ServiceNow (NYSE:NOW) Stock Price Up 2.8% – Here’s What Happened

ServiceNow, Inc. (NYSE:NOW)’s stock price rose 2.8% during mid-day trading on Thursday. The stock traded as high as $140.80 and last traded at $137.7720. 10,130,023 shares traded hands during trading, a decline of 54% from the average session volume of 22,204,002 shares. The stock had previously closed at $134.01.

Trending Headlines about ServiceNow

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Accenture’s quarterly earnings beat and fiscal 2027 revenue outlook above analyst expectations lifted sentiment across software stocks, providing a read-through that enterprise technology spending remains resilient. ServiceNow Rallies as Accenture Earnings Lift Software Stocks
• Positive Sentiment: ServiceNow was identified as a potential leader in the next phase of the AI trade by Deutsche Bank analysts. The company’s workflow platform, broad Fortune 500 presence and growing AI capabilities support the bullish view. Meta, ServiceNow and these 7 other tech stocks could lead the next leg of the AI trade
• Positive Sentiment: Nvidia CEO Jensen Huang’s view that ServiceNow is “destined to be the best platform” for enterprise AI reinforced investor confidence in the company’s long-term positioning. Recent company materials also cited more than $1 billion in AI annual contract value. This AI Stock May Be the Biggest Winner as Enterprise AI Takes Off
• Positive Sentiment: Analysts and market commentators described NOW as rebuilding an uptrend after an earlier selloff, potentially making the stock more attractive than AI names trading at record highs. Its latest reported quarter also featured revenue growth of 24% and an earnings beat.
• Neutral Sentiment: ServiceNow’s fundamentals remain strong, but investors are weighing whether its elevated valuation is justified by future AI-driven earnings growth. Why It’s Time to Load Up on ServiceNow Stock
• Negative Sentiment: Concerns about AI disruption, slower near-term deal activity and reported AI-related security issues remain risks to growth and valuation. In addition, recent insider activity showed sales with no disclosed purchases, which may temper enthusiasm.

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on NOW. The Goldman Sachs Group reaffirmed a “buy” rating on shares of ServiceNow in a research note on Monday, August 3rd. Evercore reiterated an “outperform” rating and set a $160.00 price target on shares of ServiceNow in a research report on Thursday, July 23rd. Truist Financial raised their price objective on shares of ServiceNow from $120.00 to $130.00 and gave the company a “buy” rating in a research note on Thursday, July 9th. Weiss Ratings upgraded shares of ServiceNow from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Thursday, August 20th. Finally, Guggenheim upgraded ServiceNow from a “neutral” rating to a “buy” rating and set a $125.00 price target on the stock in a research report on Wednesday, July 1st. 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 two have assigned a Sell rating to the company. According to data from MarketBeat, ServiceNow has a consensus rating of “Moderate Buy” and an average target price of $147.00.

ServiceNow Stock Up 2.8%

The stock has a fifty day moving average of $128.45 and a 200 day moving average of $111.16. The company has a debt-to-equity ratio of 0.43, a current ratio of 0.70 and a quick ratio of 0.70. The firm has a market capitalization of $142.46 billion, a P/E ratio of 86.11, a price-to-earnings-growth ratio of 2.39 and a beta of 0.97.

ServiceNow (NYSE:NOW) last released its earnings results on Wednesday, July 22nd. The information technology services provider reported $0.90 EPS for the quarter, topping analysts’ consensus estimates of $0.86 by $0.04. The company had revenue of $3.99 billion for the quarter, compared to analysts’ expectations of $3.93 billion. ServiceNow had a return on equity of 16.45% and a net margin of 11.34%.The business’s revenue for the quarter was up 24.0% compared to the same quarter last year. During the same period in the previous year, the business posted $0.81 EPS. On average, research analysts anticipate that ServiceNow, Inc. will post 2.22 EPS for the current fiscal year.

Insider Buying and Selling at ServiceNow

In other news, Director Paul Chamberlain sold 2,700 shares of the company’s stock in a transaction on Thursday, August 27th. The stock was sold at an average price of $135.50, for a total transaction of $365,850.00. Following the transaction, the director owned 43,990 shares of the company’s stock, valued at $5,960,645. This represents a 5.78% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Jacqueline Canney sold 7,847 shares of the business’s stock in a transaction dated Friday, August 28th. The shares were 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 $4,145,796. This represents a 20.71% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 14,081 shares of company stock worth $1,937,904 over the last ninety days. 0.34% of the stock is currently owned by company insiders.

Institutional Trading of ServiceNow

A number of institutional investors have recently added to or reduced their stakes in the stock. Greenwich Wealth Management LLC lifted its holdings in shares of ServiceNow by 5.2% in the second quarter. Greenwich Wealth Management LLC now owns 5,816 shares of the information technology services provider’s stock worth $577,000 after buying an additional 290 shares in the last quarter. QRG Capital Management Inc. boosted its holdings in ServiceNow by 6.8% in the 2nd quarter. QRG Capital Management Inc. now owns 132,947 shares of the information technology services provider’s stock valued at $13,199,000 after purchasing an additional 8,486 shares during the period. Envestnet Portfolio Solutions Inc. grew its position in shares of ServiceNow by 61.8% during the 2nd quarter. Envestnet Portfolio Solutions Inc. now owns 52,800 shares of the information technology services provider’s stock valued at $5,242,000 after purchasing an additional 20,173 shares in the last quarter. State Street Corp increased its holdings in shares of 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 purchasing an additional 979,726 shares during the period. Finally, National Pension Service raised its position in shares of ServiceNow by 5.8% in the second quarter. National Pension Service now owns 2,705,240 shares of the information technology services provider’s stock worth $268,576,000 after buying an additional 147,467 shares in the last quarter. Hedge funds and other institutional investors own 87.18% of the company’s stock.

ServiceNow Company Profile

ServiceNow, Inc is a cloud-based enterprise software company that helps organizations digitize, automate and manage workflows. Its platform connects people, processes and systems across departments, enabling businesses to replace manual, disconnected activities with standardized digital workflows.

The company’s products and services support a range of functions, including information technology service management, IT operations management, customer service, human resources, risk and security operations, and software development.