Korea Investment CORP Reduces Stake in ServiceNow, Inc.

Korea Investment CORP has decreased its stake in ServiceNow, Inc. (NYSE:NOW) by 2.7% during the fourth quarter, as revealed in its latest filing with the Securities and Exchange Commission. After selling 4,543 shares during this period, the fund now owns 163,209 shares of the information technology services provider. The value of these holdings is approximately $173,021,000, representing 0.08% ownership in the company.

Investments by Other Funds

Other institutional investors have also adjusted their positions in ServiceNow. For instance, Polymer Capital Management HK LTD increased its stake by 57.0% in the third quarter and now holds 2,701 shares valued at $2,416,000 after acquiring an additional 981 shares. Union Bancaire Privee UBP SA made a new purchase of ServiceNow shares in the fourth quarter valued at roughly $48,802,000. Dock Street Asset Management Inc. raised its stake by 3.4% in the same quarter, holding 33,154 shares worth $35,147,000 after buying 1,105 shares. Additionally, Cardano Risk Management B.V. entered the market with a new stake of $105,090,000, and Rheos Capital Works Inc. purchased a position valued at $10,071,000. Overall, institutional investors control 87.18% of the stock.

Insider Transactions

Recent insider transactions at ServiceNow have also been noteworthy. Vice Chairman Nicholas Tzitzon sold 2,945 shares on February 25, fetching an average price of $923.72 for a total of $2,720,355.40. After this sale, he retained 3,649 shares valued at approximately $3,370,654.28, signifying a 44.66% decrease in his ownership. Likewise, insider Jacqueline P. Canney sold 292 shares on February 10 for an average price of $1,017.55, totaling $297,124.60. Following this, she holds 3,027 shares valued at around $3,080,123.85, reflecting an 8.80% drop in her position. In the last 90 days, insiders sold 20,351 shares for a total value of $20,050,076, with corporate insiders owning only 0.25% of the stock.

Current Stock Performance

As of Thursday, shares of NYSE:NOW opened at $838.54. The company has a 50-day moving average price of $960.38 and a 200-day moving average price of $984.72. Financial ratios indicate a current ratio of 1.10, a quick ratio of 1.10, and a debt-to-equity ratio of 0.15. The stock has shown a 12-month low of $637.99 and a high of $1,198.09, contributing to a market cap of $172.74 billion, a price-to-earnings ratio of 122.77, a PEG ratio of 4.51, and a beta of 1.03.

Recent Earnings and Buyback Program

ServiceNow's most recent quarterly earnings report was released on January 29, revealing an EPS of $3.67, which met analysts' expectations. The company reports a net margin of 12.97% and a return on equity of 17.11%. Analysts forecast that ServiceNow will achieve an earnings per share of 8.93 for the current year. Furthermore, the board approved a stock buyback program worth $3.00 billion, allowing for the purchase of up to 1.3% of its stock through open market transactions. This move typically indicates that management perceives the stock to be undervalued.

Analyst Ratings Overview

ServiceNow has attracted attention from various research analysts. William Blair reiterated their "outperform" rating on March 7, while TD Cowen raised their target price from $1,025.00 to $1,300.00, maintaining a "buy" rating. Jefferies Financial Group adjusted its price target down from $1,300.00 to $1,250.00, also rating it as "buy." Citigroup reduced its price target from $1,432.00 to $1,426.00 while retaining a "buy" rating. The Goldman Sachs Group raised its target price from $1,050.00 to $1,200.00. Overall, one analyst has issued a sell rating, four rated it as hold, and twenty-seven analysts rated the stock as a buy, leading to an overall rating of "Moderate Buy" with an average target price of $1,093.76.

ServiceNow Company Overview

ServiceNow, Inc. provides comprehensive intelligent workflow automation platform solutions tailored for digital businesses across North America, Europe, the Middle East and Africa, Asia Pacific, and globally. The company's Now platform is designed for complete digital transformation, utilizing artificial intelligence, machine learning, robotic process automation, process mining, performance analytics, and collaborative development tools.

ServiceNow, KoreaInvestment, Investments