Jefferies Financial Group Has Lowered Expectations for ServiceNow (NYSE:NOW) Stock Price

ServiceNow (NYSE:NOW) had its target price cut by stock analysts at Jefferies Financial Group from $230.00 to $175.00 in a research note issued to investors on Friday,Benzinga reports. The brokerage presently has a “buy” rating on the information technology services provider’s stock. Jefferies Financial Group’s target price suggests a potential upside of 31.49% from the company’s current price.

Several other equities analysts also recently issued reports on the stock. Morgan Stanley set a $263.00 price target on shares of ServiceNow and gave the company an “overweight” rating in a research note on Thursday, October 30th. Guggenheim upgraded ServiceNow from a “sell” rating to a “neutral” rating in a report on Tuesday, December 16th. Mizuho cut their target price on ServiceNow from $210.00 to $190.00 and set an “outperform” rating on the stock in a report on Wednesday. Wells Fargo & Company set a $225.00 price target on ServiceNow and gave the company an “overweight” rating in a research report on Thursday, January 8th. Finally, The Goldman Sachs Group cut ServiceNow from a “buy” rating to a “sell” rating in a research note on Monday, January 12th. Two investment analysts have rated the stock with a Strong Buy rating, thirty-two have assigned a Buy rating, six have given a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $204.24.

ServiceNow Stock Performance

ServiceNow stock opened at $133.09 on Friday. The business has a 50 day moving average of $153.50 and a 200-day moving average of $173.09. The company has a market capitalization of $138.20 billion, a P/E ratio of 80.47, a P/E/G ratio of 2.29 and a beta of 0.98. ServiceNow has a 1 year low of $123.78 and a 1 year high of $239.62. The company has a debt-to-equity ratio of 0.13, a current ratio of 1.06 and a quick ratio of 1.06.

Insider Activity at ServiceNow

In related news, insider Paul Fipps sold 1,525 shares of the firm’s stock in a transaction that occurred on Tuesday, November 18th. The stock was sold at an average price of $163.51, for a total transaction of $249,352.75. Following the completion of the sale, the insider owned 2,705 shares of the company’s stock, valued at $442,294.55. This trade represents a 36.05% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CFO Gina Mastantuono sold 2,075 shares of the business’s stock in a transaction that occurred on Friday, December 5th. The shares were sold at an average price of $170.00, for a total value of $352,750.00. Following the completion of the transaction, the chief financial officer directly owned 61,140 shares in the company, valued at approximately $10,393,800. This trade represents a 3.28% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 15,310 shares of company stock worth $2,533,585 over the last quarter. 0.34% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. Vanguard Group Inc. boosted its position in shares of ServiceNow by 1.6% during the 3rd quarter. Vanguard Group Inc. now owns 20,210,924 shares of the information technology services provider’s stock worth $18,599,709,000 after purchasing an additional 315,861 shares in the last quarter. State Street Corp raised its stake in ServiceNow by 1.4% during the 3rd quarter. State Street Corp now owns 9,454,699 shares of the information technology services provider’s stock worth $8,700,970,000 after buying an additional 131,080 shares during the period. Nordea Investment Management AB boosted its holdings in ServiceNow by 388.7% in the fourth quarter. Nordea Investment Management AB now owns 4,706,164 shares of the information technology services provider’s stock worth $720,325,000 after acquiring an additional 3,743,087 shares in the last quarter. Geode Capital Management LLC grew its stake in ServiceNow by 2.0% in the second quarter. Geode Capital Management LLC now owns 4,574,563 shares of the information technology services provider’s stock valued at $4,684,445,000 after acquiring an additional 88,057 shares during the period. Finally, Sumitomo Mitsui Trust Group Inc. increased its holdings in shares of ServiceNow by 385.9% during the fourth quarter. Sumitomo Mitsui Trust Group Inc. now owns 2,599,397 shares of the information technology services provider’s stock valued at $398,202,000 after acquiring an additional 2,064,440 shares in the last quarter. 87.18% of the stock is owned by institutional investors.

More ServiceNow News

Here are the key news stories impacting ServiceNow this week:

• Positive Sentiment: ServiceNow announced a strategic tie-up with OpenAI to run agentic AI across enterprise workflows — a clear signal that ServiceNow is embedding advanced generative AI into its platform, which supports upside to future product adoption and revenue if enterprise customers deploy these agents. ServiceNow Taps OpenAI to Run Agentic AI Across Enterprise Workflows
• Positive Sentiment: Coverage highlights ServiceNow positioning itself as the “control layer” for enterprise AI execution — framing the company as essential infrastructure for deploying and orchestrating AI at scale, which supports a longer-term revenue narrative. ServiceNow positions itself as the control layer for enterprise AI execution
• Positive Sentiment: ServiceNow expanded partner and channel programs (Build, global partner enhancements, channel AI emphasis) to accelerate AI-agent innovation and go-to-market — these moves can boost ecosystem-led sales and faster customer implementations. ServiceNow Beefs Up Channel Program With AI Emphasis
• Positive Sentiment: Partner wins and integrations (Action1 CMDB sync/patch management; CoreX SPM play) show continued partner traction that can drive incremental deployments. These tactical collaborations support near-term customer momentum. Action1 Partners with ServiceNow to Deliver Real-Time CMDB Synchronization and Autonomous Patch Management
• Positive Sentiment: BTIG reaffirmed a “buy” rating with a $200 target, reiterating bullish views on traction (Now Assist, AI features) — supportive analyst backing that can attract buyers. ServiceNow continues to see strong traction with Now Assist says BTIG
• Neutral Sentiment: Market/press notes and attention pieces explain the intraday move and provide context on volume and recent price action — useful for sentiment but not new fundamental data. ServiceNow (NOW) Stock Is Up, What You Need To Know
• Neutral Sentiment: Zacks pieces summarize Wall Street estimates and the range of analyst views ahead of/after Q4 — these previews set expectations but outcomes will hinge on the actual quarterly report. Curious about ServiceNow (NOW) Q4 Performance? Explore Wall Street Estimates for Key Metrics
• Negative Sentiment: Jefferies cut its price target from $230 to $175 (still a buy) — the lower target reduces some upside expectations and reflects more conservative near-term assumptions. Jefferies price target cut
• Negative Sentiment: Citigroup also trimmed its target (from $250.60 to $235) while keeping a buy — multiple target cuts suggest analysts are reassessing near-term growth or margin assumptions. Citigroup price target cut
• Negative Sentiment: Mizuho lowered expectations for NOW — another cautionary datapoint that may pressure sentiment until ServiceNow reports definitive quarterly results. Mizuho Has Lowered Expectations for ServiceNow

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.