How to Buy Servicenow Stock
Servicenow Inc
Servicenow is a app company located in California, United States, which is part of the Technology sector, and is traded under the ticker NOW on the NYSE exchange.
Servicenow stock last closed at $542.96, down 0.33% from the previous day, and has increased 14.28% in one year. It has overperformed other stocks in the Software - Application industry by 0.18 percentage points. Servicenow stock is currently +61.12% from its 52-week low of $337.00, and -2.45% from its 52-week high of $556.58.
As of Jun 1, 2023, there are 204M shares of NOW outstanding. The market cap of NOW is $110.76B. In the last 24 hours, 1.48M NOW shares were traded.
How to Buy Servicenow Stock
Not sure how to invest in Servicenow stock? Here's how.
- Decide where to buy Servicenow stock: You need to pick an online brokerage, but don't worry - we've tested dozens of online brokerages and apps to help you figure out where to buy Servicenow stock.
- Open your brokerage account: Sign up for 0% commission trading with the highest-rated brokerage we've selected.
- Deposit money your investment account: Pick your payment method and add your information.
- Analyze Servicenow stock: The Servicenow ticker symbol is NOW. Is Servicenow stock a good investment? Should you buy shares of NOW? How do NOW's underlying business fundamentals look? Do top analysts think Servicenow is a good buy? Why has NOW's stock price moved recently? (Hint: Our stock market analysis website can help you decide if NOW is a good stock to buy).
- Make your NOW trade: Decide if you will purchase NOW shares at the current market price or use a limit order to purchase NOW stock at a specific price.
- Get key alerts regarding your NOW position: Create a watchlist to monitor your new investment in Servicenow shares.
Step 1: Decide where to buy Servicenow stock
You will need an online brokerage account to access the NYSE market and buy NOW shares.
Our preferred brokerage: eToro
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Get $10 towards your purchase of shares by opening an account with eToro now.
Open eToro AccountStep 2: Open your brokerage account
Now that you've selected the best brokerage, you need to fill out some personal information so you are able to buy NOW today.
How to Set Up a New Investment Account on eToro
- Click here to get started.
- Enter your personal details to open a new brokerage account.
- Send your details by clicking the "Create Account" button.
Step 3: Deposit money your investment account
Now that you've opened your account on a mobile trading app, you need to deposit funds:
Watch the tutorial below if you need help transferring funds into your brokerage account.
Step 4: Analyze Servicenow stock
Once you have figured out the best place to buy Servicenow stock, it's critical to research their stock before you invest, so you actually understand the risk as well as the opportunity.
Servicenow shares quick numbers
NOW Due Diligence Checks
WallStreetZen was designed to help everyday investors perform more in-depth fundamental analysis quickly.
You can view all of the due diligence checks on NOW's stock page.
Is NOW stock undervalued or overvalued?
Investors use many financial metrics, analyses, models, and charts to gauge NOW's true value.
Using relative valuations measures:
- NOW may be overvalued based on its P/E ratio of 275.61x, relative to Software - Application industry P/E ratio of 90.32x
- NOW may be overvalued based on its P/B ratio of 19.78x, relative to Software - Application industry P/B ratio of 5.56x
- NOW could be overvalued based on its PEG ratio of 6.5x
You can access additional valuation research on NOW's stock here.
A quick look at NOW Financials
Signs that NOW is financially healthy:
- Total NOW debt is lower than 5 years ago, relative to shareholder equity.
- There are more short-term assets than short-term liabilities on the NOW balance sheet.
- NOW earnings of $523.00M is not enough to cover its interest payments.
- There are more short-term assets than long-term liabilities on the NOW balance sheet.
- NOW's operating cash flow of $2.76B allows it to safely service it's debt of $2.24B.
- NOW profit margin has gone up from 3.6% to 5.3% in the past year.
Signs that NOW is not financially healthy:
- NOW has a relatively high debt to equity ratio of 1.43.
Is it a good time to buy Servicenow stock, according to Wall Street analysts?
Out of 27 sell side analysts who monitor NOW, the consensus analyst rating on NOW is a Strong Buy
Please keep in mind that analyst forecasts are not recommendations, nor are they investment advice.
Latest NOW Analyst Forecasts
Michael Turrin, a bottom 3% analyst from Wells Fargo maintains NOW with a strong buy rating and raises their NOW price target from $575.00 to $625.00, on May 31, 2023.
Peter Weed, a top 43% analyst from Bernstein maintains NOW with a buy rating and raises their NOW price target from $586.00 to $665.00, on May 30, 2023.
Alex Zukin, a top 2% analyst from Wolfe Research reiterates NOW with a buy rating and maintains their NOW price target from $575.00 to $575.00, on May 18, 2023.
Patrick Walravens, a bottom 10% analyst from JMP Securities reiterates NOW with a buy rating and maintains their NOW price target from $553.00 to $553.00, on May 18, 2023.
Raimo Lenschow, a top 2% analyst from Barclays maintains NOW with a strong buy rating and raises their NOW price target from $551.00 to $559.00, on May 18, 2023.
Maintaining his Strong Buy rating, Lenschow nudged up his price target on ServiceNow Inc. by 1.5% following the company's Financial Analyst Day 2023 on 2023/05/16.
Investors should reconsider the ServiceNow story after the event, the analyst suggested.
In support of his optimism, Lenschow cited that:
- Management "convincingly" explained how the company will benefit from the evolving AI world.
- The new long-term targets were close enough to consensus expectations to remove any overhang for the stock.
At the Financial Analyst Day, management guided:
For FY 2023:
- Subscription revenue of $8.5B which, if achieved, would represent a 23.5% increase Y/Y.
- RPOs (Remaining Performance Obligations*) of $7.1B which, if achieved, would represent a 23% increase Y/Y.
- Free Cash Flow of $2.6B+ which, if achieved, would represent a 30% increase Y/Y.
* RPOs are the sum of invoiced amounts due from customers and future amounts not yet invoiced that will be payable by customers.
For "long-term trajectory:"
- Subscription revenue of $10.4B by 2024 and $15B+ by 2026.
- Operating margin of 28% by 2024.
- Free Cash Flow margin of 31% by 2024.
You can dig deeper into what analysts are saying on the Servicenow stock forecast page.
NOW Trading Indicators
NOW Earnings
Last year, NOW earnings were $400.00M. In the past three year, NOW's earnings have increased by -76.96% per year. This was slower than the Software - Application industry average of -0.7%.
Last year, NOW revenue was $7.62B. In the last 5 year, NOW's revenue has gone up by 29.66% per year. This was slower than the Software - Application industry average of 34%.
You can analyze NOW's earnings and revenue performance here.
Who is buying/selling NOW?
Over the past 12 months, insiders at NOW have sold more shares than they have bought.
Gina Mastantuono, Chief Financial Officer of NOW, was the latest NOW insider to sell. They sold $1,180,850.00 worth of NOW shares on May 30, 2023.
Get more info about who owns NOW stock here.
Does NOW provide a stable income stream?
No, Servicenow doesn't provide an income stream by paying out dividends.
What others are saying about NOW
One of the primary reasons eToro is our favorite brokerage is because of its social trading community.
Click below to find out what other traders have to say.
Step 5: Make your NOW trade
You have two primary options:
- Market order: A market order is an order to buy or sell a stock at the best available price.
Market orders are generally the easiest way to buy. - Limit order: A limit order enables you to buy or sell a stock at a specific price (or better).
If you want to be certain you're buying or selling at a particular dollar amount limit, use a limit order.
Click the Open button and your broker will place your order.
If you require more help with investing in stocks on eToro, watch the how to video below:
Step 6: Get key alerts regarding your NOW position
Now that you own some NOW stock, you'll want to keep up with your shares.
Add NOW to a watchlist to get notified of the latest news about your NOW stock.
NOW Feed
How to Buy Stock in Servicenow
To reiterate, here are the 6 steps to buy stock in Servicenow:
- Decide where to buy Servicenow stock
- Open your brokerage account
- Deposit money your investment account
- Analyze Servicenow stock
- Make your NOW trade
- Get key alerts regarding your NOW position
If you are looking for a brokerage account, eToro is our recommended venue.
Get Started with eToro TodayIf you would like to get the latest scoop on your investment in Servicenow, get started below.
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