Stock Analysis
SERVICENOW, INC.NOW
P/E 87.89×· 5Y range 49.12–791.51×· 28th percentile of history
Sector: Technology · Industry: Software—Application
AnalystsStrong Buy55 analystsP/E 87.9× sits at the 28th percentile of its 5.086926762491444-year history.
Cash covers 55% of debt · Q2 2026.
PMP Verdict
High quality, fairly valued
Strengths
- Growth100
- Quality71
Strong fundamentals at a reasonable valuation.
Market context
-4.4% today· Z 2.6σ· Broader market rotation out of tech and into old-economy stocks as producer prices spiked.
Bull Case
- ✓Altman Z 5.0 — safe-zone balance sheet
- ✓Revenue CAGR 22.5% — durable top-line growth
- ✓Interest coverage 13.1× — debt well covered
Why is NOW moving?
SectorBroader market rotation out of tech and into old-economy stocks as producer prices spiked.
Profile
Strong growth; valuation lags behind.
How is each axis scored?
- Valuation44/100 · Weak
- P/E vs own history (28th pct)20/25
- FCF yield (3.1%)12/25
- P/S (9.9x)12/25
- EV/EBIT (89.0x)0/25
- Growth100/100 · Strong
- Revenue CAGR (22.5%)25/25
- Net income CAGR (66.0%)25/25
- EPS CAGR 5Y (64.8%)25/25
- Fwd implied growth (150.5%)25/25
- Profitability56/100 · Moderate
- ROIC (8.1%)12/25
- ROE (13.3%)12/25
- Net margin (11.3%)20/25
- Operating margin (11.4%)12/25
- Financial Health68/100 · Moderate
- Altman Z (5.03)25/25
- Current ratio (0.70)6/25
- Interest coverage (13.1x)25/25
- Net cash / debt (D/A 12%)12/25
- Quality71/100 · Moderate
- Piotroski F (6/9)15/25
- Beneish M (-2.89)25/25
- FCF conversion (274%)25/25
- Margin stability (σ 21.5%)6/25
- Moat56/100 · Moderate
- ROIC >12% years (2/6 yrs)6/25
- Median gross margin (77.3%)25/25
- FCF-positive years (10/10 yrs)25/25
- Worst-year net margin (worst -32.5%)0/25
Risk Flags
- ⚠SBC 14.8% of revenue — real dilution cost
- ⚠3 loss-making years in recent history
About SERVICENOW, INC.
ServiceNow Inc provides software solutions to structure and automate various business processes via a SaaS delivery model. Show more
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.
Headquarters: SANTA CLARA, CA · Employees: 29,187 · Website ↗
Price History
Weekly Candlestick Chart — up to 5Y
Key Metrics
Financial snapshot · Tap any metric for its definition and grade
TTM Snapshot
trailing twelve months · YoYValuation
44D+P/E (TTM)87.3xD
Grade D: ExpensivePrice / TTM EPS (own statements) — vs own 5Y history: 49.1x–791.5x · 28th pct
P/FCF33.6xC
Grade C: ExpensivePrice / Free Cash Flow per share (Finnhub). Inverse of FCF yield — negative when FCF is negative
FCF Yield3.1%C
Grade C: LowTTM (OCF − CapEx) / Market Cap — vs own 5Y history: 1.1%–5.4% · 86th pct
P/S (TTM)9.90xC
Grade C: ExpensivePrice / TTM Revenue (own statements) — vs own 5Y history: 6.2x–26.1x · 13th pct
EV/EBIT89.0xD
Grade D: ExpensiveEnterprise value / TTM EBIT (D&A not in our data) — capital-structure neutral — vs own 5Y history: 48.2x–586.5x · 52nd pct
EV/Sales10.8xD
Grade D: Very expensiveEnterprise Value / TTM Revenue (Finnhub) — capital-structure neutral sales multiple
Forward P/E34.9xC
Grade C: ExpensivePrice / next-year EPS estimate — shows whether the TTM multiple is rich or just front-loading growth
P/B Ratio11.65xD
Grade D: Very expensivePrice to Book Value. Neg. equity = heavy buybacks
PEG Ratio119.86D
Grade D: ExpensiveFinnhub PEG — their P/E basis ÷ expected EPS growth. Suppressed when their P/E diverges >2× from our TTM P/E (different basis)
Dividend Yield—
TTM dividend yield (Finnhub) — annual dividends / price. None = no dividend; very high yield can signal distress
Payout Ratio—
Dividends / Net Income (Finnhub) — share of earnings paid out; >90% or negative = unsustainable
Profitability
56CROIC8.1%C
Grade C: AverageNOPAT (EBIT less ~21% tax) / invested capital (equity + debt − cash). Flagship quality metric — durable >15% signals a moat
ROE13.3%C
Grade C: AverageReturn on Equity. Neg. equity = heavy buybacks
ROA6.4%C
Grade C: AverageReturn on Assets (Finnhub) — Net Income / Total Assets; how efficiently assets produce profit
Net Margin11.3%A
Grade A: HighNet Income / Revenue
Operating Margin11.4%C
Grade C: AverageTTM EBIT / TTM Revenue
Gross Margin74.8%A
Grade A: PremiumGross Profit / Revenue
FCF Margin31.1%A
Grade A: HighFCF / Revenue
True FCF Margin16.3%A
Grade A: HighTTM (OCF − CapEx − SBC) / TTM Revenue — SBC treated as a real cost
Growth
100A+Revenue CAGR22.5%A
Grade A: HighCompound annual revenue growth (up to 5Y depending on data availability)
Net Income CAGR66.0%A
Grade A: HighCompound annual net income growth (up to 5Y depending on data availability)
EPS CAGR (5Y)64.8%A
Grade A: HighCompound annual EPS growth over up to 5Y of per-share earnings (own statements). Null when either endpoint EPS ≤ 0
Implied EPS Growth150.5%A
Grade A: HighAnalyst forward EPS (normalized basis) vs our GAAP TTM EPS — different bases, so extreme values usually mark cyclically depressed TTM earnings, not real growth
Dilution (5Y)+2.2%C
Grade C: DilutiveShare count change over 5Y
SBC / Net Income130.8%D
Grade D: HighStock-based comp/Net income. >30% = dilution risk
SBC / Revenue14.8%D
Grade D: HighTTM stock-based comp / TTM Revenue
Financial Health
68BAltman Z-Score5.03A
Grade A: SafeBankruptcy risk. >3 Safe, <1.8 Distress
Current Ratio0.70xD
Grade D: LowCurrent Assets/Liabilities
Quick Ratio0.61xC
Grade C: Ok(Current Assets − Inventory) / Current Liabilities (Finnhub) — stricter liquidity test, excludes inventory
Interest Coverage13.1xA
Grade A: StrongEBIT/Interest. >10 Strong
Debt Repayment0.8yA
Grade A: FastYears to repay net debt via FCF
Net Debt/EBIT2.3xC
Grade C: MedLeverage. <2x Low, >4x High
Debt/Equity0.68xA
Grade A: LowDebt / Equity: <1 Conservative, >2 Risky. Not meaningful with non-positive equity; shown as unavailable rather than low debt.
Cash / Debt0.55xC
Grade C: PartialCash covers how much of total debt. >1 = could repay all debt from cash
Quality
71B+Piotroski F-Score6/9C
Grade C: AverageFinancial strength 0–9. >7 Strong
Beneish M-Score-2.89A
Grade A: SafeEarnings manipulation risk. < -2.22 Safe
FCF Conversion274.3%A
Grade A: StrongFCF / Net Income
Margin Stability21.5%D
Grade D: VolatileEBIT margin std deviation. Lower = stable
Capex / Revenue4.9%A
Grade A: Asset-lightTTM CapEx / TTM Revenue — high % = capital-hungry business
Asset Turnover0.57xC
Grade C: AverageRevenue / Total Assets (Finnhub) — how efficiently the asset base generates sales
Insider Transactions
SEC Form 4 · 8 recordsP/S codes are the directional signal; grants, option exercises and tax withholding carry none. Form 4 doesn't flag 10b5-1 plans — scheduled sales may appear within open-market sells.
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Fipps Paul Filed | Fipps Paul | SellOpen market sale | -2034 | |
Canney Jacqueline P Filed | Canney Jacqueline P | SellOpen market sale | -7847 | |
Chamberlain Paul Edward Filed | Chamberlain Paul Edward | SellOpen market sale | -2700 | |
Fontaine Danielle Filed | Fontaine Danielle | Option exercise | -485 | |
Fontaine Danielle Filed | Fontaine Danielle | Tax withholding | -168 |
Show 3 more filingsShow fewer filings
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Fontaine Danielle Filed | Fontaine Danielle | Option exercise | +485 | |
Fipps Paul Filed | Fipps Paul | Option exercise | -300 | |
Fipps Paul Filed | Fipps Paul | Option exercise | -340 |
Option exercise (M) rows report a derivative leg, not an open-market sale — a paired negative entry is the option position being consumed.
More metrics — Moat, Per Share, Balance Sheet, MarketHide additional metrics
Moat
56CROIC >12% Years2/6 yrsD
Grade D: WeakShare of completed fiscal years with ROIC > 12% — measures multi-year capital-return durability
Gross Margin (Med.)77.3%A
Grade A: DurableMedian annual gross margin across available fiscal years — pricing-power durability
FCF-Positive Years10/10 yrsA
Grade A: DurableShare of completed fiscal years with positive free cash flow
Net Margin Floor-32.5%D
Grade D: WeakWeakest annual net margin across completed fiscal years — recession/downcycle resilience
Per Share
EPS (TTM)$1.62
Own TTM net income / shares — same earnings basis as P/E
Cash / Share$4.52
Cash & short-term investments per share (Finnhub)
Book Value / Share$12.14
Shareholders' equity per share (Finnhub). Negative = accumulated losses / heavy buybacks
Balance Sheet
Total Debt$8.45B
Total debt obligations (short + long term)
Cash & Equiv.$4.66B
Cash and short-term investments
Net Debt$3.79B
Total Debt minus Cash. Negative = Net Cash position
Total Equity$12.52B
Shareholders' equity (book value)
Asset / Liability1.65xC
Grade C: AdequateTotal Assets / Total Liabilities
Market
Market Cap$145.81B
Current Market Capitalization
Beta0.96B
Grade B: MarketPrice sensitivity vs the market (Finnhub) — 1.0 moves with market, >1.2 amplifies swings
How grades work: each metric is graded A–D against fixed thresholds (tap a row for the meaning). Card grades map the pillar score to A+–E — a card grade is that pillar's own score, not an average of the rows shown.
Financials as of Jun 2026 · Ratio snapshot Oct 17, 2026
Key Insights: SERVICENOW, INC. (NOW)
NOW is down 4.44% at the last close — Broader market rotation out of tech and into old-economy stocks as producer prices spiked.. Piotroski F-Score of 6/9 indicates mixed fundamentals for SERVICENOW, INC.. Altman Z-Score of 5.03 sits comfortably in the safe zone (≥ 2.99), indicating low bankruptcy risk. Beneish M-Score of -2.89 suggests a low likelihood of earnings manipulation.
- Revenue has compounded at roughly 23% annually, with net income growing about 66% per year — a strong growth profile.
- SERVICENOW, INC. converts about 31% of revenue into free cash flow — strong cash generation.
- Takes ~0.8 years to repay net debt from free cash flow.
- SERVICENOW, INC. posted a net loss in 3 of 10 available completed fiscal years (2016–2025).
See how NOW ranks on the Capex Tracker — top 50 capital spenders compared.
Recent Market Moves
See all NOW moves →| Date | Session | Price | Move | Z-Score |
|---|---|---|---|---|
| Oct 16 | Regular | 141.49 | -4.77% | -2.43 |
| Oct 16 | After-hours | 141.03 | -5.07% | -2.58 |
| Oct 15 | Regular | 149.22 | +6.60% | 3.41 |
| Oct 15 | After-hours | 148.20 | +5.87% | 3.04 |
Frequently Asked Questions about NOW
What is the current SERVICENOW, INC. (NOW) stock price?
NOW is trading at $141.97 at the last market close, down 4.44% on the session. PreMarketPrice tracks NOW pre-market, intraday and after-hours prices.
Is NOW stock a buy right now?
PreMarketPrice's quantitative model rates SERVICENOW, INC.'s financial health at 68/100. This is a data-driven snapshot of fundamentals, not investment advice.
Is NOW stock overvalued?
SERVICENOW, INC. trades at a trailing P/E of 87.3 and our valuation score rates it 44/100 (higher = cheaper vs. its own history). See the Valuation History and Key Metrics sections for forward P/E, EV/EBITDA and PEG context.
When does SERVICENOW, INC. report earnings?
No confirmed earnings date is currently scheduled for NOW. The Earnings section lists recent reports and updates as dates are announced.
What sector does SERVICENOW, INC. operate in?
SERVICENOW, INC. operates in the Technology sector, within the Software—Application industry. The Related Stocks section lists sector peers for comparison.
What does SERVICENOW, INC. do?
ServiceNow Inc provides software solutions to structure and automate various business processes via a SaaS delivery model.
About SERVICENOW, INC. (NOW) Stock
SERVICENOW, INC. (NOW) is a US-listed stock operating in the Technology sector, specifically the Software—Application industry. As of the latest update, SERVICENOW, INC. is trading at $141.97, down 4.44% on the day with a market capitalization of $145.8 billion. The financial health score for NOW is 68/100, which indicates good financial strength based on profitability, leverage, liquidity, and growth metrics. This page provides real-time pre-market pricing, earnings calendar, financial health analysis, and valuation metrics for NOW stock.
NOW Stock Analysis & Key Metrics
On PreMarketPrice, you can track SERVICENOW, INC. (NOW) across multiple dimensions:
- Pre-market price & movement: Real-time NOW stock price with percentage change, updated continuously during pre-market and regular trading hours.
- Valuation & P/E history: Historical P/E, P/S, and P/B ratios for NOW with trend analysis and normalized valuation multiples.
- Financial statements: Revenue, net income, assets, liabilities, and equity for SERVICENOW, INC. across multiple reporting periods.
- Financial health score: A composite score of 68/100 based on Altman Z-Score, Piotroski F-Score, profitability, and leverage metrics for NOW.
- Sector peers: Compare NOW against 6 other technology stocks on key financial metrics.
Is NOW a Good Stock to Buy?
This page provides data-driven analysis to help you evaluate SERVICENOW, INC. (NOW) as an investment. The financial health score of 68/100 suggests good financial fundamentals. Valuation metrics show whether the stock is trading above or below its historical average.However, this is not financial advice — always do your own research before investing.
Data on this page is sourced from real-time market feeds, Polygon.io, and Finnhub.SERVICENOW, INC. (NOW) trades on NYSE/NASDAQ. Pre-market trading occurs 4:00 AM – 9:30 AM ET. Regular market hours are 9:30 AM – 4:00 PM ET.

