ServiceNow (NYSE:NOW) Shares Gap Down – What’s Next?

by · The Markets Daily

ServiceNow, Inc. (NYSE:NOW – Get Free Report)’s stock price gapped down before the market opened on Monday . The stock had previously closed at $865.06, but opened at $798.00. ServiceNow shares last traded at $783.6970, with a volume of 632,025 shares.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently weighed in on NOW shares. DA Davidson set a $1,250.00 price target on shares of ServiceNow in a research report on Thursday, October 30th. TD Cowen raised their price objective on ServiceNow from $1,200.00 to $1,250.00 and gave the stock a “buy” rating in a research note on Thursday, October 30th. Cowen reaffirmed a “buy” rating on shares of ServiceNow in a report on Friday, October 24th. Weiss Ratings reissued a “hold (c)” rating on shares of ServiceNow in a report on Wednesday, October 8th. Finally, Citigroup raised their price target on ServiceNow from $1,234.00 to $1,253.00 and gave the stock a “buy” rating in a research report on Thursday, October 30th. One investment analyst has rated the stock with a Strong Buy rating, thirty-one have assigned a Buy rating, five have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $1,137.58.

Get Our Latest Report on NOW

ServiceNow Price Performance

The business’s fifty day moving average price is $873.65 and its 200 day moving average price is $924.62. The company has a debt-to-equity ratio of 0.13, a current ratio of 1.06 and a quick ratio of 1.06. The stock has a market cap of $160.45 billion, a P/E ratio of 93.31, a PEG ratio of 3.61 and a beta of 0.97.

Shares of ServiceNow are set to split before the market opens on Thursday, December 18th. The 5-1 split was recently announced. The newly created shares will be payable to shareholders after the market closes on Wednesday, December 17th.

ServiceNow (NYSE:NOW – Get Free Report) last posted its earnings results on Wednesday, October 29th. The information technology services provider reported $4.82 earnings per share for the quarter, topping analysts’ consensus estimates of $4.21 by $0.61. ServiceNow had a net margin of 13.66% and a return on equity of 18.74%. The firm had revenue of $3.41 billion for the quarter, compared to analysts’ expectations of $3.35 billion. During the same quarter in the previous year, the firm posted $3.72 earnings per share. The company’s revenue was up 21.8% on a year-over-year basis. Sell-side analysts forecast that ServiceNow, Inc. will post 8.93 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, Director Paul Edward Chamberlain sold 300 shares of the company’s stock in a transaction that occurred 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 transaction, 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 transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, Vice Chairman Nicholas Tzitzon sold 522 shares of ServiceNow stock in a transaction that occurred on Tuesday, November 18th. The stock was sold at an average price of $827.08, for a total transaction of $431,735.76. Following the sale, the insider owned 3,000 shares in the company, valued at approximately $2,481,240. This represents a 14.82% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 3,062 shares of company stock worth $2,533,585. Company insiders own 0.34% of the company’s stock.

Hedge Funds Weigh In On ServiceNow

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Saranac Partners Ltd acquired a new stake in ServiceNow during the 3rd quarter valued at approximately $4,030,000. IFP Advisors Inc lifted its position in shares of ServiceNow by 2.4% in the 3rd quarter. IFP Advisors Inc now owns 4,910 shares of the information technology services provider’s stock worth $4,519,000 after purchasing an additional 113 shares during the period. Swiss Life Asset Management Ltd boosted its stake in shares of ServiceNow by 5.8% in the 3rd quarter. Swiss Life Asset Management Ltd now owns 83,363 shares of the information technology services provider’s stock valued at $76,717,000 after purchasing an additional 4,565 shares during the last quarter. Cambria Investment Management L.P. bought a new stake in shares of ServiceNow in the 3rd quarter valued at $359,000. Finally, Opes Wealth Management LLC increased its position in shares of ServiceNow by 3.5% during the third quarter. Opes Wealth Management LLC now owns 507 shares of the information technology services provider’s stock worth $467,000 after buying an additional 17 shares during the period. 87.18% of the stock is owned by institutional investors and hedge funds.

ServiceNow Company Profile

(Get Free Report)

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.

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