BMO Capital Markets Has Lowered Expectations for ServiceNow (NYSE:NOW) Stock Price

ServiceNow (NYSE:NOW) had its target price dropped by research analysts at BMO Capital Markets from $1,185.00 to $990.00 in a research note issued to investors on Friday, MarketBeat reports. The firm presently has an “outperform” rating on the information technology services provider’s stock. BMO Capital Markets’ price objective points to a potential upside of 37.37% from the company’s current price.

A number of other research analysts also recently weighed in on the stock. Oppenheimer increased their target price on shares of ServiceNow from $1,150.00 to $1,200.00 and gave the company an “outperform” rating in a research report on Thursday, January 30th. Wells Fargo & Company increased their price objective on ServiceNow from $1,150.00 to $1,250.00 and gave the company an “overweight” rating in a report on Thursday, December 5th. JPMorgan Chase & Co. upped their price target on ServiceNow from $950.00 to $1,250.00 and gave the company an “overweight” rating in a research report on Wednesday, January 29th. Redburn Atlantic started coverage on ServiceNow in a report on Wednesday, February 19th. They issued a “buy” rating for the company. Finally, Raymond James started coverage on shares of ServiceNow in a report on Tuesday, December 24th. They set an “outperform” rating and a $1,200.00 price objective on the stock. One investment analyst has rated the stock with a sell rating, four have assigned a hold rating and twenty-seven have given a buy rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $1,086.00.

ServiceNow Price Performance

Shares of NYSE NOW opened at $720.69 on Friday. The company has a market capitalization of $148.46 billion, a PE ratio of 105.52, a PEG ratio of 4.51 and a beta of 1.03. The company has a quick ratio of 1.10, a current ratio of 1.10 and a debt-to-equity ratio of 0.15. The stock’s 50 day moving average price is $917.80 and its 200-day moving average price is $980.64. ServiceNow has a twelve month low of $637.99 and a twelve month high of $1,198.09.

ServiceNow (NYSE:NOW) last announced its quarterly earnings data on Wednesday, January 29th. The information technology services provider reported $3.67 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $3.67. ServiceNow had a return on equity of 17.11% and a net margin of 12.97%. On average, equities analysts anticipate that ServiceNow will post 8.93 EPS for the current year.

ServiceNow declared that its board has approved a stock buyback plan on Wednesday, January 29th that allows the company to buyback $3.00 billion in outstanding shares. This buyback authorization allows the information technology services provider to reacquire up to 1.3% of its shares through open market purchases. Shares buyback plans are often an indication that the company’s board believes its shares are undervalued.

Insider Buying and Selling

In other news, insider Jacqueline P. Canney sold 455 shares of the company’s stock in a transaction dated Thursday, January 16th. The shares were sold at an average price of $1,058.54, for a total transaction of $481,635.70. Following the completion of the transaction, the insider now directly owns 3,027 shares of the company’s stock, valued at approximately $3,204,200.58. This represents a 13.07 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, Vice Chairman Nicholas Tzitzon sold 2,945 shares of the company’s stock in a transaction that occurred on Tuesday, February 25th. The shares were sold at an average price of $923.72, for a total value of $2,720,355.40. Following the transaction, the insider now directly owns 3,649 shares of the company’s stock, valued at $3,370,654.28. The trade was a 44.66 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 20,351 shares of company stock worth $20,050,076 in the last 90 days. 0.25% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in NOW. Versant Capital Management Inc boosted its holdings in shares of ServiceNow by 66.5% during the 1st quarter. Versant Capital Management Inc now owns 268 shares of the information technology services provider’s stock valued at $213,000 after buying an additional 107 shares in the last quarter. Central Pacific Bank Trust Division increased its stake in shares of ServiceNow by 91.5% during the first quarter. Central Pacific Bank Trust Division now owns 4,766 shares of the information technology services provider’s stock valued at $3,794,000 after purchasing an additional 2,277 shares in the last quarter. First Hawaiian Bank lifted its holdings in shares of ServiceNow by 23.4% during the first quarter. First Hawaiian Bank now owns 4,370 shares of the information technology services provider’s stock valued at $3,479,000 after purchasing an additional 829 shares during the last quarter. Jacobs & Co. CA boosted its position in shares of ServiceNow by 9.3% in the 1st quarter. Jacobs & Co. CA now owns 9,492 shares of the information technology services provider’s stock worth $7,556,000 after purchasing an additional 806 shares in the last quarter. Finally, Kera Capital Partners Inc. purchased a new stake in shares of ServiceNow in the 1st quarter worth approximately $294,000. 87.18% of the stock is currently owned by institutional investors.

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.