ServiceNow’s (NOW) “Outperform” Rating Reiterated at Royal Bank Of Canada

Royal Bank Of Canada reissued their outperform rating on shares of ServiceNow (NYSE:NOW) in a report issued on Tuesday,Benzinga reports. The firm currently has a $121.00 price target on the information technology services provider’s stock.

Several other brokerages also recently commented on NOW. Truist Financial cut their price target on shares of ServiceNow from $125.00 to $120.00 and set a “buy” rating on the stock in a report on Thursday, April 23rd. Morgan Stanley cut their price target on shares of ServiceNow from $210.00 to $180.00 and set an “overweight” rating on the stock in a report on Thursday, April 23rd. Cantor Fitzgerald cut their price target on shares of ServiceNow to $122.00 and set an “overweight” rating on the stock in a report on Thursday, April 23rd. HSBC cut their price target on shares of ServiceNow from $226.00 to $171.00 and set a “buy” rating on the stock in a report on Thursday, April 16th. Finally, Piper Sandler cut their price target on shares of ServiceNow from $200.00 to $140.00 and set an “overweight” rating on the stock in a report on Thursday, April 23rd. Two investment analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, ServiceNow currently has a consensus rating of “Moderate Buy” and an average target price of $144.71.

ServiceNow Stock Performance

Shares of NYSE:NOW opened at $93.65 on Tuesday. The company has a market capitalization of $96.55 billion, a price-to-earnings ratio of 55.81, a PEG ratio of 1.58 and a beta of 0.82. ServiceNow has a 12 month low of $81.24 and a 12 month high of $211.48. The firm’s 50-day moving average is $102.80 and its 200 day moving average is $132.71. The company has a current ratio of 0.84, a quick ratio of 0.84 and a debt-to-equity ratio of 0.13.

ServiceNow (NYSE:NOW) last issued its quarterly earnings results on Wednesday, April 22nd. The information technology services provider reported $0.97 EPS for the quarter, meeting the consensus estimate of $0.97. The company had revenue of $3.77 billion for the quarter, compared to the consensus estimate of $3.75 billion. ServiceNow had a net margin of 12.59% and a return on equity of 18.16%. The firm’s revenue was up 22.1% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.81 EPS. Research analysts predict that ServiceNow will post 2.35 EPS for the current year.

Insider Buying and Selling

In other news, insider Paul Fipps sold 9,641 shares of ServiceNow stock in a transaction on Wednesday, February 18th. The stock was sold at an average price of $105.93, for a total value of $1,021,271.13. Following the transaction, the insider directly owned 11,757 shares in the company, valued at approximately $1,245,419.01. This trade represents a 45.06% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, insider Kevin Thomas Mcbride sold 1,400 shares of ServiceNow stock in a transaction on Friday, February 13th. The shares were sold at an average price of $105.71, for a total value of $147,994.00. Following the completion of the transaction, the insider owned 26,314 shares in the company, valued at $2,781,652.94. This represents a 5.05% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 25,164 shares of company stock valued at $2,497,021. 0.34% of the stock is owned by insiders.

Institutional Investors Weigh In On ServiceNow

Institutional investors have recently bought and sold shares of the company. IAG Wealth Partners LLC boosted its stake in ServiceNow by 200.0% in the third quarter. IAG Wealth Partners LLC now owns 27 shares of the information technology services provider’s stock valued at $25,000 after acquiring an additional 18 shares in the last quarter. Noble Wealth Management PBC boosted its stake in ServiceNow by 400.0% in the fourth quarter. Noble Wealth Management PBC now owns 160 shares of the information technology services provider’s stock valued at $25,000 after acquiring an additional 128 shares in the last quarter. Millstone Evans Group LLC boosted its stake in ServiceNow by 400.0% in the fourth quarter. Millstone Evans Group LLC now owns 165 shares of the information technology services provider’s stock valued at $25,000 after acquiring an additional 132 shares in the last quarter. CBIZ Investment Advisory Services LLC boosted its stake in ServiceNow by 540.0% in the fourth quarter. CBIZ Investment Advisory Services LLC now owns 160 shares of the information technology services provider’s stock valued at $25,000 after acquiring an additional 135 shares in the last quarter. Finally, Blueline Advisors LLC acquired a new stake in ServiceNow in the fourth quarter valued at approximately $25,000. 87.18% of the stock is currently owned by institutional investors and hedge funds.

More ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Management unveiled an ambitious long‑range goal — targeting $30 billion in subscription revenue by 2030 and projecting ~20% annual growth with Now Assist expected to drive ~30% of ACV. This frames AI as a large new revenue engine. ServiceNow Targets $30 Billion As AI Revenue Story Accelerates
• Positive Sentiment: New product and partner announcements from Knowledge 2026 (Project Arc with NVIDIA, ServiceNow Otto, expanded AI Control Tower) accelerate enterprise‑ready, governed AI agents — a clear path from pilot to large‑scale deployments. ServiceNow And NVIDIA Project Arc Puts AI Agents At Center Stage
• Positive Sentiment: Analysts are incrementally more constructive after Analyst Day — Bernstein raised its price target (to $236) and several firms reaffirmed or raised targets/ratings, supporting upside expectations. Bernstein Hikes ServiceNow Price Target to $236
• Positive Sentiment: Institutional/options flow shows bullish interest — unusually large call buying (136,185 calls) points to speculative or hedged positions anticipating further upside near term.
• Positive Sentiment: Commercial traction signals: ServiceNow reported $1B in AWS Marketplace transactions and announced multiple ISV/integration wins that help distribution and adoption of agentic AI offerings. ServiceNow hits $1 billion in AWS Marketplace transactions
• Neutral Sentiment: Large partnerships continue to pile up (Accenture, NICE, Outreach integrations) — positive for scale but execution‑dependent. ServiceNow, Accenture partner to deliver agentic AI
• Neutral Sentiment: ServiceNow is instituting metered pricing for AI agents (alongside SAP/Workday) — this creates a new revenue lever but could trigger customer pushback or contract complexity. ServiceNow, SAP and Workday Make AI Agents Pay to Play
• Negative Sentiment: Valuation and execution risks remain — despite the AI narrative and product news, the stock is still digesting a year‑to‑date reset and must prove margin/leverage gains and sustained adoption to justify lofty long‑term targets. ServiceNow (NOW) Valuation Check After Knowledge 2026

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.