NOW
Wall Street’s still on the call, just with a smaller order
Royal Bank of Canada took a haircut to its ServiceNow price target, dropping it from $150 to $121. But before you panic-sell into the void: the firm kept its Outperform rating, which is basically analyst-speak for “we still like the story, we’re just not cheering quite as loudly.”
Why this matters
ServiceNow has been having one of those stocks-and-tears kind of runs — strong revenue growth, a recent earnings beat, and a valuation that already asks for perfection and then some. So when analysts trim targets, it usually means they’re adjusting to a less forgiving market, not suddenly discovering gravity.
The bigger picture
This note lands in the middle of a broader analyst reset:
- KeyCorp also cut its target to $115
- UBS lowered its target to $100 and went neutral
- Stifel trimmed its target to $135
Even so, the consensus rating still sits at Moderate Buy, with an average target around $186.30. That’s a pretty chunky gap versus the current price, which tells you Wall Street is still betting ServiceNow can keep growing into its premium multiple.
Investor takeaway
If you own NOW, this isn’t a thesis-breaker — it’s more like a chef taking the salt shaker away. The long-term bull case is still intact, but the stock’s been expensive enough that analysts are starting to get a little less dreamy. Big picture: ServiceNow still has fans, just fewer people willing to hand out the extra-large price target confetti.