SERVICENOW, INC. (NOW) Valuation
Historical valuation analysis based on 1279 data points (2021-09-14 to 2026-10-16)
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, INC. (NOW) currently trades at a P/E ratio of 87.89 (historical range: 49.12–791.51, median: 136.73), placing it at the 28th percentile — below its historical average, P/S ratio of 9.96 (range: 6.18–26.07, 13th percentile — cheap relative to its history), EV/EBITDA of 89.62 (range: 48.16–586.48, 52th percentile).
Over the historical period (2021-09-14 to 2026-10-16), SERVICENOW, INC.'s P/E ratio has contracted by 69% over the observed period (from an average of 349.0 to 108.7).
SERVICENOW, INC. trades below its historical valuation range, with most metrics below their median levels.
Historical Valuation Metrics
| Metric | Current | Median | %ile | Assessment |
|---|---|---|---|---|
| P/E Ratio | 87.89 | 136.73 | 28th | below its historical average |
| P/S Ratio | 9.96 | 15.21 | 13th | cheap relative to its history |
| EV/EBITDA | 89.62 | 88.89 | 52th | near its historical average |
| FCF Yield | 3.12% | 2.01% | 86th | cheap relative to its history |
SERVICENOW, INC. (NOW) Valuation & P/E History
SERVICENOW, INC. (NOW) is a US-listed stock operating in the Technology sector, specifically the Software—Application industry currently trading at $141.03 with a market capitalization of $145.8 billion. This page provides historical valuation analysis for NOW based on 1279 data points covering 2021-09-14 to 2026-10-16. The P/E ratio of 87.89 is below the historical median of 136.73, placing NOW at the 28th percentile of its valuation range. The P/S ratio of 9.96 compares to a median of 15.21.
NOW Valuation Metrics & Historical Range
The valuation table above shows SERVICENOW, INC.'s current and historical valuation multiples, including P/E ratio, P/S ratio, EV/EBITDA, FCF yield, and dividend yield. Each metric is compared to its own historical range to determine whether NOW is currently trading above or below its typical valuation levels.
- P/E ratio: Price-to-earnings measures how much investors pay per dollar of earnings. A P/E above the historical median suggests NOW is expensively valued; below the median suggests it is cheap.
- P/S ratio: Price-to-sales is useful for companies with volatile or negative earnings. Lower P/S relative to history may indicate value.
- EV/EBITDA: Enterprise value to EBITDA adjusts for debt and cash, providing a capital-structure-neutral valuation measure for SERVICENOW, INC..
- FCF yield: Free cash flow yield shows the cash return relative to market price. Higher yields may indicate undervaluation.
Is NOW Overvalued or Undervalued?
SERVICENOW, INC. trades below its historical valuation range, with most metrics below their median levels. The overall valuation percentile of 31 combines P/E, P/S, and EV/EBITDA percentiles into a single measure of how expensive NOW is relative to its own history. A percentile below 25 suggests the stock may be undervalued, while a percentile above 75 suggests it may be overvalued.
However, valuation is only one factor in investment decisions. A stock can remain "overvalued" for years if growth accelerates, or "undervalued" if the business deteriorates. Always combine valuation analysis with financial statement analysis and the full NOW analysis page for a complete picture.
Valuation data is computed from historical price and fundamental data via Polygon.io and Finnhub.NOW trades on NYSE/NASDAQ. This page is for informational purposes only and is not financial advice.