NOWServiceNow

Technology

$140.89-26% 1Y

$140.89

$83.0052 weeks$192.23

Is the price fair?

Fair

Neither cheap nor expensive: modest expectations priced in, but rich vs its sector.

1 good, 1 to watch, 1 neutral

What the price assumes~+7% a year

Priced for ~7% a year FCF growth. The price demands less than its three-year revenue growth of 22% a year, expectations look modest.

Vs its own P/E rangemid-range for this companyderived

In its normal range: P/E 87.8 vs a 107.9 median over 19 quarters (−19% vs median).

Vs sector (EV/EBIT)60.0×

Sector median 30.5× across 203 covered peers. EV/EBIT counts debt as part of the price, so a cash-rich and a borrowed company can be compared on the same footing.

Unless marked, from derived, as of Jun 30, 2026.

Against the whole market›

Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.

P/E (valuation)bottom 6% of the market

FCF yieldmiddle of the market

Where this answer is blind. The growth-implied estimate assumes a fixed discount rate; capital-heavy sectors look structurally rich on it.

What NOW's price assumes

ServiceNow trades at 87.8× earnings against 33.9× for the median Software - Application name, more expensive than its own group.

87.8

Trailing P/E · Software - Application median 33.9 · 2.59× the median: the market pays up for this one

Price / sales: 6.65
Price / sales · today's price, trailing year to Jun 30, 2026
Free cash flow yield: 4.7%
Free cash flow yield · Software - Application median 6.9%
Growth the price implies: +6.6%
Growth the price implies · The price pays for +6.6% free cash flow growth a year for a decade; the business has delivered +26% a year over the last three.

Details›

Price / booktoday's price, trailing year to Jun 30, 2026: 7.83
EV / EBITtoday's price, trailing year to Jun 30, 2026: 60.0
EV / salestoday's price, trailing year to Jun 30, 2026: 6.85
Technology median P/E459 names: 37.7
Software - Application median P/E126 names: 33.9
Free cash flow, trailing twelve months: $4.58B
Market capitalisation: $98.0B
3-year revenue growth: +22%
3-year free cash flow growth: +26%

What the market has paid for these earnings: 19 quarters of its own multiple × $1.60 of trailing earnings per share
Method	Per share
Its own P/E history, lower quartile	$132.61
Its own P/E history, median	$173.04
Its own P/E history, upper quartile	$221.96
52-week range	$83.00 – $192.23
Today	$140.89

Multiples from SEC filings and end-of-day closes; implied growth from a reverse discounted cash flow. Group medians across the names Ryufin tracks.

On our screens:Quality compounders Quality at a reasonable price R&D leaders

Software, Application

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