ServiceNow (NYSE:NOW) Stock Price Expected to Rise, Wells Fargo & Company Analyst Says

ServiceNow (NYSE:NOW - Get Free Report) had its price objective boosted by investment analysts at Wells Fargo & Company from $1,100.00 to $1,150.00 in a report released on Thursday,Benzinga reports. The firm currently has an "overweight" rating on the information technology services provider's stock. Wells Fargo & Company's price objective would indicate a potential upside of 22.86% from the stock's previous close.

Several other equities analysts also recently weighed in on the company. Raymond James reduced their target price on ServiceNow from $1,200.00 to $1,000.00 and set an "outperform" rating on the stock in a research report on Tuesday, April 8th. UBS Group cut their price objective on ServiceNow from $1,250.00 to $1,000.00 and set a "buy" rating on the stock in a research report on Tuesday, March 11th. Needham & Company LLC lifted their price target on shares of ServiceNow from $1,150.00 to $1,200.00 and gave the stock a "buy" rating in a research note on Thursday, January 30th. Jefferies Financial Group reduced their price objective on shares of ServiceNow from $1,250.00 to $1,025.00 and set a "buy" rating on the stock in a research note on Tuesday, April 15th. Finally, StockNews.com lowered ServiceNow from a "buy" rating to a "hold" rating in a research report on Tuesday, February 11th. One research analyst has rated the stock with a sell rating, four have given a hold rating and twenty-eight have issued a buy rating to the stock. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $1,027.83.

ServiceNow Price Performance

ServiceNow stock opened at $936.00 on Thursday. The stock has a market cap of $193.75 billion, a P/E ratio of 136.51, a PEG ratio of 4.51 and a beta of 1.08. ServiceNow has a 12-month low of $637.99 and a 12-month high of $1,198.09. The company has a 50-day moving average price of $840.59 and a 200 day moving average price of $967.11. The company has a current ratio of 1.10, a quick ratio of 1.10 and a debt-to-equity ratio of 0.15.

ServiceNow (NYSE:NOW - Get Free Report) last released its quarterly earnings results on Wednesday, April 23rd. The information technology services provider reported $2.31 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $3.78 by ($1.47). ServiceNow had a return on equity of 17.11% and a net margin of 12.97%. The firm had revenue of $3.09 billion for the quarter, compared to analysts' expectations of $3.09 billion. Sell-side analysts anticipate that ServiceNow will post 8.93 earnings per share for the current year.

ServiceNow declared that its board has initiated a share repurchase program on Wednesday, January 29th that allows the company to buyback $3.00 billion in shares. This buyback authorization allows the information technology services provider to purchase up to 1.3% of its shares through open market purchases. Shares buyback programs are often a sign that the company's management believes its stock is undervalued.

Insiders Place Their Bets

In other news, CFO Gina Mastantuono sold 4,442 shares of the company's stock in a transaction on Friday, February 21st. The shares were sold at an average price of $964.70, for a total transaction of $4,285,197.40. Following the completion of the sale, the chief financial officer now owns 11,126 shares of the company's stock, valued at $10,733,252.20. This represents a 28.53 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO William R. Mcdermott sold 1,263 shares of the business's stock in a transaction dated Monday, February 10th. The shares were sold at an average price of $1,019.10, for a total transaction of $1,287,123.30. Following the completion of the transaction, the chief executive officer now owns 2,595 shares in the company, valued at $2,644,564.50. The trade was a 32.74 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 20,250 shares of company stock valued at $19,853,273. Company insiders own 0.38% of the company's stock.

Institutional Trading of ServiceNow

Hedge funds have recently made changes to their positions in the company. Union Bancaire Privee UBP SA acquired a new position in shares of ServiceNow during the 4th quarter worth $48,802,000. Dock Street Asset Management Inc. grew its stake in shares of ServiceNow by 3.4% during the 4th quarter. Dock Street Asset Management Inc. now owns 33,154 shares of the information technology services provider's stock valued at $35,147,000 after buying an additional 1,105 shares during the period. Cardano Risk Management B.V. acquired a new position in shares of ServiceNow during the 4th quarter valued at $105,090,000. Rheos Capital Works Inc. acquired a new stake in ServiceNow during the 4th quarter valued at $10,071,000. Finally, Czech National Bank grew its position in shares of ServiceNow by 6.7% during the fourth quarter. Czech National Bank now owns 44,793 shares of the information technology services provider's stock worth $47,486,000 after buying an additional 2,829 shares in the last quarter. Institutional investors and hedge funds own 87.18% of the company's stock.

About ServiceNow

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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