In the preceding three months, 22 analysts have released ratings for ServiceNow (NYSE:NOW), presenting a wide array of perspectives from bullish to bearish.
The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 7 | 12 | 1 | 0 | 2 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 0 | 1 | 0 | 0 | 0 |
| 3M Ago | 7 | 10 | 1 | 0 | 2 |
Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $1144.41, along with a high estimate of $1300.00 and a low estimate of $724.00. This upward trend is evident, with the current average reflecting a 5.8% increase from the previous average price target of $1081.64.
Exploring Analyst Ratings: An In-Depth Overview
In examining recent analyst actions, we gain insights into how financial experts perceive ServiceNow. The following summary 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 |
|---|---|---|---|---|---|
| Keith Weiss | Morgan Stanley | Raises | Overweight | $1250.00 | $1040.00 |
| Patrick Walravens | JMP Securities | Maintains | Market Outperform | $1300.00 | $1300.00 |
| Adam Tindle | Raymond James | Raises | Outperform | $1100.00 | $1000.00 |
| Brian Schwartz | Oppenheimer | Raises | Outperform | $1150.00 | $1100.00 |
| Gil Luria | DA Davidson | Raises | Buy | $1250.00 | $1150.00 |
| Rob Owens | Piper Sandler | Raises | Overweight | $1150.00 | $1120.00 |
| Tyler Radke | Citigroup | Raises | Buy | $1234.00 | $1160.00 |
| Karl Keirstead | UBS | Lowers | Buy | $1100.00 | $1125.00 |
| Keith Bachman | BMO Capital | Raises | Outperform | $1160.00 | $1150.00 |
| Thomas Blakey | Cantor Fitzgerald | Maintains | Overweight | $1200.00 | $1200.00 |
| Michael Turrin | Wells Fargo | Raises | Overweight | $1225.00 | $1150.00 |
| Raimo Lenschow | Barclays | Raises | Overweight | $1210.00 | $1200.00 |
| Samad Samana | Jefferies | Raises | Buy | $1150.00 | $1025.00 |
| Brad Sills | B of A Securities | Raises | Buy | $1200.00 | $1110.00 |
| Mike Cikos | Needham | Raises | Buy | $1200.00 | $1050.00 |
| Patrick Walravens | JMP Securities | Maintains | Market Outperform | $1300.00 | $1300.00 |
| Raimo Lenschow | Barclays | Raises | Overweight | $1200.00 | $1085.00 |
| Brad Sills | B of A Securities | Raises | Buy | $1110.00 | $1085.00 |
| John Difucci | Guggenheim | Maintains | Sell | $724.00 | $724.00 |
| Thomas Blakey | Cantor Fitzgerald | Raises | Overweight | $1200.00 | $1048.00 |
| John Difucci | Guggenheim | Maintains | Sell | $724.00 | $724.00 |
| Keith Weiss | Morgan Stanley | Raises | Equal-Weight | $1040.00 | $950.00 |
Key Insights:
- Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to ServiceNow. This information offers a snapshot of how analysts perceive the current state of the company.
- Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of ServiceNow compared to the broader market.
- Price Targets: Delving into movements, analysts provide estimates for the future value of ServiceNow's stock. This analysis reveals shifts in analysts' expectations over time.
Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of ServiceNow's market position. Stay informed and make well-informed decisions with 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.
Unraveling the Financial Story of ServiceNow
Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.
Revenue Growth: ServiceNow displayed positive results in 3M. As of 30 June, 2025, the company achieved a solid revenue growth rate of approximately 22.38%. This indicates a notable increase in the company's top-line earnings. When compared to others in the Information Technology sector, the company faces challenges, achieving a growth rate lower than the average among peers.
Net Margin: ServiceNow's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 11.98%, the company may encounter challenges in effective cost control.
Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 3.65%, the company showcases effective utilization of equity capital.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 1.79%, the company showcases effective utilization of assets.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.22.
How Are Analyst Ratings Determined?
Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.
Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.
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