ServiceNow, Inc.

How has the stock done?

Change in closing price from the first day shown, or with Price the closing price itself. Prices: Yahoo Finance, to Nov 12, 2026. Dashed lines: the days the company released earnings (its SEC 8-K filings); EPS estimates: Yahoo Finance. The stock's move after a release runs from the last close before its day to the close the day after (or five days after), so a release before the open counts like one after the close.

Is the business growing?

In the fiscal year to Dec 2025, License and Service was 97% and Professional services and other was 3% of revenue.

In the fiscal year to Dec 2025, North America was 63% and EMEA was 26% of revenue.

Quarters: ServiceNow, Inc.'s SEC filings, named by the month they end. Fiscal years: ServiceNow, Inc.'s annual reports to the SEC.

How it makes money

Of every $100 in revenue, $13.2 ends up as net income. Net margin rose from 4.5% to 13.2% over the past 3 years.

Circled: Jun 2023 (net 48.6%, operating 5.4%). Net margin is usually less than 1 point above operating margin; in that quarter something below operating income (a tax charge or benefit, a gain or loss on investments, a write-down) moved it, not the business itself.

Each margin is that line of the income statement divided by revenue. Fiscal year: ServiceNow, Inc.'s annual reports to the SEC; quarters: SEC filings.

Growth and margins together

Rule of 40 score 51.3 (growth 20.5% + FCF margin 30.8%): strong, clears the 40 line. Stock pay is 15.1% of revenue; counted as a cost, it brings the FCF margin down to 15.7%.

ServiceNow trades at 7.0× revenue on 20.5% growth. SNOW grows fastest of its peers, 35.1%, and costs 19.4×.

Growth: revenue in the quarter ended Sep 2026 against the quarter ended Sep 2025. FCF margin: operating cash flow minus capex, over revenue, for the 4 quarters ended Sep 2026. From SEC filings.

Customers and suppliers

ServiceNow's latest annual report names none of its suppliers or customers, but one customer it does not name accounts for 11% of its revenue.

 

NOWServiceNow

Customers

Unnamed customer 11%

ServiceNow's 10-Q for the quarter to Sep 2026 gives one customer's share of its revenue: One Customer (12%).

From ServiceNow, Inc.'s 10-Q and 10-K filings (XBRL): each customer whose share of revenue a filing tags, under the filing's own label, so “Customer A” in one filing can be another company in the next; a later filing's figures for a period replace an earlier one's. Rings are fiscal years: a 10-K gives the year, not its fourth quarter.

Changes since the previous annual report (10-K filed Jan 30, 2025)

Accenture ACNNo longer named (was a partner)Amazon AMZNNo longer named (was a partner)Cognizant Technology Solutions CTSHNo longer named (was a partner)

DeloitteNo longer named (was a partner)

EEYNo longer named (was a partner)

KKPMGNo longer named (was a partner)

Microsoft MSFTNo longer named (was a partner)NVIDIA NVDANo longer named (was a partner)

Named in other companies’ filings

Cognizant Technology Solutions CTSHcalls it a partner · Enterprise platform servicesIBM IBMcalls it a partner · Makes technology complementary to client IT

Only the companies ServiceNow names in its 10-K filed Jan 29, 2026 (SEC). Named in other companies' filings: those whose own latest annual report or an 8-K since names ServiceNow. The supply chain joins the latest annual reports of the companies on it and the 8-Ks they filed since: a link shows when either side's report names the other, so it grows as more reports are read. Hover a name for the filing's own words. Customers it does not name are listed as the filing describes them.

Is it expensive?

EV/revenue of 7.0x, above the peer median of 5.6x.

EV/revenue above the peer median of 5.6x: pricier than its peers.

Compared on enterprise value (market cap plus debt minus cash) per $1 of revenue: for companies that reinvest what they earn or borrow to grow (software, AI data centers), P/E can mislead.

What analysts expect

The average analyst price target is $156, 55% above the current price; 90% of 49 analysts rate it a buy; earnings beat estimates in 2 of the last 4 quarters.

Buy or Strong Buy: 44 analysts (90%). Sell or Strong Sell: 2.

Over the past year the average of the analysts' latest price targets went from $232.82 to $154.43 (−34%), while NOW went from $169.94 to $100.66 (−41%). In the past three months targets were raised 23 times and cut 9 times. 2 upgrades and 2 downgrades over the year; the latest: Guggenheim moved it to Buy from Neutral on Jul 1, 2026.

The day after each of these reports the stock moved −11.4% (Dec 2025, beat); −15.3% (Mar 2026, in line); −9.9% (Jun 2026, beat); −29.1% (Sep 2026, missed).

For the quarter ending Dec 2026 (ServiceNow reports on Jan 27, 2027), analysts expect adjusted earnings of $1.07 a share, 17% more than the $0.92 of a year earlier, and revenue of $4.4B, up 22% on a year earlier. For the fiscal year ending Dec 2027, they expect adjusted earnings of $4.80 a share, 21% more than the year before's estimate of $3.95, and revenue of $19.3B, up 19% on the year before's estimate.

Targets, ratings and earnings estimates: Yahoo Finance. Rating and target changes: Yahoo Finance's list of upgrades and downgrades. The average target on each day is the average of every listed firm's latest target set in the 180 days before it, so it counts fewer analysts than the average target above, and the band is the middle half of those targets (a quarter of the firms are above it, a quarter below); a target set before a stock split is divided by the split. Expected figures: the average of the analysts' estimates (Yahoo Finance). Their EPS is adjusted, as analysts estimate it, so it is set against the adjusted EPS Yahoo reports for the same quarters, not the GAAP EPS of the growth and valuation sections; revenue against the SEC filings. No change is given against a quarter whose reported EPS was more than 50% off its own estimate (often a one-off gain or charge), nor against a year that counts one. Each estimate is pinned to its fiscal period by the report date or the period's end, and one that cannot be is left out.

Where the cash goes

Generated $4.8B in free cash flow over the year, of which $2.9B went back to shareholders (dividends plus buybacks), leaving $1.9B in the company.

Free cash flow: operating cash flow minus capital spending on property, plant and equipment, from SEC filings, for the last 4 quarters and by quarter.

Financial health

Current ratio 1.0, short-term debt is manageable; debt-to-equity 0.1, debt is very low and the balance sheet is solid.

Latest fiscal year balance sheet. Source: Yahoo Finance.

Who holds it

In the filings of 1 member of Congress and 10 funds whose copy leaves NOW out (on the exchange, not in the app yet): Polen Capital Management, Jia Investment Alliance, Stony Point Capital, Rob Bresnahan, Tiger Global Management, Fisher Asset Management and 5 more.

What did the funds Hunch tracks do?

Of the 83 funds whose 13F filings Hunch reads, 16 held NOW at the end of their latest quarter (for most, Q2 2026). Over that quarter 5 added shares, 9 cut, 1 bought new, 2 sold all and 1 held the same. The largest of them is Norges Bank, 12.46M shares worth $1.2B at Jun 30, 2026, 5.6% fewer than at Dec 31, 2025.

From the 13F filings of the 83 funds Hunch tracks, not of every institution: each fund's shares of NOW at its latest quarter end against the quarter before, as filed (long positions only, options left out), the quarter before put on the latest quarter's share count across a split. A fund files 45 days after its quarter ends, so some have a newer quarter than others. Value is at the quarter end. Norges Bank filed its 13F for Q1 2026 confidentially, with no holdings made public, so its row compares Q2 2026 with Q4 2025.

Are insiders buying or selling?

Officers and directors bought $3.0M and sold $9.0M of NOW on the open market in the 12 months to Nov 12, 2026. 60% of the sales were made under 10b5-1 plans, set up in advance. The largest was William R McDermott (Chairman & CEO; director), who bought $3.0M in 2 purchases.

From the Form 4s filed with the SEC about ServiceNow, Inc. (135 in the 12 months): purchases (code P) and sales (code S) on the open market by its officers and directors, at the price each filing gives (often an average of the day's trades). A sale is a 10b5-1 sale when its filing says it was made under such a plan, set up in advance. Not counted: 265 other transactions (grants, option exercises, shares withheld for tax and gifts). On the chart a price filed before a split is divided by the split's ratio, on today's share basis as the price line is; the table gives prices as filed.