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ServiceNow (NOW) Stock Price, News & Analysis

-40.27 (-4.99%)
(As of 07/8/2024 ET)
Today's Range
50-Day Range
52-Week Range
2.01 million shs
Average Volume
1.02 million shs
Market Capitalization
$157.07 billion
P/E Ratio
Dividend Yield
Price Target

ServiceNow MarketRank™ Stock Analysis

Analyst Rating
Moderate Buy
2.92 Rating Score
6.1% Upside
$812.60 Price Target
Short Interest
1.43% of Shares Sold Short
Dividend Strength
Upright™ Environmental Score
News Sentiment
0.21mentions of ServiceNow in the last 14 days
Based on 25 Articles This Week
Insider Trading
Selling Shares
$4 M Sold Last Quarter
Proj. Earnings Growth
From $6.50 to $8.35 Per Share

Overall MarketRank

New Rank-Based ScoringMarketRank is calculated by averaging available category scores (with extra weight given to analysis and valuation), then ranking the company's weighted average against that of other companies.

4.29 out of 5 stars

Computer And Technology Sector

95th out of 568 stocks

Prepackaged Software Industry

24th out of 189 stocks

NOW stock logo

About ServiceNow Stock (NYSE:NOW)

ServiceNow, Inc. is a leading provider of cloud-based software solutions that help enterprises streamline their digital workflows. The company aims to enable organizations to digitize and automate their business processes, increasing efficiency and productivity. Headquartered in Santa Clara, California, ServiceNow operates globally, serving customers across various industries, including healthcare, finance, technology, and manufacturing.

ServiceNow's core product is its platform-as-a-service (PaaS) offering, allowing businesses to create custom applications and workflows tailored to their needs. The platform encompasses various modules, including IT Service Management, Human Resources, Customer Service Management, and Security Operations. By leveraging ServiceNow's platform, organizations can automate routine tasks, streamline communication and collaboration and enhance employee and customer experience.

The company's target market primarily comprises large enterprises that seek to modernize their operations and enhance digital transformation initiatives. ServiceNow has established a solid customer base, including well-known brands such as Coca-Cola, Siemens, and Visa. Its solutions cater to the needs of diverse organizations, ranging from IT departments seeking efficient incident management to HR departments streamlining employee onboarding processes.

ServiceNow boasts a strong, experienced management team that drives the company's success. Led by Chief Executive Officer Bill McDermott, a seasoned technology executive with a proven track record in the industry, the group comprises individuals with diverse backgrounds and expertise. 

ServiceNow has demonstrated impressive financial performance in recent years, reflecting its strong market position and growing customer demand for its products and services. The company has consistently reported robust revenue growth, driven by the increasing adoption of its platform across industries.

ServiceNow has maintained healthy profit margins, showcasing its ability to generate investment returns and maintain efficient cost structures. The company's strong financial position has allowed it to invest in research and development, innovation, and strategic acquisitions to drive further growth and market expansion. 

ServiceNow's valuation metrics reflect the market's recognition of its strong growth potential and position within the industry. The company's price-to-earnings (P/E) ratio and price-to-book (P/B) ratio are often higher than its industry peers, indicating the market's confidence in ServiceNow's future prospects. The higher P/E ratio suggests that investors are willing to pay a premium for each dollar of earnings the company generates, reflecting expectations of strong future earnings growth. Similarly, the higher P/B ratio indicates that investors value ServiceNow's assets at a higher multiple compared to its book value, emphasizing the company's intangible assets and intellectual property.

The factors driving ServiceNow's valuation are its consistent revenue growth, expanding customer base, and market leadership position. The company has successfully established itself as a trusted provider of digital workflow solutions, capturing a significant market share and demonstrating its ability to deliver value to its customers. ServiceNow's focus on innovation and product development has allowed it to stay ahead of competitors and maintain a competitive edge in the industry.

ServiceNow operates in the broader enterprise software industry, which is characterized by rapid technological advancements and the increasing adoption of cloud-based solutions. The industry is highly competitive, with several key players vying for market share and constantly innovating to meet evolving customer needs.

ServiceNow maintains a competitive advantage through its comprehensive platform and the breadth of its product offerings. The company's focus on delivering solutions that streamline digital workflows across departments positions it well in the market. ServiceNow enables efficient collaboration, automation, and process optimization by providing a unified platform that integrates various organizational functions.

The enterprise software industry is also subject to regulatory and political factors that can impact companies operating within it. Changes in data protection regulations or cybersecurity requirements may influence the demand for software solutions, including those offered by ServiceNow. Investors must monitor such developments and assess their potential impact on the company's operations and market position.

ServiceNow has several growth opportunities on the horizon. One significant opportunity lies in expanding its product offerings and penetrating new markets. The company can leverage its existing customer base and reputation to introduce new modules or vertical-specific solutions that address specific industry needs. For example, ServiceNow can develop tailored solutions for sectors such as healthcare or manufacturing, enabling it to tap into untapped markets and drive revenue growth.

While ServiceNow presents promising growth prospects, it has risks and challenges. One of the key challenges the company may face is intense competition within the enterprise software industry. Competitors, both established players and emerging startups, continuously innovate and introduce new solutions that could potentially erode ServiceNow's market share. To mitigate this risk, ServiceNow must focus on innovation, invest in research and development and ensure its offerings stay ahead of the curve.

Another potential risk lies in changes to regulatory or compliance requirements. As a business operating in an increasingly regulated industry, ServiceNow must stay updated with evolving regulations and adapt its solutions to ensure customer compliance. Failure to address regulatory changes adequately could result in reputational damage and loss of customers.

Moreover, macroeconomic factors can impact ServiceNow's business. Economic downturns or recessions may lead to reduced spending by enterprises, affecting the demand for software solutions. ServiceNow must remain agile and adaptable to market conditions, continuously demonstrate the value of its offerings and provide cost-effective solutions that align with customers' budgetary constraints.

NOW Stock Price History

NOW Stock News Headlines

ServiceNow (NYSE:NOW) Receives "Sell" Rating from Guggenheim
Young billionaire opens the door for millions of Americans
You can now profit from a catalog of 11 inventions that will likely make their way into millions of U.S. households in the months and years to come. And you can do this whether you’re rich or poor… There are no special income requirements.
ServiceNow's Integrated Business Model Is A Moat
Why ServiceNow Stock Is Down Monday
Young billionaire opens the door for millions of Americans
You can now profit from a catalog of 11 inventions that will likely make their way into millions of U.S. households in the months and years to come. And you can do this whether you’re rich or poor… There are no special income requirements.
ServiceNow (NYSE:NOW) Given "Buy" Rating at Needham & Company LLC
The 3 Best Cloud Computing Stocks to Buy in July 2024
See More Headlines
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Company Calendar

Last Earnings
Next Earnings (Confirmed)
Fiscal Year End

Industry, Sector and Symbol

Prepackaged software
Systems Software
Year Founded

Price Target and Rating

Average Stock Price Target
High Stock Price Target
Low Stock Price Target
Potential Upside/Downside
Consensus Rating
Moderate Buy
Rating Score (0-4)
Research Coverage
25 Analysts


Net Income
$1.73 billion
Pretax Margin


Sales & Book Value

Annual Sales
$9.48 billion
Cash Flow
$7.56 per share
Book Value
$37.21 per share


Free Float
Market Cap
$157.07 billion

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Should I Buy ServiceNow Stock? NOW Pros and Cons Explained


Here are some ways that investors could benefit from investing in ServiceNow, Inc.:

  • ServiceNow reported strong quarterly earnings, surpassing analyst expectations, indicating a healthy financial performance.
  • ServiceNow has a high return on equity of 13.59%, showcasing efficient utilization of shareholder funds.
  • ServiceNow's stock price has shown resilience, with a 52-week high of $815.32, indicating positive investor sentiment.
  • Institutional investors like Norges Bank and DZ BANK AG have made significant investments in ServiceNow, reflecting confidence in the company's future prospects.
  • ServiceNow has a diverse product portfolio in information technology services, catering to a wide range of industries, which can provide stability and growth opportunities.


Investors should be bearish about investing in ServiceNow, Inc. for these reasons:

  • ServiceNow's stock price has experienced volatility, with fluctuations in the market impacting short-term investor returns.
  • ServiceNow's P/E ratio of 80.62 and P/E/G ratio of 4.73 may indicate an overvalued stock, potentially leading to limited upside for investors.
  • ServiceNow's recent stock performance shows a 1.0% decline, signaling potential challenges in the current market environment.
  • Competitors in the information technology services sector may pose a threat to ServiceNow's market share and growth trajectory.
  • ServiceNow's debt-to-equity ratio of 0.18 may raise concerns about the company's leverage and financial stability in uncertain economic conditions.
These pros and cons were generated based on recent news and financial data from MarketBeat in order to provide readers with the fastest and most accurate insights. They were last updated on Sunday, July 7, 2024. Please send any questions or comments about these ServiceNow pros and cons to

NOW Stock Analysis - Frequently Asked Questions

How have NOW shares performed this year?

ServiceNow's stock was trading at $706.49 at the start of the year. Since then, NOW stock has increased by 8.5% and is now trading at $766.20.
View the best growth stocks for 2024 here

How were ServiceNow's earnings last quarter?

ServiceNow, Inc. (NYSE:NOW) issued its quarterly earnings results on Wednesday, April, 24th. The information technology services provider reported $1.82 EPS for the quarter, beating analysts' consensus estimates of $1.41 by $0.41. The information technology services provider had revenue of $2.60 billion for the quarter, compared to the consensus estimate of $2.59 billion. ServiceNow had a net margin of 20.34% and a trailing twelve-month return on equity of 13.59%.

What is Bill McDermott's approval rating as ServiceNow's CEO?

223 employees have rated ServiceNow Chief Executive Officer Bill McDermott on Bill McDermott has an approval rating of 98% among the company's employees. This puts Bill McDermott in the top 20% of approval ratings compared to other CEOs of publicly-traded companies.

Does ServiceNow have any subsidiaries?

ServiceNow subsidiaries include Element AI, Sweagle, Passage AI, Loom Systems, Fairchild Resiliency Systems, Appsee, FriendlyData, and more.

Who are ServiceNow's major shareholders?

ServiceNow's top institutional shareholders include DNB Asset Management AS (0.08%), Massmutual Trust Co. FSB ADV, Moody National Bank Trust Division and Neville Rodie & Shaw Inc.. Insiders that own company stock include Chirantan Jitendra Desai, William R Mcdermott, Christopher Bedi, Anita M Sands, Gina Mastantuono, Paul Edward Chamberlain, Jonathan Chadwick, Fay Sien Goon, Russell S Elmer, Nicholas Tzitzon, Paul John Smith, Susan L Bostrom, Jacqueline P Canney, Teresa Briggs, Lawrence Jackson, Frederic B Luddy, Lara Caimi, Jeffrey A Miller and Dennis Woodside.
View institutional ownership trends

How do I buy shares of ServiceNow?

Shares of NOW stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of ServiceNow own?

Based on aggregate information from My MarketBeat watchlists, some other companies that ServiceNow investors own include NVIDIA (NVDA), Salesforce (CRM), PayPal (PYPL), Netflix (NFLX), Alibaba Group (BABA), Tesla (TSLA) and Adobe (ADBE).

This page (NYSE:NOW) was last updated on 7/9/2024 by Staff

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