Key Takeaways
- Kentucky Retirement Systems dramatically expanded its NOW holdings by 400% during Q4, acquiring an additional 51,904 shares valued at approximately $9.94 million.
- Institutional ownership has reached 87.18% following significant position increases from multiple major investors.
- Trading at $124.56 on Monday’s open, NOW stock remains above its 200-day moving average of $123.39, though significantly below its 52-week peak of $211.48.
- The company exceeded Q1 revenue projections, delivering $3.77 billion against expectations of $3.75 billion, marking 22.1% annual growth.
- Analyst sentiment leans toward “Moderate Buy” with a mean price target of $141.85.
ServiceNow (NOW) stock is capturing significant institutional interest, as numerous investment firms expanded or initiated positions during Q4 2025, signaling growing confidence in the enterprise software leader.
Kentucky Retirement Systems made the most dramatic move, quadrupling its stake to 64,880 shares with a valuation of approximately $9.94 million when filed. This represents far more than a minor adjustment — it’s a substantial vote of confidence.
This enthusiasm wasn’t confined to a single institution. Peapack Gladstone Financial Corp expanded its holdings by 505.5%, while Florida Financial Advisors increased its position by 552.9%. Waterloo Capital grew its stake by 384.1%, and Rothschild Wealth established a fresh position valued at roughly $310,000.
Collectively, institutional stakeholders control 87.18% of ServiceNow’s outstanding shares.
NOW began Monday’s session at $124.56. The shares are trading above the 200-day moving average of $123.39, although they’re considerably distant from the 52-week peak of $211.48. With a 52-week low of $81.24, the stock has demonstrated substantial recovery momentum.
The enterprise currently holds a market capitalization of $128.42 billion alongside a P/E ratio of 74.23.
Strong Q1 Performance
ServiceNow unveiled its Q1 financial results on April 22nd. Revenue reached $3.77 billion, surpassing the $3.75 billion analyst consensus. This figure represents a robust 22.1% climb compared to the prior year period.
Earnings per share landed at $0.97, precisely meeting analyst projections. The comparable quarter in the previous year produced EPS of $0.81. For the complete fiscal year, Wall Street analysts are currently projecting $2.36 in EPS.
The enterprise recorded a net margin of 12.59% along with an 18.16% return on equity.
Wall Street Ratings and Executive Transactions
Analyst sentiment toward the stock remains predominantly favorable. Citigroup elevated its price target from $154 to $158 while maintaining a “Buy” rating. Evercore increased its target from $140 to $150 with an “Outperform” designation. BTIG confirmed a “Buy” rating with a $150 target. DA Davidson sustained its “Buy” rating with the most optimistic target at $190. Cantor Fitzgerald reduced its target to $122 but preserved an “Overweight” stance.
Among 43 analysts monitored, the ratings split as follows: two Strong Buy, 35 Buy, five Hold, and one Sell. The consensus price target stands at $141.85.
Regarding insider transactions, Director Paul Edward Chamberlain divested 1,500 shares on May 14th at $87.23 each, trimming his holdings by 3.23%. Insider Paul Fipps sold 1,048 shares on May 18th at $98.51, representing a 7.99% reduction. Both transactions occurred through pre-established Rule 10b5-1 trading plans. Fipps’ transaction was executed to satisfy tax liabilities associated with equity award vesting.
In aggregate, company insiders sold 28,071 shares totaling approximately $2.53 million during the previous quarter. Corporate insiders maintain ownership of merely 0.34% of the company.
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