What NOW?NOW has released earnings few days ago with a surprise of around 95%!!! From yahoo finance news release we can read that the company is currently in the business of digitizing corporate operations but this represents just a little fraction of what the automation market will cover. ServiceNow will be the leader in the automation revolution and should achieve huge financial results. I wouldn't be surprise to see the stock keeping an upward trend for long time!
Although it's a bit expensive I would buy some and hold them for a while ;)
SNOW trade ideas
Buy opportunity: ServiceNow bounces on MA100 and trend lineHi Traders!
NYSE:NOW just bounced back from the 100 Moving Average and ascending trend line.
It is on a clear uptrend (price > 100MA > 200MA).
Stochastic RSI is in oversold area.
Entry strategy: price cross above 190.70
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ServiceNow Inc SHORTShort from $176.08
Market Cap - $31.07B
Beta - 1.64
EPS - (0.87)
P/B - 52.48
- ServiceNow reported impressive 1Q18 results - both earnings and revenues increased YoY. However, the equity remains massively overstretched trading with a forward P/E of 55.33x.
- On top of a ridiculous forward P/E, ServiceNow is also trading with a price to book ratio of 52.48.
- The IT company faces massive competition in the non-ITSM markets by companies like salesforce.com and Oracle. Though they might have a competitive edge against their competition in the security response market - their HR and customer service solutions however face stiff competition from these companies. Non-ITSM is becoming a larger part to their revenue though the increasing competition can affect their growth. On top of this continuing losses and muted free cash flow growth is a concern.
- They have had losses over the past five years and have a deficit of $1.15bn at the end of 2017.
NeroTree Capital rates ServiceNow Inc as a SELL with a price target of $140.