A Great Combo of Value and Growth? – ServiceNow, Inc. (NOW), Weibo Corporation (WB)

30 analysts out of 35 Wall Street brokerage firms rate ServiceNow, Inc. (NYSE:NOW) as a Buy, while 0 see it as a Sell. The rest 5 describe it as a Hold. NOW stock traded higher to an intra-day high of $244.63. At one point in session, its potential discontinued and the price was down to lows at $241.3. Analysts have set NOW’s consensus price at $238.03, effectively giving it a -1.47% projection on returns. Should the projected estimates be met, then the stock will likely hit its highest price at $275 (up 13.83% from current price levels). NOW has a -2.7% ROE, lower than the 15.49% average for the industry. The average ROE for the sector is 13.93%.

It is expected that in Mar 2019 quarter NOW will have an EPS of $-0.06, suggesting a -142.86% growth. For Jun 2019 is projected at $0.01. It means that there could be a 105.26% growth in the quarter. Yearly earnings are expected to rise by 75% to about $0.35. As for the coming year, growth will be about 225.71%, lifting earnings to $1.14. RSI after the last trading period was 66.35. NOW recorded a change of 3.52% over the past week and returned 31.71% over the last three months while the NOW stock’s monthly performance revealed a shift in price of 2.96%. The year to date (YTD) performance stands at 35.69%, and the bi-yearly performance specified an activity trend of 21.1% while the shares have moved 38.88% for the past 12 months.

ServiceNow, Inc. (NOW) currently trades at $241.59, which is higher by 0.5% its previous price. It has a total of 180.05 million outstanding shares, with an ATR of around 5.75. The company’s stock volume dropped to 1.95 million, worse than 2.17 million that represents its 50-day average. A 5-day increase of about 3.52% in its price means NOW is now 35.69% higher on year-to-date. The shares have surrendered $43182.41 since its $245.33 52-week high price recorded on 4th of March 2019. Overall, it has seen a growth rate of 38.88 over the last 12 months. The current price per share is $93.96 above the 52 week low of $147.63 set on 20th of November 2018.

ServiceNow, Inc. (NYSE:NOW)’s EPS was $0.77 as reported for the December quarter. In comparison, the same quarter a year ago had an EPS of $0.35. That means that its growth in general now stands at 120%. Therefore, a prediction of $0.63 given by the analysts brought a positive surprise of 22%. NOW Dec 19 quarter revenue was $715.44 million, compared to $546.37 million recorded in same quarter last year, giving it a 31% growth rate. The company’s $169.07 million revenue growth that quarter surprised Wall Street and investors will need to consider this as they assess the stock.

Weibo Corporation (NASDAQ:WB) shares depreciated -1.71% over the last trading period, taking overall 5-day performance up to -1.19%. WB’s price now at $61.38 is weaker than the 50-day average of $62.42. Getting the trading period increased to 200 days, the stock price was seen at $72.18 on average. The general public currently hold control of a total of 17.25 million shares, which is the number publicly available for trading. The total of shares that it has issued to investors is 225.26 million. The company’s management holds a total of 7.41%, while institutional investors hold about 40.1% of the remaining shares. WB share price finished last trade -9.09% below its 20 day simple moving average and its downbeat gap from 200 day simple moving average is -15.21%, while closing the session with -1.57% distance from 50 day simple moving average.

Weibo Corporation (WB) shares were last observed trading -55.75% down since March 20, 2018 when the peak of $138.72 was hit. Last month’s price growth of -6.02% puts WB performance for the year now at 5.05%. Consequently, the shares price is trending higher by 20%, a 52-week worst price since Jan. 24, 2019. However, it is losing value with -10.68% in the last 6 months. From a technical perspective, it appears more likely that the stock will experience a Bull Run market as a result of the strong support seen recently between $59.14 and $60.26. The immediate resistance area is now $62.43 Williams’s %R (14) for WB moved to 86.76 while the stochastic %K points at 19.63.

WB’s beta is 2.09; meaning investors could reap higher returns, although it also poses higher risks. The company allocated $2.33 per share from its yearly profit to its outstanding shares. Its last reported revenue is $481.88 million, which was 28% versus $377.45 million in the corresponding quarter last year. The EPS for Dec 19 quarter came in at $0.8 compared to $0.64 in the year-ago quarter and had represented 25% year-over-year earnings per share growth. WB’s ROA is 19.1%, higher than the 10.5% industry average. Although a more robust percentage would be better, consideration is given to how well peers within the industry performed. Companies within the sector had an ROA of 10.48%.

Estimated quarterly earnings for Weibo Corporation (NASDAQ:WB) are around $0.51 per share in three months through March with $0.69 also the estimate for June quarter of the fiscal year. It means the growth is estimated at 15.91% and 11.29%, respectively. Analysts estimate full-year growth to be 16.27%, the target being $2.93 a share. The upcoming year will see an increase in growth by percentage to 26.96%, more likely to see it hit the $3.72 per share. The firm’s current profit margin over the past 12 months is 35.4%. WB ranks higher in comparison to an average of 3.43% for industry peers; while the average for the sector is 12.27%.