NOW Stock Analysis: ServiceNow | NYSE
Software - Application | NYSE, USA | Market Cap: 95.053m USD | 12M Return: -43.9% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 2.20B
EPS Trend: 95.2%
Qual. Beats: -1
Rev. Trend: 100.0%
Qual. Beats: 1
Warnings
Tailwinds
No distinct edge detected
Seasonality 10.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
ServiceNow, Inc. is a global cloud-based platform that provides digital workflow solutions across IT, HR, customer service, security operations, and other business functions, serving government, financial services, healthcare, manufacturing, retail, technology, and telecom sectors. The company operates a subscription-based software-as-a-service (SaaS) business model within the systems software segment of the information technology sector, distributing its products through direct sales, service providers, and resale partners. Headquartered in Santa Clara, California, and founded in 2004, ServiceNow has expanded internationally and recently announced a strategic collaboration with Cohesity, Inc. to develop secure autonomous AI agents and enterprise data management capabilities.
- cRPO growth accelerates signaling strong subscription revenue ahead
- Now Assist AI monetization drives net new ACV
- Operating margin expands toward 30% target on scale
| Net Income: 1.67b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.14 > 0.02 and ΔFCF/TA -2.99 > 1.0 |
| NWC/Revenue: -24.70% < 20% (prev 1.90%; Δ -26.60% < -1%) |
| CFO/TA 0.17 > 3% & CFO 5.31b > Net Income 1.67b |
| Net Debt (-706.0m) to EBITDA (2.75b): -0.26 < 3 |
| Current Ratio: 0.70 > 1.5 & < 3 |
| Outstanding Shares: last quarter (1.04b) vs 12m ago -0.92% < -2% |
| Gross Margin: 74.77% > 18% (prev 78.52%; Δ -3.75% > 0.5%) |
| Asset Turnover: 54.85% > 50% (prev 54.68%; Δ 0.17% > 0%) |
| Interest Coverage Ratio: 102.0 > 6 (EBIT TTM 2.35b / Interest Expense TTM 23.0m) |
| A: -0.11 (Total Current Assets 8.51b - Total Current Liabilities 12.2b) / Total Assets 31.7b |
| B: 0.17 (Retained Earnings 5.24b / Total Assets 31.7b) |
| C: 0.09 (EBIT TTM 2.35b / Avg Total Assets 26.9b) |
| D: 1.44 (Book Value of Equity 18.7b / Total Liabilities 13.0b) |
| Altman-Z'' = 1.89 = BBB |
| DSRI: 1.06 (Receivables 2.20b/1.70b, Revenue 14.7b/12.1b) |
| GMI: 1.05 (GM 78.52% / 74.77%) |
| AQI: 1.33 (AQ_t 0.64 / AQ_t-1 0.48) |
| SGI: 1.22 (Revenue 14.7b / 12.1b) |
| TATA: -0.11 (NI 1.67b - CFO 5.31b) / TA 31.7b) |
| Beneish M = -2.59 (Cap -4..+1) = A |
As of July 29, 2026, the stock is trading at USD 110.62 with a total of 33,633,013 shares traded. Over the past week, the price has changed by +8.39%, over one month by +10.65%, over three months by +22.25% and over the past year by -43.89%.
Current recommended Stop Loss: 101.90 (which is 7.9% or 1.4 ATR below the current price).
ServiceNow has received a consensus analysts rating of 4.49. Therefore, it is recommended to buy NOW.
- StrongBuy: 31
- Buy: 10
- Hold: 5
- Sell: 0
- StrongSell: 1
| Analysts Target Price | 138.8 | 25.5% |
P/E Trailing = 59.7013
P/E Forward = 22.779
P/S = 6.4522
P/B = 7.8658
P/EG = 0.8345
Revenue TTM = 14.7b USD
EBIT TTM = 2.35b USD
EBITDA TTM = 2.75b USD
Long Term Debt = 1.49b USD (from longTermDebt, last fiscal year)
Short Term Debt = 2.20b USD (from shortTermDebt, last quarter)
Debt = 3.96b USD (from shortLongTermDebtTotal, last quarter) + Leases 940.0m
Net Debt = -706.0m USD (calculated: Debt 3.96b - CCE 4.66b)
Enterprise Value = 94.3b USD (95.1b + Debt 3.96b - CCE 4.66b)
Interest Coverage Ratio = 102.0 (Ebit TTM 2.35b / Interest Expense TTM 23.0m)
EV/FCF = 20.60x (Enterprise Value 94.3b / FCF TTM 4.58b)
FCF Yield = 4.85% (FCF TTM 4.58b / Enterprise Value 94.3b)
FCF Margin = 31.09% (FCF TTM 4.58b / Revenue TTM 14.7b)
Net Margin = 11.34% (Net Income TTM 1.67b / Revenue TTM 14.7b)
Gross Margin = 74.77% ((Revenue TTM 14.7b - Cost of Revenue TTM 3.72b) / Revenue TTM)
Gross Margin QoQ = 70.68% (prev 75.07%)
Tobins Q-Ratio = 2.98 (Enterprise Value 94.3b / Total Assets 31.7b)
Interest Expense / Debt = 0.58% (Interest Expense 23.0m / Debt 3.96b)
Taxrate = 28.82% (676.0m / 2.35b)
NOPAT = 1.67b (EBIT 2.35b * (1 - 28.82%))
Current Ratio = 0.70 (Total Current Assets 8.51b / Total Current Liabilities 12.2b)
Debt / Equity = 0.21 (Debt 3.96b / totalStockholderEquity, last quarter 18.7b)
Debt / EBITDA = -0.26 (Net Debt -706.0m / EBITDA 2.75b)
Debt / FCF = -0.15 (Net Debt -706.0m / FCF TTM 4.58b)
Total Stockholder Equity = 13.7b (last 4 quarters mean from totalStockholderEquity)
RoA = 6.22% (Net Income 1.67b / Total Assets 31.7b)
RoE = 12.22% (Net Income TTM 1.67b / Total Stockholder Equity 13.7b)
RoCE = 15.47% (EBIT 2.35b / Capital Employed (Equity 13.7b + L.T.Debt 1.49b))
RoIC = 7.96% (NOPAT 1.67b / Invested Capital 21.0b)
WACC = 9.16% (E(95.1b)/V(99.0b) * Re(9.52%) + D(3.96b)/V(99.0b) * Rd(0.58%) * (1-Tc(0.29)))
Discount Rate = 9.52% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 12.09 | Cagr: -0.06%
[DCF] Terminal Value 75.40% ; FCFF base≈4.29b ; Y1≈4.92b ; Y5≈7.23b
[DCF] Fair Price = 92.89 (EV 95.3b - Net Debt -706.0m = Equity 96.0b / Shares 1.03b; r=9.16% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 95.16 | EPS CAGR: 22.82% | SUE: -2.10 | # QB: -1
Revenue Correlation: 99.97 | Revenue CAGR: 21.79% | SUE: 1.99 | # QB: 1
EPS current Quarter (2026-09-30): EPS=1.09 | Chg30d=-0.30% | Revisions=-25% | Analysts=39
EPS current Year (2026-12-31): EPS=4.12 | Chg30d=+0.02% | Revisions=+25% | GrowthEPS=+17.5% | GrowthRev=+22.0%
EPS next Year (2027-12-31): EPS=5.02 | Chg30d=-0.09% | Revisions=+31% | GrowthEPS=+21.8% | GrowthRev=+18.6%
[Analyst] Revisions Ratio: +27% (up=8, down=4)