|NOW Overview
NOW

ServiceNow, Inc.

Technology • CIK: 0001373715

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Market Cap
$190.51B
P/E (TTM)
110.1x
Rev Growth (TTM)
Net Margin (TTM)
13.7%
FCF Yield (TTM)
2.1%
FCF Margin (TTM)
31.2%

LATEST EARNINGS

Q4 2025
16 days ago
View source
Revenue
Net Income
EPS
  • Subscription revenues grew 21% year-over-year to $3,466 million in Q4 2025, with constant currency growth at 19.5%.
  • Total revenues grew 20.5% year-over-year to $3,568 million in Q4 2025.
  • Current remaining performance obligations (cRPO) grew 25% year-over-year to $12.85 billion, indicating strong future revenue potential.
  • Net new ACV for Now Assist more than doubled year-over-year, demonstrating strong adoption of AI solutions.

Cash Flow Health

Free Cash Flow8/8 positive
TTM$4.0B
Q3 '25
$578M+10%
Q2 '25
$526M-64%
FCF Margin
TTM31.2%
Q3 '2517.0%+4%
Sector: 14.5%Top 25%
OCF Margin38.2%
OCF/NI2.80x
CapEx Coverage5.5x
FCF Yield2.1%
FCF Growth (2Y)
Cash Conversion Cycle
24 days
DSO: 48+DIO: 0DPO: 24

Capital Allocation & Returns

Growth Focused
Total Shareholder YieldTTM
TTM0.8%
Div Yield0.0%
+
Buyback (TTM)0.8%

Prioritizing reinvestment over distributions

Dividend & Payout Metrics
Dividend Yield (TTM)0.0%
Free Cash Flow (TTM)$4.0B
Stock Repurchases (TTM)$1.5B
Capital Return / FCF38.9%
Est. Dividends Paid (TTM)$0
Shows how management rewards shareholders

Operational Efficiency & Returns

Return on Invested CapitalTTM
26.6%
P25MedianP75
75th pctl (med: 0.1%)
DuPont BreakdownROIC = Margin × Turn × (1+D/E)
NOPAT Margin
11.0%
Asset Turnover
0.61x
Leverage (1+D/E)
1.00x
D/E: 0.00x
DuPont: 6.7%26.6% ROIC
Asset & CapEx Efficiency
Fixed Asset Turn
6.71x
8Q:
Invested Cap Turn
2.42x
8Q:
CapEx Intensity
16.9%
8Q:
CapEx/Depreciation
1.30x
Asset-based ROIC formula

QUARTERLY TRENDS

Last 8 quarters + TTM

MetricTTMQ3 2025Q2 2025Q1 2025Q4 2024Q3 2024Q2 2024Q1 2024Q4 2023
Revenue
$12.7B
$3.4B6.0%
$3.2B4.1%
$3.1B4.4%
$3.0B5.7%
$2.8B6.5%
$2.6B0.9%
$2.6B6.8%
$2.4B
Operating Income
$1.8B
$572.0M59.8%
$358.0M20.6%
$451.0M20.6%
$374.0M10.5%
$418.0M74.2%
$240.0M27.7%
$332.0M23.0%
$270.0M
Net Income
$1.7B
$502.0M30.4%
$385.0M16.3%
$460.0M19.8%
$384.0M11.1%
$432.0M64.9%
$262.0M24.5%
$347.0M17.6%
$295.0M
Operating Cash Flow
$4.8B
$813.0M13.5%
$716.0M57.3%
$1.7B2.6%
$1.6B143.7%
$671.0M8.2%
$620.0M53.8%
$1.3B16.4%
$1.6B
Free Cash Flow
$4.0B
$578.0M9.9%
$526.0M64.3%
$1.5B6.5%
$1.4B194.7%
$469.0M31.0%
$358.0M70.3%
$1.2B10.3%
$1.3B
Total Equity
N/A

Valuation Analysis

Fair Value
Price-to-EarningsTTM
110.1x
Valuation Lenses
Earnings
110.1x
vs sector
Cash Flow
48.1x
EV/FCF vs
Growth-Adj
PEG
N/A
Quality-Adj
4.1P/E per %ROIC
ROIC: 26.6%
Shareholder Returns
Dividend
Buyback
0.8%
Total Yield
0.8%
Market Cap$190.51B
EV
Multi-angle valuation analysis with sector context

Business Quality & Moat

Overall Quality Score
100/100
Exceptional

Composite score: Returns (40%) + Consistency (30%) + Earnings Quality (30%)

Returns on Capital

Return on Equity (ROE)Above Avg
16.9%
8Q:
Return on Invested Capital (ROIC)Top 25%
26.6%
8Q:
vs Sector:0.1%

DuPont Analysis (ROIC = NOPAT Margin × Asset Turnover)

NOPAT Margin: 11.0%
Asset Turnover: 0.61x

Earnings Quality

Cash Conversion

2.80x

OCF / Net Income

FCF Consistency

Positive quarters

Competitive Moat Indicators

Pricing Power

Gross Margin78.1%

Capital Efficiency

Invested Capital Turnover2.42x

Working Capital

Cash Conversion Cycle24 days

Growth Quality & Momentum

Growth Rates

Revenue Growth YoY
N/A
OpInc Growth YoY
36.8%
EPS Growth YoY
N/A
FCF 3Y CAGR
N/A

Margin Quality & Sustainability

Low Quality
Profitability Cascade
Gross
78.1%
Operating
13.9%
Above Avg in sector
Net
13.7%
Margins Unknown
Earnings Quality Signals
SBC / Revenue
FCF vs Net Gap
+17.6 pts
FCF: 31.2% | Net: 13.7%

Quality = stability + cash conversion + low dilution

Balance Sheet & Solvency

Fortress
Net Debt / EBITDA
Net Cash
(0.0x)Net Cash: $5.42B
Interest Coverage
+Net cash position: $5.42B
Leverage Metrics
Debt-to-Equity
0.00x
Balance sheet risk & solvency analysis