Financial giants have made a conspicuous bullish move on ServiceNow. Our analysis of options history for ServiceNow (NYSE:NOW) revealed 8 unusual trades.
Delving into the details, we found 25% of traders were bullish, while 25% showed bearish tendencies. Out of all the trades we spotted, 5 were puts, with a value of $346,325, and 3 were calls, valued at $90,632.
Predicted Price Range
After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $550.0 and $850.0 for ServiceNow, spanning the last three months.
Volume & Open Interest Trends
Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.
This data can help you track the liquidity and interest for ServiceNow's options for a given strike price.
Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of ServiceNow's whale activity within a strike price range from $550.0 to $850.0 in the last 30 days.
ServiceNow 30-Day Option Volume & Interest Snapshot
Significant Options Trades Detected:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| NOW | PUT | SWEEP | NEUTRAL | 09/20/24 | $34.8 | $32.8 | $34.81 | $810.00 | $110.7K | 218 | 170 |
| NOW | PUT | SWEEP | BEARISH | 09/20/24 | $33.9 | $32.8 | $33.35 | $810.00 | $100.3K | 218 | 124 |
| NOW | PUT | SWEEP | NEUTRAL | 09/20/24 | $34.9 | $33.6 | $34.35 | $810.00 | $68.6K | 218 | 82 |
| NOW | PUT | TRADE | BULLISH | 11/15/24 | $40.2 | $39.6 | $39.6 | $770.00 | $39.6K | 143 | 10 |
| NOW | CALL | SWEEP | BULLISH | 10/18/24 | $37.3 | $27.4 | $32.4 | $850.00 | $36.1K | 76 | 10 |
About ServiceNow
ServiceNow Inc provides software solutions to structure and automate various business processes via a SaaS delivery model. The company primarily focuses on the IT function for enterprise customers. ServiceNow began with IT service management, expanded within the IT function, and more recently directed its workflow automation logic to functional areas beyond IT, notably customer service, HR service delivery, and security operations. ServiceNow also offers an application development platform as a service.
After a thorough review of the options trading surrounding ServiceNow, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Current Position of ServiceNow
- With a trading volume of 233,889, the price of NOW is down by -0.76%, reaching $804.91.
- Current RSI values indicate that the stock is may be approaching overbought.
- Next earnings report is scheduled for 72 days from now.
What The Experts Say On ServiceNow
A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $887.0.
- Consistent in their evaluation, an analyst from TD Cowen keeps a Buy rating on ServiceNow with a target price of $900.
- An analyst from Stifel persists with their Buy rating on ServiceNow, maintaining a target price of $900.
- Consistent in their evaluation, an analyst from Baird keeps a Outperform rating on ServiceNow with a target price of $900.
- Reflecting concerns, an analyst from Needham lowers its rating to Buy with a new price target of $900.
- An analyst from Canaccord Genuity persists with their Buy rating on ServiceNow, maintaining a target price of $835.
Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.