ServiceNow (NYSE:NOW) Sets New 1-Year Low – What’s Next?

ServiceNow, Inc. (NYSE:NOW) shares hit a new 52-week low on Tuesday . The stock traded as low as $126.00 and last traded at $125.7280, with a volume of 3287400 shares. The stock had previously closed at $127.31.

ServiceNow News Roundup

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Company pushes AI and partner momentum — ServiceNow announced expansions to its channel and partner programs and deeper OpenAI integration to run agentic AI across workflows, signaling product differentiation and stronger enterprise AI adoption prospects. ServiceNow Beefs Up Channel Program With AI Emphasis ServiceNow Taps OpenAI to Run Agentic AI Across Enterprise Workflows
• Positive Sentiment: Analyst support remains — BTIG reaffirmed a “buy” with a $200 PT (significant upside vs. current levels), providing an institutional positive signal even as other firms adjust targets. BTIG Reaffirms Buy on ServiceNow
• Positive Sentiment: Investor and media attention increased — Jim Cramer mentioned ServiceNow’s earnings and an active investor (Malcolm Ethridge) publicly increased his position, which can attract flows and short-term buying interest. Jim Cramer Mentions ServiceNow Trade Tracker: Malcolm Ethridge buys more ServiceNow
• Neutral Sentiment: Analyst and media coverage intensity — Zacks and other outlets note elevated investor searches and compare NOW to peers (e.g., Adobe), highlighting interest but not offering new fundamental data. Investors Heavily Search ServiceNow
• Negative Sentiment: Several firms trimmed price targets — BMO cut its PT to $175 and Mizuho cut to $190 (both still have positive/Outperform stances), and Citigroup lowered its PT to $235. These reductions reflect more cautious near-term expectations and could weigh on valuation sentiment. BMO Lowers PT on ServiceNow Mizuho Lowers PT on ServiceNow Citigroup Lowers PT on ServiceNow
• Negative Sentiment: Longer-term performance concerns persist — commentary on why NOW underperformed in 2025 (stock split, costly acquisition, investor skepticism) continues to temper enthusiasm and could limit multiple expansion until growth or margin signals improve. Why Stock-Split Stock ServiceNow Slumped in 2025

Wall Street Analysts Forecast Growth

NOW has been the topic of a number of research reports. Guggenheim upgraded ServiceNow from a “sell” rating to a “neutral” rating in a report on Tuesday, December 16th. Arete Research set a $200.00 price objective on ServiceNow in a research report on Tuesday, January 6th. Wall Street Zen raised ServiceNow from a “hold” rating to a “buy” rating in a research note on Saturday, December 27th. Macquarie reissued a “neutral” rating and set a $172.00 price target on shares of ServiceNow in a research report on Thursday, January 8th. Finally, The Goldman Sachs Group downgraded ServiceNow from a “buy” rating to a “sell” rating in a research report on Monday, January 12th. Two research analysts have rated the stock with a Strong Buy rating, thirty-two have assigned a Buy rating, five have issued a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $210.69.

ServiceNow Stock Performance

The stock’s fifty day simple moving average is $155.06 and its two-hundred day simple moving average is $174.14. The company has a market cap of $133.50 billion, a price-to-earnings ratio of 77.73, a price-to-earnings-growth ratio of 2.16 and a beta of 0.98. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.06 and a current ratio of 1.06.

Insiders Place Their Bets

In related news, insider Kevin Thomas Mcbride sold 1,400 shares of the stock in a transaction that occurred on Friday, November 14th. The shares were sold at an average price of $168.50, for a total transaction of $235,894.40. Following the completion of the sale, the insider owned 25,270 shares of the company’s stock, valued at approximately $4,257,893.92. This represents a 5.25% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Vice Chairman Nicholas Tzitzon sold 2,610 shares of ServiceNow stock in a transaction that occurred on Tuesday, November 18th. The shares were sold at an average price of $165.42, for a total transaction of $431,735.76. Following the transaction, the insider directly owned 15,000 shares in the company, valued at approximately $2,481,240. This trade represents a 14.82% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 15,310 shares of company stock worth $2,533,585. 0.34% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Highline Wealth Partners LLC increased its position in ServiceNow by 1.8% during the second quarter. Highline Wealth Partners LLC now owns 623 shares of the information technology services provider’s stock worth $640,000 after buying an additional 11 shares in the last quarter. Richardson Financial Services Inc. boosted its stake in shares of ServiceNow by 50.0% during the second quarter. Richardson Financial Services Inc. now owns 33 shares of the information technology services provider’s stock valued at $33,000 after acquiring an additional 11 shares during the last quarter. Brady Martz Wealth Solutions LLC increased its position in ServiceNow by 1.3% during the 3rd quarter. Brady Martz Wealth Solutions LLC now owns 842 shares of the information technology services provider’s stock worth $775,000 after purchasing an additional 11 shares in the last quarter. Magnus Financial Group LLC raised its stake in ServiceNow by 1.9% in the 3rd quarter. Magnus Financial Group LLC now owns 589 shares of the information technology services provider’s stock valued at $542,000 after purchasing an additional 11 shares during the last quarter. Finally, Avidian Wealth Enterprises LLC lifted its holdings in ServiceNow by 2.5% in the 3rd quarter. Avidian Wealth Enterprises LLC now owns 453 shares of the information technology services provider’s stock valued at $417,000 after purchasing an additional 11 shares in the last quarter. Institutional investors and hedge funds own 87.18% of the company’s stock.

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.