ServiceNow (NYSE:NOW) Stock Price Up 5.6% – Still a Buy?

ServiceNow, Inc. (NYSE:NOW)’s stock price was up 5.6% during mid-day trading on Monday . The company traded as high as $105.99 and last traded at $104.97. Approximately 18,500,191 shares were traded during trading, a decline of 2% from the average daily volume of 18,881,041 shares. The stock had previously closed at $99.41.

More ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: Benchmark initiated coverage with a Buy rating and a $125 price target, arguing the selloff creates a compelling long-term entry and implying meaningful upside from current levels. Benchmark Initiates Coverage
• Positive Sentiment: Morgan Stanley reiterated a Buy and a $210 target, highlighting resilient growth, AI monetization potential and accretive M&A — a supportive institutional view that can stabilize investor sentiment. Morgan Stanley Maintain
• Positive Sentiment: Multiple articles highlight partnerships (Zenity, Vonage, Cohesity) and product traction for ServiceNow’s AI platform and agentic AI offerings — these expand TAM and reinforce its positioning as an enterprise AI workflow/control layer. Partnerships Deepen Platform
• Neutral Sentiment: Wells Fargo trimmed its price target to $185 but kept an Overweight rating — still constructive long term but a sign analysts are tempering lofty expectations after the share decline. Wells Fargo Target Cut
• Neutral Sentiment: Company set Q1 2026 earnings release for April 22 — a scheduled catalyst that could swing sentiment depending on guidance for AI monetization, subscription growth and margins. Q1 Results Date
• Negative Sentiment: Coverage and commentary note the stock is down sharply YTD (~30–45% in various writeups) amid fears of AI-native competition and slowing growth — headlines framing a “worst quarter” and heavy valuation compression are pressuring the share price. Zacks on YTD Drop
• Negative Sentiment: MarketWatch and other outlets highlight that this is ServiceNow’s worst quarter on record for the stock — continued negative press could amplify selling until clearer signs of AI revenue cadence or margin stabilization emerge. MarketWatch Coverage

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on NOW shares. HSBC reduced their price objective on shares of ServiceNow from $266.40 to $226.00 and set a “buy” rating for the company in a research report on Friday, January 30th. TD Cowen dropped their target price on shares of ServiceNow from $200.00 to $185.00 and set a “buy” rating on the stock in a report on Thursday, January 29th. Needham & Company LLC reiterated a “buy” rating and set a $155.00 price objective on shares of ServiceNow in a research report on Thursday, February 5th. BMO Capital Markets reduced their price objective on ServiceNow from $175.00 to $170.00 and set an “outperform” rating for the company in a research note on Thursday, January 29th. Finally, Robert W. Baird set a $175.00 target price on ServiceNow in a report on Thursday, January 29th. Three equities research analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, five have given a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $189.77.

ServiceNow Stock Down 0.6%

The company has a debt-to-equity ratio of 0.12, a quick ratio of 1.00 and a current ratio of 1.00. The stock has a market cap of $108.74 billion, a price-to-earnings ratio of 62.32, a price-to-earnings-growth ratio of 1.76 and a beta of 0.99. The business’s 50 day moving average is $112.02 and its 200 day moving average is $148.62.

ServiceNow (NYSE:NOW) last released its earnings results on Wednesday, January 28th. The information technology services provider reported $0.92 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.89 by $0.03. The company had revenue of $3.57 billion during the quarter, compared to analyst estimates of $3.53 billion. ServiceNow had a return on equity of 18.54% and a net margin of 13.16%.The company’s revenue for the quarter was up 20.7% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.73 earnings per share. Equities analysts expect that ServiceNow, Inc. will post 8.93 earnings per share for the current year.

Insider Buying and Selling

In other ServiceNow news, Director Paul Edward Chamberlain sold 1,500 shares of the firm’s stock in a transaction dated Thursday, February 12th. The stock was sold at an average price of $101.17, for a total transaction of $151,755.00. Following the completion of the sale, the director directly owned 46,430 shares in the company, valued at approximately $4,697,323.10. This trade represents a 3.13% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, insider Kevin Thomas Mcbride sold 1,400 shares of ServiceNow stock in a transaction dated Friday, February 13th. The shares were sold at an average price of $105.71, for a total value of $147,994.00. Following the transaction, the insider directly owned 26,314 shares in the company, valued at approximately $2,781,652.94. This trade represents a 5.05% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 16,237 shares of company stock valued at $1,697,162. Corporate insiders own 0.34% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the stock. Vanguard Group Inc. increased its stake in shares of ServiceNow by 404.5% in the fourth quarter. Vanguard Group Inc. now owns 101,963,384 shares of the information technology services provider’s stock worth $15,619,771,000 after acquiring an additional 81,752,460 shares during the last quarter. State Street Corp grew its stake in ServiceNow by 406.6% in the fourth quarter. State Street Corp now owns 47,896,597 shares of the information technology services provider’s stock valued at $7,337,280,000 after purchasing an additional 38,441,898 shares in the last quarter. Price T Rowe Associates Inc. MD grew its stake in ServiceNow by 371.0% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 32,395,663 shares of the information technology services provider’s stock valued at $4,962,692,000 after purchasing an additional 25,517,218 shares in the last quarter. Geode Capital Management LLC increased its position in ServiceNow by 404.8% in the 4th quarter. Geode Capital Management LLC now owns 23,512,428 shares of the information technology services provider’s stock worth $3,591,425,000 after purchasing an additional 18,854,775 shares during the last quarter. Finally, Morgan Stanley raised its stake in shares of ServiceNow by 335.6% during the 4th quarter. Morgan Stanley now owns 22,733,483 shares of the information technology services provider’s stock worth $3,482,543,000 after purchasing an additional 17,514,679 shares in the last quarter. Institutional investors and hedge funds own 87.18% of the company’s stock.

ServiceNow Company Profile

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.