Ratings for ServiceNow NOW were provided by 20 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.
In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 10 | 9 | 0 | 0 | 1 |
| Last 30D | 1 | 0 | 0 | 0 | 1 |
| 1M Ago | 2 | 1 | 0 | 0 | 0 |
| 2M Ago | 0 | 1 | 0 | 0 | 0 |
| 3M Ago | 7 | 7 | 0 | 0 | 0 |
In the assessment of 12-month price targets, analysts unveil insights for ServiceNow, presenting an average target of $867.8, a high estimate of $950.00, and a low estimate of $640.00. Experiencing a 1.53% decline, the current average is now lower than the previous average price target of $881.32.
Breaking Down Analyst Ratings: A Detailed Examination
The standing of ServiceNow among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Mike Cikos | Needham | Maintains | Buy | $900.00 | $900.00 |
| John Difucci | Guggenheim | Announces | Sell | $640.00 | - |
| Brad Reback | Stifel | Maintains | Buy | $820.00 | $820.00 |
| Jason Ader | Keybanc | Lowers | Overweight | $920.00 | $950.00 |
| Mike Cikos | Needham | Maintains | Buy | $900.00 | $900.00 |
| Alex Zukin | Wolfe Research | Maintains | Outperform | $830.00 | $830.00 |
| Patrick Walravens | JMP Securities | Maintains | Market Outperform | $825.00 | $825.00 |
| Mike Cikos | Needham | Maintains | Buy | $900.00 | $900.00 |
| Rob Oliver | Baird | Raises | Outperform | $885.00 | $870.00 |
| Mike Cikos | Needham | Maintains | Buy | $900.00 | $900.00 |
| Keith Weiss | Morgan Stanley | Raises | Overweight | $830.00 | $814.00 |
| Jason Ader | Keybanc | Lowers | Overweight | $950.00 | $1000.00 |
| Keith Bachman | BMO Capital | Lowers | Outperform | $830.00 | $850.00 |
| Karl Keirstead | UBS | Lowers | Buy | $875.00 | $920.00 |
| Patrick Walravens | JMP Securities | Maintains | Market Outperform | $825.00 | $825.00 |
| Tyler Radke | Citigroup | Raises | Buy | $906.00 | $896.00 |
| Mike Cikos | Needham | Maintains | Buy | $900.00 | $900.00 |
| Michael Turrin | Wells Fargo | Raises | Overweight | $900.00 | $875.00 |
| Karl Keirstead | UBS | Raises | Buy | $920.00 | $885.00 |
| Samad Samana | Jefferies | Raises | Buy | $900.00 | $885.00 |
Key Insights:
- Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to ServiceNow. This insight gives a snapshot of analysts' perspectives on the current state of the company.
- Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of ServiceNow compared to the broader market.
- Price Targets: Analysts predict movements in price targets, offering estimates for ServiceNow's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.
Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of ServiceNow's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.
Stay up to date on ServiceNow analyst ratings.
Unveiling the Story Behind ServiceNow
ServiceNow Inc provides software solutions to structure and automate various business processes via a SaaS delivery model. The company primarily focuses on the IT function for enterprise customers. ServiceNow began with IT service management, expanded within the IT function, and more recently directed its workflow automation logic to functional areas beyond IT, notably customer service, HR service delivery, and security operations. ServiceNow also offers an application development platform as a service.
ServiceNow's Economic Impact: An Analysis
Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.
Revenue Growth: ServiceNow's remarkable performance in 3 months is evident. As of 31 March, 2024, the company achieved an impressive revenue growth rate of 24.19%. This signifies a substantial increase in the company's top-line earnings. When compared to others in the Information Technology sector, the company excelled with a growth rate higher than the average among peers.
Net Margin: ServiceNow's net margin excels beyond industry benchmarks, reaching 13.33%. This signifies efficient cost management and strong financial health.
Return on Equity (ROE): ServiceNow's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 4.41%, the company may encounter challenges in delivering satisfactory returns for shareholders.
Return on Assets (ROA): ServiceNow's ROA stands out, surpassing industry averages. With an impressive ROA of 1.99%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: ServiceNow's debt-to-equity ratio is below the industry average at 0.28, reflecting a lower dependency on debt financing and a more conservative financial approach.
The Significance of Analyst Ratings Explained
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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