significant interest: AI-related contracts reportedly surpassed the $1 billion mark, while recent quarterly revenue exceeded expectations and increased 24% year over year. These trends reinforce the investment case that AI is expanding, rather than cannibalizing, demand for enterprise software. ServiceNow Stock Surges Nearly 5% as AI Revenue Reaches $1 Billion Benchmark
• Positive Sentiment: A technical trading signal appeared around $144.84, followed by a recovery toward the session high. Momentum-oriented traders may view the move as confirmation of renewed buying interest in NOW. ServiceNow Stock Up Nearly 3% After Key Trading Signal
• Neutral Sentiment: Analysts and commentators continue comparing ServiceNow with Salesforce and UiPath in the enterprise AI automation market. ServiceNow is viewed as well positioned in workflow and IT automation, but the longer-term winner will depend on how quickly agentic AI adoption translates into profitable consumption and recurring revenue. ServiceNow Versus Salesforce: Who’s Better Positioned to Capitalize on AI? UiPath Versus ServiceNow
• Negative Sentiment: ServiceNow remains expensive, trading at roughly 89–93 times earnings, leaving the stock vulnerable to profit-taking if AI growth, contract expansion, or margin improvement falls short of ambitious expectations. Commentary also highlights the need to monitor the company’s spending as it invests to maintain its AI lead. ServiceNow: Winning the AI Race, Watching Its Wallet
• Negative Sentiment: Early trading pressure reflected broader market weakness and escalating geopolitical tensions, rather than a new company-specific operating problem. Software stocks, including ServiceNow, lagged as energy prices rose following U.S. strikes against Iran. ServiceNow Stock Slips Monday: What’s Going On?

Wall Street Analyst Weigh In

NOW has been the topic of several research analyst reports. Truist Financial raised their target price on shares of ServiceNow from $120.00 to $130.00 and gave the stock a “buy” rating in a report on Thursday, July 9th. Barclays reiterated an “overweight” rating and issued a $134.00 price target (up from $132.00) on shares of ServiceNow in a report on Tuesday, May 5th. Guggenheim upgraded shares of ServiceNow from a “neutral” rating to a “buy” rating and set a $125.00 price objective on the stock in a report on Wednesday, July 1st. CLSA assumed coverage on shares of ServiceNow in a research report on Monday, July 20th. They issued an “underperform” rating and a $72.00 price objective on the stock. Finally, DA Davidson set a $170.00 target price on shares of ServiceNow and gave the stock a “buy” rating in a research note on Monday, July 20th. One research analyst has rated the stock with a Strong Buy rating, thirty-six have issued a Buy rating, three have assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, ServiceNow presently has a consensus rating of “Moderate Buy” and an average price target of $144.24.

ServiceNow Stock Performance

The stock’s 50-day moving average price is $112.33 and its 200 day moving average price is $106.61. The firm has a market cap of $153.48 billion, a P/E ratio of 92.77, a price-to-earnings-growth ratio of 2.55 and a beta of 0.94. The company has a debt-to-equity ratio of 0.43, a current ratio of 0.70 and a quick ratio of 0.70.

ServiceNow (NYSE:NOW) last released its earnings results on Wednesday, July 22nd. The information technology services provider reported $0.90 earnings per share for the quarter, beating analysts’ consensus estimates of $0.86 by $0.04. ServiceNow had a net margin of 11.34% and a return on equity of 16.45%. The business had revenue of $3.99 billion during the quarter, compared to the consensus estimate of $3.93 billion. During the same quarter last year, the firm earned $0.81 earnings per share. The firm’s revenue for the quarter was up 24.0% compared to the same quarter last year. As a group, equities analysts predict that ServiceNow, Inc. will post 2.24 EPS for the current year.

Insider Activity at ServiceNow

In other news, Director Paul Edward Chamberlain sold 2,700 shares of the firm’s stock in a transaction dated Thursday, August 27th. The stock was sold at an average price of $135.50, for a total value of $365,850.00. Following the completion of the transaction, the director owned 43,990 shares in the company, valued at $5,960,645. This trade represents a 5.78% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 0.34% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the stock. Florida Financial Advisors LLC increased its position in shares of ServiceNow by 5.4% during the second quarter. Florida Financial Advisors LLC now owns 273 shares of the information technology services provider’s stock valued at $280,000 after acquiring an additional 14 shares during the last quarter. Clark Capital Management Group Inc. lifted its holdings in ServiceNow by 3.6% during the third quarter. Clark Capital Management Group Inc. now owns 514 shares of the information technology services provider’s stock worth $473,000 after acquiring an additional 18 shares during the period. American Trust boosted its position in ServiceNow by 1.8% in the third quarter. American Trust now owns 1,029 shares of the information technology services provider’s stock worth $947,000 after purchasing an additional 18 shares during the last quarter. Morse Asset Management Inc grew its stake in ServiceNow by 0.5% in the 2nd quarter. Morse Asset Management Inc now owns 3,488 shares of the information technology services provider’s stock valued at $3,586,000 after purchasing an additional 19 shares during the period. Finally, CYBER HORNET ETFs LLC grew its stake in ServiceNow by 3.7% in the 3rd quarter. CYBER HORNET ETFs LLC now owns 567 shares of the information technology services provider’s stock valued at $522,000 after purchasing an additional 20 shares during the period. 87.18% of the stock is owned by institutional investors and hedge funds.

ServiceNow Company Profile

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.