Overview Dividends

(NOW) ServiceNow - Ratings and Ratios

Exchange: NYSE • Country: United States • Currency: USD • Type: Common Stock • ISIN: US81762P1021

Workflow Platform, ITSM, ITOM, CSM, HRSD

NOW EPS (Earnings per Share)

EPS Growth (3Y CAGR): 31.29%
EPS Trend (3Y Correlation): 97.3%

NOW Revenue

Revenue Growth (3Y CAGR): 22.73%
Revenue Trend (3Y Correlation): 99.7%

Description: NOW ServiceNow September 24, 2025

ServiceNow, Inc. (NYSE: NOW) delivers a cloud-based “Now” platform that enables digital workflow automation across a broad set of enterprise functions, including IT service management, security operations, HR, legal, and field service, as well as low-code/no-code development tools, AI-driven analytics, and robotic process automation.

The platform is sold globally-covering North America, EMEA, APAC, and other regions-and is positioned for a diverse client base that spans government, financial services, healthcare, manufacturing, retail, technology, telecom, and other verticals, typically accessed through service-provider and reseller channels.

According to the company’s FY 2024 earnings release, ServiceNow generated $8.1 billion in revenue, up roughly 18 % year-over-year, with a net dollar retention rate of 124 % and annual recurring revenue (ARR) surpassing $13 billion. These metrics suggest strong upsell potential and a growing subscription base, but they are contingent on continued enterprise spending on digital transformation-a macro variable that can be volatile in a tightening credit environment.

Key sector drivers include the accelerating adoption of AI and automation in enterprise IT stacks, the expanding low-code/no-code market (projected to exceed $45 billion by 2027), and the broader shift toward cloud-first strategies that benefit platform-as-a-service providers. Conversely, ServiceNow’s valuation is sensitive to competitive pressure from peers such as Salesforce, Microsoft, and emerging niche workflow vendors, which could compress margins if price competition intensifies.

For a deeper quantitative comparison of ServiceNow’s valuation metrics against peers, you may find ValueRay’s platform useful.

NOW Stock Overview

Market Cap in USD	194,555m
Sub-Industry	Systems Software
IPO / Inception	2012-06-29

NOW Stock Ratings

Growth Rating	34.2%
Fundamental	83.6%
Dividend Rating	-
Return 12m vs S&P 500	-23.8%
Analyst Rating	4.49 of 5

NOW Dividends

Currently no dividends paid

NOW Growth Ratios

Growth Correlation 3m	39%
Growth Correlation 12m	-51.9%
Growth Correlation 5y	70.7%
CAGR 5y	34.90%
CAGR/Max DD 3y (Calmar Ratio)	0.91
CAGR/Mean DD 3y (Pain Ratio)	3.89
Sharpe Ratio 12m	-0.88
Alpha	-25.64
Beta	0.923
Volatility	31.41%
Current Volume	1520.8k
Average Volume 20d	1147k
Stop Loss	848 (-3.6%)
Signal	0.20

Piotroski VR‑10 (Strict, 0-10) 6.0

Net Income (1.73b TTM) > 0 and > 6% of Revenue (6% = 760.0m TTM)

FCFTA 0.18 (>2.0%) and ΔFCFTA 0.01pp (YES ≥ +1.0pp, WARN ≥ +0.5pp)

NWC/Revenue 3.92% (prev 8.70%; Δ -4.77pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp)

CFO/TA 0.22 (>3.0%) and CFO 4.84b > Net Income 1.73b (YES >=105%, WARN >=100%)

Net Debt (-323.0m) to EBITDA (2.85b) ratio: -0.11 <= 3.0 (WARN <= 3.5)

Current Ratio 1.06 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active)

Outstanding Shares last Quarter (210.0m) change vs 12m ago 0.69% (target <= -2.0% for YES)

Gross Margin 78.05% (prev 79.24%; Δ -1.19pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0)

Asset Turnover 62.98% (prev 56.76%; Δ 6.22pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0)

Interest Coverage Ratio 129.4 (EBITDA TTM 2.85b / Interest Expense TTM 17.0m) >= 6 (WARN >= 3)

Altman Z'' 2.09

(A) 0.02 = (Total Current Assets 8.36b - Total Current Liabilities 7.87b) / Total Assets 21.79b

(B) 0.22 = Retained Earnings (Balance) 4.84b / Total Assets 21.79b

(D) 0.46 = Book Value of Equity 4.82b / Total Liabilities 10.49b

Total Rating: 2.09 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D)

ValueRay F-Score (Strict, 0-100) 83.57

1. Piotroski 6.0pt = 1.0

2. FCF Yield 2.07% = 1.03

3. FCF Margin 31.25% = 7.50

4. Debt/Equity 0.21 = 2.48

5. Debt/Ebitda -0.11 = 2.50

6. ROIC - WACC (= 4.28)% = 5.34

7. RoE 16.49% = 1.37

8. Rev. Trend 99.75% = 7.48

9. EPS Trend 97.26% = 4.86

What is the price of NOW shares?

As of November 06, 2025, the stock is trading at USD 879.63 with a total of 1,520,752 shares traded.
Over the past week, the price has changed by -3.52%, over one month by -3.64%, over three months by -2.82% and over the past year by -9.41%.

Is ServiceNow a good stock to buy?

Yes, based on ValueRay´s Fundamental Analyses, ServiceNow (NYSE:NOW) is currently (November 2025) a good stock to buy. It has a ValueRay Fundamental Rating of 83.57 and therefor a positive outlook according to the companies health.
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of NOW is around 929.43 USD . This means that NOW is currently overvalued and has a potential downside of 5.66%.

Is NOW a buy, sell or hold?

ServiceNow has received a consensus analysts rating of 4.49. Therefore, it is recommended to buy NOW.

Strong Buy: 31
Buy: 10
Hold: 5
Sell: 0
Strong Sell: 1

What are the forecasts/targets for the NOW price?

Issuer	Target	Up/Down from current
Wallstreet Target Price	1156.6	31.5%
Analysts Target Price	1156.6	31.5%
ValueRay Target Price	1043.9	18.7%

NOW Fundamental Data Overview November 01, 2025

Market Cap USD = 194.55b (194.55b USD * 1.0 USD.USD)
P/E Trailing = 113.5699
P/E Forward = 45.2489
P/S = 16.1362
P/B = 17.2762
P/EG = 1.7172
Beta = 0.923
Revenue TTM = 12.67b USD
EBIT TTM = 2.20b USD
EBITDA TTM = 2.85b USD
Long Term Debt = 1.49b USD (from longTermDebt, last fiscal year)
Short Term Debt = 107.0m USD (from shortTermDebt, last quarter)
Debt = 2.40b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -323.0m USD (from netDebt column, last quarter)
Enterprise Value = 191.55b USD (194.55b + Debt 2.40b - CCE 5.41b)
Interest Coverage Ratio = 129.4 (Ebit TTM 2.20b / Interest Expense TTM 17.0m)
FCF Yield = 2.07% (FCF TTM 3.96b / Enterprise Value 191.55b)
FCF Margin = 31.25% (FCF TTM 3.96b / Revenue TTM 12.67b)
Net Margin = 13.67% (Net Income TTM 1.73b / Revenue TTM 12.67b)
Gross Margin = 78.05% ((Revenue TTM 12.67b - Cost of Revenue TTM 2.78b) / Revenue TTM)
Gross Margin QoQ = 77.28% (prev 77.48%)
Tobins Q-Ratio = 8.79 (Enterprise Value 191.55b / Total Assets 21.79b)
Interest Expense / Debt = 0.25% (Interest Expense 6.00m / Debt 2.40b)
Taxrate = 27.67% (192.0m / 694.0m)
NOPAT = 1.59b (EBIT 2.20b * (1 - 27.67%))
Current Ratio = 1.06 (Total Current Assets 8.36b / Total Current Liabilities 7.87b)
Debt / Equity = 0.21 (Debt 2.40b / totalStockholderEquity, last quarter 11.30b)
Debt / EBITDA = -0.11 (Net Debt -323.0m / EBITDA 2.85b)
Debt / FCF = -0.08 (Net Debt -323.0m / FCF TTM 3.96b)
Total Stockholder Equity = 10.50b (last 4 quarters mean from totalStockholderEquity)
RoA = 7.94% (Net Income 1.73b / Total Assets 21.79b)
RoE = 16.49% (Net Income TTM 1.73b / Total Stockholder Equity 10.50b)
RoCE = 18.36% (EBIT 2.20b / Capital Employed (Equity 10.50b + L.T.Debt 1.49b))
RoIC = 13.58% (NOPAT 1.59b / Invested Capital 11.72b)
WACC = 9.31% (E(194.55b)/V(196.96b) * Re(9.42%) + D(2.40b)/V(196.96b) * Rd(0.25%) * (1-Tc(0.28)))
Discount Rate = 9.42% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 0.72%
[DCF Debug] Terminal Value 77.08% ; FCFE base≈3.71b ; Y1≈4.57b ; Y5≈7.78b
Fair Price DCF = 496.0 (DCF Value 103.25b / Shares Outstanding 208.2m; 5y FCF grow 24.81% → 3.0% )
EPS Correlation: 97.26 | EPS CAGR: 31.29% | SUE: 3.81 | # QB: 3
Revenue Correlation: 99.75 | Revenue CAGR: 22.73% | SUE: 1.64 | # QB: 2

Additional Sources for NOW Stock

News: Wall Street Journal | Benzinga | Yahoo Finance
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Fund Manager Positions: Dataroma | Stockcircle