NOW
Wall Street’s doing the most
ServiceNow woke up to another analyst haircut: HSBC cut its price target to $171 from $226, while keeping a Buy rating intact. Translation? The bank still likes the name, but the enthusiasm is now wearing a smaller hat.
The target-cut domino effect
HSBC wasn’t alone here. TD Cowen, Goldman Sachs, Citigroup, and BMO all trimmed their targets this week too, which is why the consensus target has been sliding right alongside the stock.
- HSBC: $226 → $171
- TD Cowen: $185 → $140
- Goldman Sachs: $216 → $188
- Citigroup: $175 → $177
- BMO: $120 target maintained in the broader analyst swirl
That kind of chorus can matter. Even if nobody’s officially pounding the table for a sell-off, a stack of lowered expectations can keep a lid on the shares — especially when the stock is already down sharply year to date.
The bull case is still hanging around
To be fair, ServiceNow’s fundamentals haven’t totally fallen off a cliff. The article points to a modest Q1 beat, with revenue up 20.7% year over year and EPS coming in ahead of estimates. So this isn’t a “the business is broken” story. It’s more of a “the market got ahead of itself, and now the grown-ups are recalibrating” story.
Big picture
For investors, the message is pretty simple: Wall Street still sees value in ServiceNow, but the valuation math has gotten less generous. When multiple firms shave targets in the same week, it can turn a high-growth software darling into a stock that has to fight harder for every inch.