ServiceNow, Inc.

New York Stock Exchange
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Slightly Bearish -15

Bessemer Group Inc. Sells 674,367 Shares of ServiceNow, Inc. $NOW

📉 Bessemer Group Inc. cut its ServiceNow stake by 37.5% in Q1, selling 674,367 shares to retain a $117.5 million position.

📈 Norges Bank entered the market with a new $2.02 billion stake, while World Investment Advisors and Moors & Cabot Inc. increased holdings by over 380% each.

📉 Piper Sandler, Mizuho, Robert W. Baird, and Weiss Ratings recently lowered price targets or downgraded ServiceNow to 'sell' or 'hold' ratings.

💰 The stock trades at a PE ratio of 61.62 with a market capitalization of $106.6 billion and a current ratio of 0.84.

📉 Insiders Paul Fipps and Jacqueline P. Canney sold shares totaling $2.53 million over the last 90 days to cover tax obligations.

🎯 The consensus analyst rating is 'Moderate Buy' with a weighted average price target of $141.03, despite individual targets ranging from $115 to $200.

📊 Institutional investors own 87.18% of the company's outstanding shares, indicating strong institutional confidence.

🏢 ServiceNow operates a cloud-based platform suite including ITSM, CSM, and HR Service Delivery to automate enterprise workflows.

Bullish Signals
  • Norges Bank acquired a new stake in ServiceNow worth approximately $2.02 billion during the fourth quarter.
  • World Investment Advisors increased its holdings by 411.7% in the fourth quarter, now owning shares valued at $7.35 million.
  • Cohen Klingenstein LLC boosted its stake by 400.0% in the fourth quarter, purchasing an additional 8,000 shares.
  • Moors & Cabot Inc. lifted its holdings by 387.7% in the fourth quarter, adding 36,274 shares to its portfolio.
  • Institutional ownership remains robust at 87.18%, suggesting continued confidence from major market participants.
Risk Factors
  • Weiss Ratings lowered ServiceNow from a 'hold (c-)' rating to a 'sell (d+)' rating in a report dated July 10th.
  • Piper Sandler cut its price target on ServiceNow from $200.00 to $140.00 while maintaining an 'overweight' rating.
  • Mizuho reduced its price target from $150.00 to $140.00 in a report issued on April 23rd.
  • Robert W. Baird reduced its price objective from $125.00 to $118.00, setting an 'outperform' rating.
  • Insiders have collectively sold 28,071 shares valued at $2.53 million over the last 90 days.
  • The stock trades at a high PE ratio of 61.62 with a current ratio of 0.84, indicating potential liquidity or valuation concerns.
Full Analysis
Bessemer Group Inc. reduced its stake in ServiceNow, Inc. (NYSE: NOW) by 37.5% during the first quarter, selling 674,367 shares and retaining a position valued at approximately $117.5 million. While Bessemer decreased its holdings, several other institutional investors increased their stakes in the fourth quarter, including Norges Bank which acquired a new stake worth roughly $2.02 billion, and World Investment Advisors, Cohen Klingenstein LLC, and Moors & Cabot Inc., all of whom significantly boosted their positions. Analyst sentiment regarding ServiceNow remains mixed with recent price target reductions from major firms like Piper Sandler, Mizuho, Robert W. Baird, and Weiss Ratings, which lowered its rating to a 'sell'. Despite these downgrades, the consensus rating stands as a 'Moderate Buy' with an average price target of $141.03, though individual targets vary widely from $115 to $200. Insider trading activity shows recent sales by executives Paul Fipps and Jacqueline P. Canney, who sold shares to cover tax withholding obligations under pre-arranged Rule 10b5-1 plans. Collectively, insiders have sold over 28,000 shares valued at $2.53 million in the last 90 days. Financially, the company trades at a PE ratio of 61.62 with a market cap of $106.6 billion, while institutional ownership remains high at 87.18%.