Why ServiceNow Stock Slipped by Almost 4% Today
ServiceNow (NYSE: NOW) wasn't of great service to its investors on Thursday. Shares of the cloud-based workflow-solutions provider lost nearly 4% of their value across the day after a researcher initiated coverage on the stock with only a lukewarm take on its potential.
MoffettNathanson was the initiating party, with analyst Jackson Ader tagging ServiceNow stock with a hold recommendation at a $553 per-share price target. The reasons behind Ader's take weren't immediately apparent, but he's not the only prognosticator whose take on the company is rather guarded.
Guggenheim's John DiFucci also pegged it with the equivalent of a hold recommendation (with a price target of $510 per share) when his company initiated coverage in mid-August. While DiFucci feels the company's management is very effective, he believes it'll have difficulty hitting its long-term subscription revenue goals in the coming years.
Source Fool.com
