UPDATE: JG Capital Upgrades ServiceNow to Overweight on Billings, Market Share Momentum
JG Capital upgraded ServiceNow (NYSE: NOW) from Neutral to Overweight and announced a $38.00 price target.
JG Capital noted, "ServiceNow (NOW) reported a strong Q4 and guided in-line with our estimates for Q1E. Mgmt guided for subscription GMs to increase to 73.5% in Q1E, reflecting increased utilization of their new datacenter. Clearly, NOW continues to gain share from CA and BMC, which appear to have no great response to NOW's low priced SaaS offering. While we had picked up some negative feedback from our field checks regarding scalability issues, it doesn't appear to have slowed NOW's momentum. We note billings accelerated q/q."
ServiceNow closed at $30.20 on Wednesday.
Latest Ratings for NOW
|Oct 2016||BMO Capital||Upgrades||Market Weight||Outperform|
|Oct 2016||BMO Capital||Upgrades||Market Perform||Outperform|
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.