ServiceNow
Market Cap
US$42.8b
Last Updated
2019/10/23 00:32 UTC
Data Sources
Company Financials +
Executive Summary
ServiceNow, Inc. provides enterprise cloud computing solutions that define, structure, manage, and automate services for enterprises worldwide.
Snowflake
Fundamentals
Exceptional growth potential with adequate balance sheet.
Similar Companies
Share Price & News
How has ServiceNow's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
-10.3%
NOW
-4.4%
US Software
0.07%
US Market
1 Year Return
34.2%
NOW
19.3%
US Software
8.9%
US Market
Return vs Industry: NOW exceeded the US Software industry which returned 19.3% over the past year.
Return vs Market: NOW exceeded the US Market which returned 8.9% over the past year.
Shareholder returns
| NOW | Industry | Market | |
|---|---|---|---|
| 7 Day | -10.3% | -4.4% | 0.07% |
| 30 Day | -14.5% | -4.4% | -0.3% |
| 90 Day | -20.1% | -9.3% | -1.6% |
| 1 Year | 34.2%34.2% | 21.1%19.3% | 11.3%8.9% |
| 3 Year | 189.4%189.4% | 108.2%99.8% | 46.3%36.8% |
| 5 Year | 251.1%251.1% | 157.9%139.3% | 62.1%44.3% |
Price Volatility Vs. Market
How volatile is ServiceNow's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Does ServiceNow, Inc.'s (NYSE:NOW) CEO Pay Matter?4 weeks ago | Simply Wall St
Calculating The Intrinsic Value Of ServiceNow, Inc. (NYSE:NOW)1 month ago | Simply Wall St
If You Had Bought ServiceNow (NYSE:NOW) Stock Five Years Ago, You Could Pocket A 321% Gain TodayValuation
Is ServiceNow undervalued compared to its fair value and its price relative to the market?
2.6%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: NOW ($228.34) is trading below our estimate of fair value ($234.35)
Significantly Below Fair Value: NOW is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: NOW is poor value based on its PE Ratio (14851.4x) compared to the Software industry average (45x).
PE vs Market: NOW is poor value based on its PE Ratio (14851.4x) compared to the US market (17.8x).
Price to Earnings Growth Ratio
PEG Ratio: NOW is poor value based on its PEG Ratio (222.8x)
Price to Book Ratio
PB vs Industry: NOW is overvalued based on its PB Ratio (33.9x) compared to the US Software industry average (5.3x).
Next Steps
Future Growth
How is ServiceNow forecast to perform in the next 1 to 3 years based on estimates from 34 analysts?
66.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NOW's forecast earnings growth (66.7% per year) is above the savings rate (2.7%).
Earnings vs Market: NOW's earnings (66.7% per year) are forecast to grow faster than the US market (14.5% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: NOW's revenue (22.1% per year) is forecast to grow faster than the US market (7.2% per year).
High Growth Revenue: NOW's revenue (22.1% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: NOW's Return on Equity is forecast to be high in 3 years time (36.9%)
Next Steps
Past Performance
How has ServiceNow performed over the past 5 years?
23.2%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: NOW has become profitable over the past 5 years, growing earnings by 23.2% per year.
Accelerating Growth: NOW has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: NOW has become profitable in the last year, making it difficult to compare its past year earnings growth to the Software industry (19.1%).
Return on Equity
High ROE: NOW's Return on Equity (0.2%) is considered low.
Return on Assets
ROA vs Industry: NOW's Return on Assets is below or equal to the Software industry average last year.
Return on Capital Employed
ROCE Improving: NOW is currently unprofitable, so its Return on Capital Employed is negative.
Next Steps
Financial Health
How is ServiceNow's financial position?
Financial Position Analysis
Short Term Liabilities: NOW's short term assets ($2.4B) exceeds its short term liabilities ($2.2B)
Long Term Liabilities: NOW's short term assets (2.4B) exceeds its long term liabilities (1.1B)
Debt to Equity History and Analysis
Debt Level: NOW's debt to equity ratio (53.8%) is considered high
Reducing Debt: NOW's debt to equity ratio has reduced from 107.7% to 53.8% over the past 5 years.
Debt Coverage: NOW's debt is well covered by operating cash flow (153.3%).
Interest Coverage: Insufficient data to determine if NOW's interest payments on its debt are well covered by EBIT.
Balance Sheet
Inventory Level: NOW has a low level of unsold assets or inventory.
Debt Coverage by Assets: NOW's debt is covered by short term assets (assets are 3.601420x debt).
Next Steps
Dividend
What is ServiceNow's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: Unable to evaluate NOW's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate NOW's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stable Dividend: Insufficient data to determine if NOW's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if NOW's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of NOW's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
What is the CEO of ServiceNow's salary, the management and board of directors tenure and is there insider trading?
2.8yrs
Average management tenure
CEO
John Donahoe (58yo)
2.5yrs
Tenure
US$16,682,644
Compensation
Mr. John J. Donahoe, II, has been the Chief Executive Officer and President of ServiceNow, Inc. since April 3, 2017. Mr. Donahoe has over 30 years of management experience. Mr. Donahoe served as the Chief ...
CEO Compensation Analysis
Compensation vs. Market: John's total compensation ($USD16.68M) is about average for companies of similar size in the US market ($USD11.18M).
Compensation vs Earnings: John's compensation has been consistent with company performance over the past year.
Management Age and Tenure
2.8yrs
Average Tenure
54yo
Average Age
Experienced Management: NOW's management team is considered experienced (2.8 years average tenure).
Board Age and Tenure
2.3yrs
Average Tenure
55yo
Average Age
Experienced Board: NOW's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.
Insider Trading
Insider Buying: NOW insiders have only sold shares in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Senior Key Executive Chief Talent Officer |
| Shares | 704 |
| Max Price | US$260.00 |
| Entity | Individual |
| Shares | 30,945 |
| Max Price | US$261.09 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 1,770 |
| Max Price | US$288.16 |
| Entity | Individual |
| Role | Senior Key Executive Chief Talent Officer |
| Shares | 704 |
| Max Price | US$266.96 |
| Entity | Individual |
| Shares | 25,899 |
| Max Price | US$280.87 |
| Entity | Individual |
| Shares | 29,553 |
| Max Price | US$237.88 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Director |
| Shares | 1,304 |
| Max Price | US$235.00 |
| Entity | Individual |
| Role | Lead Director Lead Independent Director |
| Shares | 7,397 |
| Max Price | US$220.25 |
| Entity | Individual |
| Shares | 39,827 |
| Max Price | US$181.67 |
| Entity | Individual |
| Role | Chief Executive Officer President |
| Shares | 15,560 |
| Max Price | US$161.52 |
Ownership Breakdown
Management Team
John Donahoe (58yo)
President
- Tenure: 2.5yrs
- Compensation: US$16.68m
Russ Elmer (54yo)
General Counsel & Secretary
- Tenure: 1.8yrs
Pat Wadors (54yo)
Chief Talent Officer
- Tenure: 0yrs
- Compensation: US$4.52m
David Schneider (51yo)
President of Global Customer Operations
- Tenure: 5.3yrs
- Compensation: US$7.33m
Alan Marks (56yo)
Chief Communications Officer
- Tenure: 2.8yrs
CJ Desai (48yo)
Chief Product Officer
- Tenure: 2.8yrs
- Compensation: US$7.42m
Dan Rogers
Chief Marketing Officer
- Tenure: 3.3yrs
Chris Bedi
Chief Information Officer
- Tenure: 4.8yrs
Fay Goon (41yo)
Principal Accounting Officer
- Tenure: 0.6yrs
Lisa Banks
Vice President of Investor Relations
- Tenure: 0yrs
Board Members
Jeff Miller (68yo)
Lead Independent Director
- Tenure: 2yrs
- Compensation: US$404.99k
Fred Luddy (64yo)
Chairman of the Board
- Tenure: 1.8yrs
- Compensation: US$350.38k
John Donahoe (58yo)
President
- Tenure: 2.5yrs
- Compensation: US$16.68m
Sue Bostrom (59yo)
Independent Director
- Tenure: 5.3yrs
- Compensation: US$386.99k
Jonathan Chadwick (53yo)
Independent Director
- Tenure: 3yrs
- Compensation: US$388.92k
Tamar Yehoshua (54yo)
Independent Director
- Tenure: 0.6yrs
Dennis Woodside (50yo)
Independent Director
- Tenure: 1.5yrs
- Compensation: US$411.44k
Anita Sands (43yo)
Independent Director
- Tenure: 5.3yrs
- Compensation: US$379.99k
Teresa Briggs
Independent Director
- Tenure: 0.6yrs
Paul Chamberlain (55yo)
Independent Director
- Tenure: 3yrs
- Compensation: US$379.99k
Company Information
ServiceNow, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: ServiceNow, Inc.
- Ticker: NOW
- Exchange: NYSE
- Founded: 2004
- Industry: Systems Software
- Sector: Software
- Market Cap: US$42.805b
- Shares outstanding: 187.46m
- Website: https://www.servicenow.com
Number of Employees
Location
- ServiceNow, Inc.
- 2225 Lawson Lane
- Santa Clara
- California
- 95054
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| NOW | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jun 2012 |
| 4S0 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jun 2012 |
| 0L5N | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Jun 2012 |
| NOWW * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Jun 2012 |
Biography
ServiceNow, Inc. provides enterprise cloud computing solutions that define, structure, manage, and automate services for enterprises worldwide. The company offers information technology (IT) service manage ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/23 00:32 |
| End of Day Share Price | 2019/10/22 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.