ServiceNow (NYSE:NOW) Trading 10.1% Higher – Here’s Why

Posted by Geri Gentry on Aug 27th, 2026

Shares of ServiceNow, Inc. (NYSE:NOW – Get Free Report) traded up 10.1% during trading on Thursday . The company traded as high as $139.32 and last traded at $138.4960. 27,398,358 shares were traded during mid-day trading, an increase of 17% from the average daily volume of 23,434,109 shares. The stock had previously closed at $125.80.

Key ServiceNow News

Here are the key news stories impacting ServiceNow this week:

Positive Sentiment: Positive sector read-through: Salesforce’s stronger-than-expected quarterly performance, raised outlook and new AI initiatives boosted confidence in enterprise software demand and helped lift ServiceNow and other SaaS stocks. Why ServiceNow Rallied Today
Positive Sentiment: AI is increasingly viewed as a growth opportunity: Reports highlighted ServiceNow’s agentic AI momentum, more than $1 billion in AI annual contract value and the potential for its AI Control Tower to create new revenue streams. Enterprise customers appear to be adding AI tools to existing workflows rather than replacing core platforms. Agentic AI Adoption Boosts NOW’s Growth Prospects Against MSFT & CRM
Positive Sentiment: Technical and analyst support improved: ServiceNow was reported to have cleared an early buy point as fears of a “SaaSpocalypse” faded. Recent analyst targets include values as high as $150, while the company’s latest reported quarter showed approximately $4 billion in revenue, up about 24% year over year. ServiceNow, IBD Stock Of The Day, Clears Early Buy Point
Neutral Sentiment: New partnerships and integrations, including Pricefx’s AI-powered deal-optimization tools on the ServiceNow platform and Tech Mahindra’s expanded AI collaboration, reinforce the ecosystem but are longer-term catalysts rather than immediate earnings drivers. Pricefx Announces Integration with ServiceNow
Negative Sentiment: Risks remain from elevated valuation, substantial recent volatility and mixed institutional positioning. Recent data also showed more insider sales than purchases, which could temper enthusiasm if the sector rally loses momentum. Momentum, Leveraged Trading Keep Software Stocks on Roller Coaster

Analyst Upgrades and Downgrades

A number of brokerages have issued reports on NOW. Needham & Company LLC restated a “buy” rating and set a $115.00 price target on shares of ServiceNow in a research note on Thursday, July 23rd. Morgan Stanley set a $180.00 price target on ServiceNow in a research report on Tuesday, July 21st. Benchmark reiterated a “buy” rating on shares of ServiceNow in a research note on Friday, July 17th. Cantor Fitzgerald increased their price objective on ServiceNow from $122.00 to $141.00 and gave the company an “overweight” rating in a report on Monday, July 20th. Finally, DA Davidson set a $170.00 price objective on ServiceNow and gave the stock a “buy” rating in a research note on Monday, July 20th. One research analyst has rated the stock with a Strong Buy rating, thirty-six have issued a Buy rating, three have issued a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $144.24.

Read Our Latest Report on NOW

ServiceNow Stock Up 10.1%

The firm has a market cap of $143.20 billion, a PE ratio of 86.56, a PEG ratio of 2.23 and a beta of 0.94. The business’s 50 day moving average price is $110.48 and its 200 day moving average price is $106.06. The company has a debt-to-equity ratio of 0.43, a current ratio of 0.70 and a quick ratio of 0.70.

ServiceNow (NYSE:NOW – Get Free Report) last posted its quarterly earnings data on Wednesday, July 22nd. The information technology services provider reported $0.90 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.86 by $0.04. The company had revenue of $3.99 billion for the quarter, compared to analysts’ expectations of $3.93 billion. ServiceNow had a return on equity of 16.45% and a net margin of 11.34%.ServiceNow’s revenue was up 24.0% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.81 EPS. On average, equities research analysts expect that ServiceNow, Inc. will post 2.24 earnings per share for the current year.

Insiders Place Their Bets

In related news, Director Paul Edward Chamberlain sold 1,500 shares of the company’s stock in a transaction dated Thursday, August 13th. The shares were sold at an average price of $125.60, for a total transaction of $188,400.00. Following the completion of the sale, the director owned 46,690 shares of the company’s stock, valued at approximately $5,864,264. This represents a 3.11% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 0.34% of the company’s stock.

Institutional Trading of ServiceNow

Large investors have recently added to or reduced their stakes in the stock. Millstone Evans Group LLC grew its stake in shares of ServiceNow by 400.0% in the 4th quarter. Millstone Evans Group LLC now owns 165 shares of the information technology services provider’s stock valued at $25,000 after buying an additional 132 shares during the period. CBIZ Investment Advisory Services LLC increased its stake in ServiceNow by 540.0% during the fourth quarter. CBIZ Investment Advisory Services LLC now owns 160 shares of the information technology services provider’s stock worth $25,000 after purchasing an additional 135 shares during the period. Blueline Advisors LLC purchased a new stake in ServiceNow during the 4th quarter worth approximately $25,000. Measured Wealth Private Client Group LLC raised its stake in shares of ServiceNow by 560.0% in the fourth quarter. Measured Wealth Private Client Group LLC now owns 165 shares of the information technology services provider’s stock valued at $25,000 after acquiring an additional 140 shares in the last quarter. Finally, Wealth Watch Advisors INC raised its position in ServiceNow by 432.3% in the 4th quarter. Wealth Watch Advisors INC now owns 165 shares of the information technology services provider’s stock valued at $25,000 after purchasing an additional 134 shares in the last quarter. 87.18% of the stock is currently owned by hedge funds and other institutional investors.

ServiceNow Company Profile

(Get Free Report)

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.