ServiceNow (NYSE:NOW) Price Target Lowered to $185.00 at TD Cowen

ServiceNow (NYSE:NOW) had its price target lowered by equities research analysts at TD Cowen from $200.00 to $185.00 in a research report issued to clients and investors on Thursday,MarketScreener reports. The brokerage currently has a “buy” rating on the information technology services provider’s stock. TD Cowen’s price objective points to a potential upside of 58.49% from the stock’s previous close.

Other equities analysts also recently issued reports about the stock. Morgan Stanley set a $263.00 target price on shares of ServiceNow and gave the stock an “overweight” rating in a report on Thursday, October 30th. BNP Paribas Exane decreased their target price on shares of ServiceNow from $186.00 to $120.00 and set a “neutral” rating for the company in a research report on Thursday, January 22nd. Capital One Financial cut their price target on shares of ServiceNow from $188.00 to $161.00 and set an “overweight” rating on the stock in a report on Friday, January 16th. Guggenheim upgraded ServiceNow from a “sell” rating to a “neutral” rating in a report on Tuesday, December 16th. Finally, Weiss Ratings restated a “hold (c)” rating on shares of ServiceNow in a research note on Thursday, January 22nd. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, six have assigned a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $194.47.

ServiceNow Stock Performance

Shares of NYSE:NOW opened at $116.73 on Thursday. The firm has a 50 day moving average of $149.79 and a 200 day moving average of $170.88. The company has a quick ratio of 1.06, a current ratio of 1.00 and a debt-to-equity ratio of 0.12. The company has a market capitalization of $121.21 billion, a price-to-earnings ratio of 69.98, a price-to-earnings-growth ratio of 2.01 and a beta of 0.98. ServiceNow has a 52 week low of $113.13 and a 52 week high of $211.48.

ServiceNow (NYSE:NOW) last announced its earnings results on Wednesday, January 28th. The information technology services provider reported $0.92 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.89 by $0.03. The business had revenue of $3.57 billion for the quarter, compared to analysts’ expectations of $3.53 billion. ServiceNow had a return on equity of 18.54% and a net margin of 13.16%.The business’s revenue for the quarter was up 20.7% on a year-over-year basis. During the same quarter last year, the firm earned $0.73 EPS. On average, sell-side analysts predict that ServiceNow will post 8.93 earnings per share for the current fiscal year.

Insider Transactions at ServiceNow

In related news, insider Jacqueline P. Canney sold 470 shares of the stock in a transaction that occurred on Tuesday, November 18th. The shares were sold at an average price of $165.42, for a total value of $77,745.52. Following the transaction, the insider owned 15,135 shares in the company, valued at approximately $2,503,571.16. This represents a 3.01% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Lawrence Jackson sold 1,325 shares of the firm’s stock in a transaction that occurred on Friday, November 28th. The stock was sold at an average price of $162.04, for a total transaction of $214,708.30. Following the transaction, the director directly owned 1,615 shares of the company’s stock, valued at $261,701.06. This represents a 45.07% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 15,310 shares of company stock valued at $2,533,585 over the last quarter. Company insiders own 0.34% of the company’s stock.

Institutional Investors Weigh In On ServiceNow

Several hedge funds have recently added to or reduced their stakes in NOW. Sigma Planning Corp raised its stake in shares of ServiceNow by 330.3% during the 4th quarter. Sigma Planning Corp now owns 16,071 shares of the information technology services provider’s stock valued at $2,657,000 after buying an additional 12,336 shares during the last quarter. Cullinan Associates Inc. boosted its stake in shares of ServiceNow by 400.0% in the fourth quarter. Cullinan Associates Inc. now owns 9,000 shares of the information technology services provider’s stock worth $1,379,000 after buying an additional 7,200 shares during the last quarter. Citizens Financial Group Inc. RI grew its holdings in ServiceNow by 537.6% during the fourth quarter. Citizens Financial Group Inc. RI now owns 72,972 shares of the information technology services provider’s stock worth $11,179,000 after acquiring an additional 61,527 shares during the period. New York State Teachers Retirement System grew its holdings in ServiceNow by 381.1% during the fourth quarter. New York State Teachers Retirement System now owns 830,539 shares of the information technology services provider’s stock worth $127,230,000 after acquiring an additional 657,892 shares during the period. Finally, Activest Wealth Management raised its position in ServiceNow by 921.7% during the fourth quarter. Activest Wealth Management now owns 470 shares of the information technology services provider’s stock valued at $72,000 after acquiring an additional 424 shares in the last quarter. 87.18% of the stock is owned by hedge funds and other institutional investors.

Key ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Q4 results beat expectations — EPS and revenue topped street estimates and subscription revenue grew >20%, showing continued demand and AI adoption. Earnings Beat
• Positive Sentiment: Board authorized a $5B buyback (including $2B accelerated), which is supportive for EPS and signals management confidence. Buyback
• Positive Sentiment: Strong AI product traction and partnerships (Anthropic, OpenAI integrations) underpin longer-term growth potential and enterprise adoption. AI Partnerships
• Neutral Sentiment: Analyst reactions are mixed: several firms (DA Davidson, Cantor, BTIG, Needham) reiterated/maintained buy or overweight ratings and raised/kept targets, while others cut targets or downgraded — leaving a wide range of price targets and sentiment dispersion. Analyst Notes
• Neutral Sentiment: Unusually large options volume was reported, indicating speculative/moderately aggressive trading that can amplify intraday moves (uncertain directional implication). Options Activity
• Negative Sentiment: Guidance signaled a slowdown: management forecast subscription growth for FY26 that implies deceleration from 2025 levels — investors viewed this as a notable deceleration risk. Guidance/Slowdown
• Negative Sentiment: Broader sector and AI disruption fears triggered a sell-off in software names; commentary highlighted multiple compression and concerns competition from new AI entrants could hurt growth/valuation. Sector/AI Fears
• Negative Sentiment: Some firms cut price targets sharply (KeyCorp to $115, Macquarie to $140), reflecting concern over valuation and near‑term execution — that contributed to downward pressure. Price Target Cuts

About ServiceNow

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.