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NOW

S&P 500
Favorable · 64/100

ServiceNow

Information Technology
Systems Software

$93.01

2.1%

Updated Today 7:15 PM ET

Price — Past Year

▼ Down 51.6% over the last 12 months

Price 50-day average 200-day averageSource: Yahoo Finance · refreshed daily
Key Metrics

Market Cap

$98.02B

P/E

57.35x

Forward P/E (est.)

50.21x

ROE

15.0%

Revenue Growth

21.7%

EPS Growth

14.2%

Profit Margin

12.6%

FCF Yield

10.2%

Debt / Equity

0.12x

ROIC

11.0%

Interest Coverage

67.56x

Current Ratio

0.84x

Dividend Yield

Implied Growth (rev. DCF)

4.1%

Rating Score

64/100

Technical Analysis (Educational)
Research

Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what NOW's chart says today, with each tool explained.

Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. NOW trades near $93.01, below its 50-day average ($99.24) and 200-day average ($136.78). Price below both averages is a downtrend — momentum is against buyers for now.

Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 27 it is oversold — selling has been heavy and a bounce is possible.

MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently negative — short-term momentum is fading.

Volatility — ATR. Average True Range is the typical daily move. NOW's is $7.50 (~8.1% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.

Support & resistance. Over the last month NOW found buyers near $92.45 (support) and sellers near $139.20 (resistance); its 52-week range is $81.24–$211.48. A decisive break beyond either edge often marks the next move.

Volume. The latest session traded 1.1× the 20-day average — about normal. Rising volume on up-days suggests real buying; on down-days, real selling.

Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.

Business Overview
Research

ServiceNow (NOW) is a large-cap company in the Systems Software industry, part of the Information Technology sector of the S&P 500, with a market value around $98.02B.

In its latest reported year it generated about $13.28B in revenue and $1.75B in net profit.

Our model rates NOW Favorable (64/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.

Revenue Growth
Research

4Y CAGR

22.5%

Revenue moved from $5.90B in 2021 to $13.28B in 2025, a 22.5% compound annual growth rate. The most recent year grew a strong 21.7% year over year. Consistent top-line growth is one sign of healthy demand.

Profitability
Research

Gross Margin

77.5%

Operating Margin

13.7%

Net Margin

13.2%

ROE

15.0%

ServiceNow keeps about 12.6% of each sales dollar as net profit, with a 77.5% gross margin and 13.7% operating margin. Return on equity is 15.0% and return on invested capital about 11.0%. Margins are moderate — typical of a competitive but profitable business.

Debt Analysis
Research

Total Debt

$1.48B

Net Debt

-$1.22B

Net cash position

Net Debt / EBITDA

-0.67x

Debt / Equity

0.12x

Leverage: debt-to-equity is 0.1x, and operating profit covers interest about 67.6x, with a current ratio of 0.8x. That is a conservative balance sheet — a cushion in downturns. It carries roughly $1.48B of total debt against $2.70B of cash.

Cash Flow Analysis
Research

Operating CF

$5.44B

Free Cash Flow

$4.58B

FCF Margin

34.5%

In the latest year ServiceNow produced about $5.44B of operating cash flow and $4.58B of free cash flow after capital spending. That is a free-cash-flow yield of about 10.2% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.

Valuation Analysis
Research

P/E

57.35x

P/S

8.09x

P/B

11.51x

EV / EBITDA

40.31x

NOW trades at 57.3x trailing earnings (about 50.2x on estimated forward earnings), 8.1x sales, and 11.5x book value. Reverse-engineering today's price implies the market expects roughly 4.1% long-term free-cash-flow growth. That is a rich multiple that prices in a lot of future growth.

Metrics vs. Typical Range

Where this stock sits versus what most companies trade at.

TTM P/E
57.3xExpensive
Forward P/E
50.2xExpensive
P/S ratio
8.1xExpensive
Revenue growth
21.7%Strong
EPS growth
14.2%Strong
Gross margin
77.5%Strong
Net margin
12.6%Strong
ROE
15.0%Average

Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.

Sector Peer Comparison

How NOW stacks up against its Information Technology peers — valuation, profitability, and growth versus the sector median.

In the Information Technology sector (72 S&P 500 companies), NOW ranks #29 of 72 by our overall rating. It trades at a premium versus the sector on earnings (57.3x P/E vs. 35.6x median) with a lower return on equity (15.0% vs. 25.6%) and faster revenue growth (21.7% vs. 17.4%).

P/E vs sector

57.3x

median 35.6x

ROE vs sector

15.0%

median 25.6%

Growth vs sector

21.7%

median 17.4%

Sector rank

#29

of 72 by rating

CompanyP/ERev Gr.Rating
NOWThis stock57.3x21.7%Favorable· 64
FTNT53.8x15.8%Favorable· 60
CRWD23.2%Weak· 40
PANW19.5%Neutral· 43
GEN15x27.1%Strong· 79
CDNS91.9x13.4%Neutral· 50
SNPS112.5x39.5%Weak· 38
DDOG29.5%Weak· 39
Information Technology median35.6x17.4%61/100

Valuation vs. quality map

sector medianFTNTGENCDNSSNPSNOWP/E — cheaper ←→ pricierROE — more profitable ↑

The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.

Compare side by side

Peers are the closest Information Technology companies by sub-industry and size. Sector median is across all 72 S&P 500 names in the sector. Educational, not a recommendation.

5-Year Projection Model

Project revenue → earnings → price. Edit the assumptions to build your own case.

2030 price target (Base Case)

$153.85$257.92

vs. $93.01 today · expected CAGR 11%23%

Metric20262027202820292030
Revenue$16.20B$19.76B$24.11B$29.42B$35.89B
Net income$2.11B$2.57B$3.13B$3.82B$4.67B
EPS$2.04$2.49$3.04$3.71$4.52
Share price (low)$69.45$84.73$103.37$126.11$153.85
Share price (high)$116.43$142.04$173.29$211.41$257.92
CAGR (low–high)-25% / 25%-5% / 24%4% / 23%8% / 23%11% / 23%

Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.

Bull Case

The case for NOW:

  • Revenue is growing 21.7% a year, a sign of real demand.
  • Healthy free-cash-flow yield (~10.2%) funds buybacks and dividends.
  • A conservative balance sheet (debt/equity 0.1x) lowers risk.
  • Our model's overall read is Favorable (64/100).
Bear Case

The case against NOW:

  • A rich 57.3x earnings multiple prices in a lot of growth.
  • Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Key Risks
Research

Valuation risk — at 57.3x earnings, disappointing results could compress the multiple.

Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.

Investment Thesis
Research

On balance, the fundamentals screen favourably: ServiceNow is a large-cap information technology business still growing nicely, with solid profitability, and a sound balance sheet. It trades at 57.3x earnings, which our model scores Favorable (64/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.

Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.

Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.