# ServiceNow, Inc. (NOW)

> Source: Nexqual · https://nexqual.com/NOW · data as of 2026-10-22 20:00 UTC · cite as "Nexqual, ServiceNow, Inc. (NOW), nexqual.com/NOW" · informational, not investment advice.

**Price:** USD 157 (+2.53% on the day) · last close of Oct 22, 2026; US market pre market, not a live price. Prev close 153.12 · day 153.57–157.6 · 52w 81.24–192.97 · market cap $162B · NYQ

## Key facts
- Last four reported quarters (through Jun 30, 2026): revenue $14.7B, net income $1.67B (11.3% margin), free cash flow $4.58B (SEC filings).
- Valuation: P/E 97.2x (avg 110.2x at the last 3 fiscal year-ends), EV/EBITDA 67.7x, net debt $2.85B.
- 6 of 80 tracked superinvestors hold NOW (13F, Q2 2026): 0 new, 3 added, 3 reduced, 0 unchanged.
- Insider open-market sales, last ~7 months: 10 Form 4 filings, $4.6M; 5 not under a Rule 10b5-1 plan ($3.1M); 2 by opportunistic insiders (2 outside 10b5-1 plans), 5 by routine insiders (three-year test, Cohen, Malloy & Pomorski 2012).
- Analysts: Buy (mean 1.98 on a 1–5 scale) (49 analysts), mean target USD 156.54 (range 72–266).
- Total return with dividends: 1Y -16.4% vs S&P 500 +14.9%; 5Y +14.3% vs S&P 500 +80.3%.
- Next earnings: 2026-10-28, EPS estimate USD 1.02, revenue estimate $4.09B.

## Financials (SEC 10-K; TTM = last four 10-Q/10-K quarters)
| USD | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | TTM |
|---|---|---|---|---|---|---|
| Revenue | $5.90B | $7.25B | $8.97B | $11.0B | $13.3B | $14.7B |
| Gross profit | $4.54B | $5.67B | $7.05B | $8.70B | $10.3B | — |
| Operating income | $257M | $355M | $762M | $1.36B | $1.82B | $1.68B |
| Net income | $230M | $325M | $1.73B | $1.43B | $1.75B | $1.67B |
| EPS (diluted) | $0.23 | $0.32 | $1.68 | $1.37 | $1.67 | — |
| Free cash flow | $1.80B | $2.17B | $2.70B | $3.42B | $4.58B | $4.58B |
| Gross margin | 77.1% | 78.3% | 78.6% | 79.2% | 77.5% | — |
| Operating margin | 4.4% | 4.9% | 8.5% | 12.4% | 13.7% | 11.4% |
| Net margin | 3.9% | 4.5% | 19.3% | 13.0% | 13.2% | 11.3% |
| Revenue growth | +30.5% | +22.9% | +23.8% | +22.4% | +20.9% | — |
| Cash + short-term investments | $3.30B | $4.28B | $4.88B | $5.76B | $6.28B | — |
| Total debt | $1.58B | $1.49B | $1.49B | $1.49B | $1.49B | — |
Fiscal years end Dec. EPS is split-adjusted.

## Valuation (price ÷ last four quarters, through Jun 30, 2026)
P/E 97.2x · P/S 11.0x · EV/EBITDA 67.7x · EV/Sales 11.2x · P/FCF 35.4x · P/B 13.0x · FCF yield 2.82% · Earnings yield 1.03% · Buyback yield (TTM) 2.10% · Net debt $2.85B · EV $165B
P/E at fiscal year-ends: Dec 2025 91.7x, Dec 2024 155.1x, Dec 2023 83.9x.

## Superinvestors (SEC 13F-HR, Q2 2026)
6 of 80 tracked investors hold NOW. Each row is the investor's latest 13F; change is vs their prior-quarter share count.
| Investor | Firm | % of portfolio | Value | Change |
|---|---|---|---|---|
| Polen Capital | Polen Capital Management | 4.59% | $533M | Reduced -26.1% |
| Chuck Akre | Akre Capital Management | 2.42% | $124M | Added +13.7% |
| Vulcan Value Partners |  | 1.74% | $57.1M | Added +7.7% |
| Torray Funds |  | 0.69% | $5.1M | Reduced -6.0% |
| Chase Coleman | Tiger Global Management | 0.36% | $86.7M | Reduced -41.8% |
| Hillman Capital | Hillman Capital Management | 0.25% | $339K | Added +1.1% |

## Insider sales (SEC Form 4, open-market, last ~7 months)
5 of 10 under a Rule 10b5-1 trading plan (scheduled in advance). Unplanned sales were timed by the insider.
| Trade date | Insider | Role | Shares | Value | % of holdings sold | 10b5-1 plan | Insider type |
|---|---|---|---|---|---|---|---|
| 2026-08-31 | Fipps Paul | President, Global Customer Ops | 2,034 | $301K | 10% | No | Too little history (no open-market trades in 2023 or 2024) |
| 2026-08-28 | Canney Jacqueline P | Chief People & AI Enblmt. Off. | 7,847 | $1.1M | 20.7% | Yes (adopted May 29, 2026) | Routine (sold in Jan & Feb & Aug & Nov each year 2023–2025) |
| 2026-08-27 | Chamberlain Paul Edward | Director | 2,700 | $366K | 5.8% | No | Routine (sold in Feb & May & Aug & Nov each year 2023–2025) |
| 2026-08-13 | Chamberlain Paul Edward | Director | 1,500 | $188K | 3.1% | Yes (adopted August 29, 2025) | Routine (sold in Feb & May & Aug & Nov each year 2023–2025) |
| 2026-05-28 | Briggs Teresa | Director | 1,595 | $173K | 12.7% | No | Opportunistic (traded every year 2023–2025, no repeating month) |
| 2026-05-18 | Fipps Paul | President, Global Customer Ops | 1,048 | $103K | 8% | Yes (adopted November 19, 2025) | Too little history (no open-market trades in 2023 or 2024) |
| 2026-05-14 | Sands Anita M | Director | 16,445 | $1.5M | 35.3% | No | Opportunistic (traded every year 2023–2025, no repeating month) |
| 2026-05-14 | Chamberlain Paul Edward | Director | 1,500 | $131K | 3.2% | Yes (adopted August 29, 2025) | Routine (sold in Feb & May & Aug & Nov each year 2023–2025) |
| 2026-05-08 | Fipps Paul | President, Global Customer Ops | 151 | $14K | 1.8% | Yes (adopted November 19, 2025) | Too little history (no open-market trades in 2023 or 2024) |
| 2026-04-24 | Canney Jacqueline P | Chief People & AI Enblmt. Off. | 8,927 | $800K | 23.2% | No | Routine (sold in Jan & Feb & Aug & Nov each year 2023–2025; this trade is outside those months) |
% of holdings sold = shares sold ÷ (shares sold + all holdings the insider reported on that Form 4, direct and through trusts).
Insider type follows Cohen, Malloy & Pomorski (Journal of Finance, 2012). An insider who traded the stock in the same calendar month in each of the past three years is a routine trader; one who traded in each of those years without such a pattern is an opportunistic trader. In their study, trades by opportunistic insiders predicted future returns and trades by routine insiders did not. Counts open-market purchases and sales only (SEC Form 4 codes P and S) by that insider in that company. Not investment advice.

## Analysts
Consensus Buy (mean 1.98 on a 1–5 scale), 49 analysts; mean target USD 156.54 (low 72, high 266).
Rating changes, last 120 days:
| Date | Firm | Action | Rating | Price target |
|---|---|---|---|---|
| 2026-10-21 | Truist Securities | Target raised | Buy | $130 → $180 |
| 2026-10-19 | StoneX | Target raised | Buy | $130 → $165 |
| 2026-10-16 | Piper Sandler | Target raised | Overweight | $140 → $175 |
| 2026-10-15 | Mizuho | Target raised | Outperform | $140 → $170 |
| 2026-10-15 | TD Cowen | Target raised | Buy | $140 → $165 |
| 2026-10-14 | Citigroup | Target raised | Buy | $154 → $170 |
| 2026-10-13 | Evercore ISI Group | Target raised | Outperform | $160 → $175 |
| 2026-10-13 | Barclays | Target raised | Overweight | $134 → $160 |
| 2026-10-13 | Wells Fargo | Target raised | Overweight | $175 → $190 |
| 2026-10-13 | Oppenheimer | Target raised | Outperform | $140 → $165 |
| 2026-10-12 | RBC Capital | Target raised | Outperform | $130 → $176 |
| 2026-10-12 | BTIG | Reiterated | Buy | $170 |

## Total return (dividends reinvested)
|  | 1Y (from 2025-10-23) | 5Y (from 2021-10-18) |
|---|---|---|
| Total return | -16.4% | +14.3% |
| S&P 500 (SPY) | +14.9% | +80.3% |
| Per year | -16.5% | +2.7% |
| Volatility (annualized) | 58.5% | 43.5% |
| Max drawdown | -56.1% (Oct 2025→Apr 2026) | -63.1% (Jan 2025→Apr 2026) |

## Peers (Software - Application)
UBER (Uber Technologies, Inc.) USD 69.07 +2.14% · CRM (Salesforce, Inc.) USD 250.29 +3.52% · ADP (Automatic Data Processing, Inc.) USD 307.94 +4.56% · SNOW (Snowflake Inc.) USD 313.96 -2.72% · SHOP (Shopify Inc.) USD 168.81 -3.14% · ADBE (Adobe Inc.) USD 270.55 +6.07%

## More
Full page: https://nexqual.com/NOW · Free keyless MCP server with the same data and citations: https://mcp.nexqual.com/mcp · Guide for agents: https://nexqual.com/agents · https://nexqual.com/llms.txt

## Supply chain and relationships (SEC annual reports)

Named in NOW's own 10-K filed 2026-01-29 (https://www.sec.gov/Archives/edgar/data/1373715/000137371526000007/now-20251231.htm):

| Relationship | Company | Sentence in the filing |
|---|---|---|
| Customer | Accenture (ACN) | "Additionally, our relationships with global system integrators such as Accenture, Cognizant, Deloitte, EY, Infosys and KPMG, among others, continue to help us expand our business by offering ServiceNow solutions to their…" |
| Competitor | Microsoft (MSFT) | "•enterprise application software vendors, both cloud-based and on-premises, such as Microsoft, Oracle, SAP, Salesforce and Workday;" |
| Competitor | Oracle (ORCL) | "•enterprise application software vendors, both cloud-based and on-premises, such as Microsoft, Oracle, SAP, Salesforce and Workday;" |
| Competitor | SAP (SAP) | "•enterprise application software vendors, both cloud-based and on-premises, such as Microsoft, Oracle, SAP, Salesforce and Workday;" |
| Competitor | Salesforce (CRM) | "•enterprise application software vendors, both cloud-based and on-premises, such as Microsoft, Oracle, SAP, Salesforce and Workday;" |

Other companies that name NOW in their own reports (relationship from NOW's side):

| Relationship | Company | Their filing | Sentence |
|---|---|---|---|
| competitor | EGAIN Corp (EGAN) | 10-K 2026-09-10 | "In addition, we occasionally compete with some of our platform partners where some of our product capabilities overlap, including Five9, Genesys, Microsoft, Salesforce, and ServiceNow." |
| competitor | OPEN TEXT CORP (OTEX) | 10-K 2026-08-06 | "We compete with large enterprise technology providers, including International Business Machines Corporation (IBM), Microsoft Corporation (Microsoft), Oracle Corporation (Oracle) and ServiceNow, Inc. …" |
| partner | FEDEX CORP (FDX) | 10-K 2026-07-20 | "Also in 2026, we announced separate strategic partnerships with ServiceNow and Dun & Bradstreet to provide customers with more intelligent supply chain solutions powered by FedEx Dataworks." |
| partner | Infosys Ltd (INFY) | 20-F 2026-06-15 | "GuideVision (ServiceNow Elite Partner): Infosys' partnership with GuideVision enhances our enterprise service management and digital operations by integrating deep ServiceNow expertise, strategic advi…" |
| partner | WIPRO LTD (WIT) | 20-F 2026-06-02 | "Our top strategic partners include hyperscalers, industry-leading platforms, and AI-native companies like Amazon Web Services, Microsoft, Google, IBM, SAP, ServiceNow, and NVIDIA." |
| partner | Kyndryl Holdings, Inc. (KD) | 10-K 2026-05-29 | "We have several key partnerships, including with Amazon Web Services, Broadcom, Cisco, Dell, Dynatrace, Google Cloud, HPE, Microsoft, NVIDIA, Oracle, Palo Alto Networks, Red Hat, Rubrik, SAP and Servi…" |
| partner | ICON PLC (ICLR) | 20-F 2026-05-27 | "These include Veeva (SOP document management), Cornerstone (training delivery), ServiceNow (workflow and automation), SailPoint (identity governance), PEGA (safety reporting), Oracle ARGUS (pharmacovi…" |
| partner | Dynatrace, Inc. (DT) | 10-K 2026-05-20 | "We partner with leading innovative technology organizations such as Atlassian, Red Hat, ServiceNow, and VMware to develop integrations, best practices, and extended capabilities that help our customer…" |
| partner | NETSCOUT SYSTEMS INC (NTCT) | 10-K 2026-05-14 | "These insights can be easily ingested into data lakes or streamed to our partners like Splunk and ServiceNow." |
| partner | Nvni Group Ltd (NVNI) | 20-F 2026-04-30 | "commercial relationships with enterprise technology partners, including Microsoft, Oracle, AWS, Salesforce, Snowflake, NVIDIA, ServiceNow," |
| supplier | SailPoint, Inc. (SAIL) | 10-K 2026-03-19 | "Solutions from companies such as AWS, Palo Alto Networks (CyberArk), Proofpoint, SAP, and ServiceNow that are plugged into our open identity platform through APIs provide our customers value-added cap…" |
| partner | Sprinklr, Inc. (CXM) | 10-K 2026-03-19 | "We work with agencies and partners across nine different partner categories, including System Integrators, Transformational partners and Resellers, which includes partners such as Microsoft, Accenture…" |
| partner | DOCUSIGN, INC. (DOCU) | 10-K 2026-03-18 | "▪Global partners: We have partnerships with some of the world's foremost technology providers including Salesforce, Microsoft, SAP, Google, ServiceNow, and Workday—that help us sell into a far greater…" |
| supplier | PagerDuty, Inc. (PD) | 10-K 2026-03-12 | "In addition to deep, native integrations to a range of widely used technologies, such as Microsoft, Amazon Web Service ("AWS"), Datadog, Grafana, GitHub, and many bidirectional integrations such as At…" |
| partner | BOX INC (BOX) | 10-K 2026-03-09 | "We have a rich technology partner ecosystem, offering integrations with partners such as Adobe, Apple, Cisco, CrowdStrike, Google, Guidewire, IBM, Microsoft, Okta, Oracle-NetSuite, Palo Alto Networks,…" |

## Revenue by product line (quarter ended 2026-06-30)

| Line | Revenue | Share | YoY |
|---|---|---|---|
| Subscription | $3.88B | 97.2% | +24.5% |
| Professional services and other | $110.0M | 2.8% | +7.8% |
| Total revenue | $3.99B | 100% | — |

## Revenue by region (quarter ended 2026-06-30)

| Line | Revenue | Share | YoY |
|---|---|---|---|
| North America | $2.52B | 63.3% | +25.7% |
| EMEA | $997.0M | 25.0% | +19.5% |
| Asia Pacific and other | $468.0M | 11.7% | +24.8% |
| Total revenue | $3.99B | 100% | — |

## Customer concentration

Period ended 2026-06-30: 13% of revenue from unnamed direct customers (10-Q, filed 2026-07-23).

## Company outlook (8-K filed 2026-07-22)

- "Q2 2026 subscription revenues exceeded the high end of our guidance range by 150 basis points, driven by a combination of net new ACV outperformance and on-premise revenue mix coming in ahead of expectations."
- "We are raising our FY 2026 subscription revenues guidance to reflect the net new ACV strength."
- "Our FY 2026 gross margin guidance reflects more customers utilizing our hyperscaler partnerships and an acceleration of customer AI adoption."
- "(2) Guidance for GAAP subscription revenues and GAAP subscription revenues and cRPO growth rates are based on the 30-day average of foreign exchange rates for June 2026 for entities reporting in currencie"

## Analyst estimates and revisions

| Period | EPS est. | 90d ago | Change | Revenue est. | Analysts |
|---|---|---|---|---|---|
| Current quarter (ends 2026-09-30) | $1.02 | $1.03 | -0.2% | $4.09B | 39 |
| Next quarter (ends 2026-12-31) | $1.17 | $1.17 | +0.1% | $4.36B | 39 |
| Current fiscal year (ends 2026-12-31) | $4.07 | $4.07 | -0.1% | $16.22B | 44 |
| Next fiscal year (ends 2027-12-31) | $5.01 | $5.01 | -0.0% | $19.28B | 44 |