Explain this page
Arphra AIPlain-English read on ServiceNow, Inc.’s valuationRatios & metrics
Profitability, returns on capital, growth, and credit — all derived from the historical income statement, balance sheet, and cash flow rows in our data warehouse.
Valuation multiples
Price- and EV-based multiples plus shareholder yields. Snapshot at each fiscal year-end from key_metrics (FMP).
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Headline | |||||||||
| Market cap | — | — | — | $218.2B | $158.86B | — | — | — | — |
| Enterprise value | — | — | — | $218.18B | $158.34B | — | — | — | — |
| Multiples | |||||||||
| P / E | — | — | — | — | — | — | — | — | — |
| P / B | — | — | — | — | — | — | — | — | — |
| EV / EBITDA | — | — | — | — | — | — | — | — | — |
| EV / Sales | — | — | — | 19.86 | 11.92 | — | — | — | — |
| EV / FCF | — | — | — | 63.89 | 34.60 | — | — | — | — |
| Yields | |||||||||
| Earnings yield | — | — | — | +0.65% | +1.10% | — | — | — | — |
| Free cash flow yield | — | — | — | +1.57% | +2.88% | — | — | — | — |
| Dividend yield | — | — | — | — | — | — | — | — | — |
Profitability
Margin structure across the last 5 fiscal years
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Margins | |||||||||
| Gross margin | +77.05% | +78.29% | +78.59% | +79.18% | +77.53% | +78.13% | +78.00% | +78.61% | +79.19% |
| Operating margin | +4.36% | +4.90% | +8.49% | +12.42% | +13.74% | +11.25% | +11.28% | +11.26% | +11.26% |
| EBITDA margin | +12.36% | +10.60% | +17.77% | +20.27% | +22.59% | +19.99% | +19.70% | +20.54% | +19.94% |
| EBIT margin | +4.36% | +5.88% | +11.50% | +16.03% | +17.03% | +14.75% | +14.51% | +15.24% | +15.26% |
| Pre-tax margin | +4.22% | +5.51% | +11.24% | +15.82% | +17.03% | +14.78% | +14.93% | +14.33% | +14.72% |
| Net margin | +3.90% | +4.49% | +19.30% | +12.97% | +13.16% | +11.83% | +11.55% | +11.52% | +11.34% |
| Cost structure | |||||||||
| Cost of revenue / sales | +22.95% | +21.71% | +21.41% | +20.82% | +22.47% | +21.02% | +21.42% | +21.53% | +21.79% |
| R&D intensity | +23.69% | +24.40% | +23.68% | +23.15% | +22.29% | +22.87% | +22.84% | +23.62% | +23.50% |
| SG&A intensity | +49.00% | +48.99% | +46.42% | +43.61% | +41.50% | +44.41% | +42.56% | +42.99% | +43.66% |
| Effective tax rate | +7.63% | +18.55% | -71.73% | +18.01% | +22.69% | +20.50% | +20.52% | +21.34% | +20.44% |
Returns on capital
ROE / ROA / ROC / ROIC over the relevant capital base, plus the 3-step DuPont decomposition of ROE.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| Return on equity (ROE) | +6.22% | +6.46% | +22.69% | +14.83% | +13.48% | +13.18% | +12.54% | +12.95% | +12.33% |
| Return on assets (ROA) | +2.13% | +2.44% | +9.96% | +6.99% | +6.71% | +6.29% | +5.90% | +6.04% | +6.03% |
| Return on capital (ROC) | +4.35% | +4.89% | +7.69% | +11.47% | +11.28% | +9.98% | +9.74% | +10.07% | +9.72% |
| Return on invested capital (ROIC) | +3.89% | +4.47% | +17.46% | +11.99% | +10.81% | +10.49% | +9.97% | +10.31% | +9.80% |
| Asset turnover | +54.60% | +54.48% | +51.60% | +53.89% | +50.99% | +53.18% | +51.07% | +52.45% | +53.17% |
| DuPont · ROE decomposition | |||||||||
| Net margin | +3.90% | +4.49% | +19.30% | +12.97% | +13.16% | +11.83% | +11.55% | +11.52% | +11.34% |
| Asset turnover (× revenue / assets) | +54.60% | +54.48% | +51.60% | +53.89% | +50.99% | +53.18% | +51.07% | +52.45% | +53.17% |
| Equity multiplier (× assets / equity) | +292.23% | +264.29% | +227.94% | +212.12% | +200.85% | +209.55% | +212.58% | +214.29% | +204.49% |
Activity & efficiency
Turnover ratios and days-outstanding — how efficiently the business converts assets and working capital into sales and cash.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Turnover | |||||||||
| Asset turnover | 0.55 | 0.54 | 0.52 | 0.54 | 0.51 | 0.53 | 0.51 | 0.52 | 0.53 |
| Fixed-asset turnover | 4.34 | 4.18 | 4.33 | 4.47 | 4.29 | — | — | — | — |
| Inventory turnover | — | — | — | — | — | — | — | — | — |
| Receivables turnover | 4.24 | 4.20 | 4.41 | 4.90 | 5.05 | — | — | — | — |
| Payables turnover | 15.20 | 5.74 | 15.25 | 33.63 | 14.62 | — | — | — | — |
| Days outstanding | |||||||||
| Days sales outstanding (DSO) | 86.05 | 86.90 | 82.84 | 74.44 | 72.21 | — | — | — | — |
| Days inventory outstanding (DIO) | — | — | — | — | — | — | — | — | — |
| Days payables outstanding (DPO) | 24.01 | 63.58 | 23.94 | 10.85 | 24.96 | — | — | — | — |
| Cash conversion cycle | 62.04 | 23.33 | 58.90 | 63.58 | 47.25 | — | — | — | — |
Cash flow quality
How well reported earnings translate into operating and free cash flow, plus reinvestment intensity.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Operating CF / Net income | 9.53 | 8.38 | 1.96 | 2.99 | 3.11 | 3.32 | 3.35 | 3.31 | 3.49 |
| FCF / Net income | 7.79 | 6.69 | 1.56 | 2.40 | 2.62 | 2.70 | 2.68 | 2.69 | 2.79 |
| FCF margin | +30.39% | +29.99% | +30.14% | +31.09% | +34.46% | +31.96% | +30.99% | +31.00% | +31.69% |
| OCF margin | +37.16% | +37.58% | +37.88% | +38.85% | +41.00% | +39.24% | +38.75% | +38.09% | +39.58% |
| CapEx / Revenue | +6.77% | +7.59% | +7.74% | +7.76% | +6.54% | +7.27% | +7.55% | +7.18% | +7.49% |
| CapEx / D&A | 0.85 | 1.27 | 1.23 | 1.51 | 1.18 | — | — | — | — |
| Stock-based comp / Revenue | +19.18% | +19.34% | +17.88% | +15.90% | +14.72% | — | — | — | — |
Per-share & shareholder yield
EPS, book value, sales, cash flow and dividends per share — plus payout / retention.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| EPS · diluted | 0.23 | 0.32 | 1.68 | 1.37 | 1.67 | 4.15 | 5.06 | 6.20 | 7.22 |
| EPS · basic | 0.23 | 0.32 | 1.70 | 1.38 | 1.69 | 4.17 | 5.09 | 6.25 | 7.27 |
| Book value / share | 3.64 | 4.94 | 7.42 | 9.22 | 12.38 | 13.97 | 16.91 | 19.26 | 23.28 |
| Tangible BV / share | 2.59 | 3.91 | 6.01 | 7.80 | 7.89 | 13.97 | 16.91 | 19.26 | 23.28 |
| Sales / share | 5.80 | 7.12 | 8.73 | 10.54 | 12.68 | 15.57 | 18.36 | 21.64 | 25.32 |
| Operating CF / share | 2.16 | 2.68 | 3.31 | 4.09 | 5.20 | 6.11 | 7.11 | 8.24 | 10.02 |
| Free cash flow / share | 1.76 | 2.14 | 2.63 | 3.28 | 4.37 | 4.98 | 5.69 | 6.71 | 8.02 |
| Dividends / share | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Payout ratio | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
| Retention ratio | +100.00% | +100.00% | +100.00% | +100.00% | +100.00% | +100.00% | +100.00% | +100.00% | +100.00% |
Growth
Year-over-year change for headline P&L lines, plus through-cycle CAGR
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E | 8y CAGR |
|---|---|---|---|---|---|---|---|---|---|---|
| Top-line | ||||||||||
| Revenue · YoY | — | +22.88% | +23.82% | +22.44% | +20.88% | +22.00% | +18.52% | +18.81% | +15.69% | +20.60% |
| Gross profit · YoY | — | +24.85% | +24.29% | +23.36% | +18.37% | +22.93% | +18.31% | +19.74% | +16.54% | +21.01% |
| Profit | ||||||||||
| Operating income · YoY | — | +38.13% | +114.65% | +79.00% | +33.72% | -0.08% | +18.86% | +18.55% | +15.68% | +35.79% |
| EBITDA · YoY | — | +5.35% | +107.55% | +39.65% | +34.73% | +7.95% | +16.82% | +23.90% | +12.28% | +28.03% |
| Net income · YoY | — | +41.30% | +432.62% | -17.68% | +22.67% | +9.61% | +15.73% | +18.50% | +13.88% | +37.81% |
| Operating | ||||||||||
| EBIT · YoY | — | +65.76% | +142.25% | +70.64% | +28.39% | +5.66% | +16.57% | +24.86% | +15.84% | +41.06% |
| R&D · YoY | — | +26.56% | +20.14% | +19.73% | +16.40% | +25.16% | +18.39% | +22.86% | +15.09% | +20.48% |
| Per-share | ||||||||||
| EPS · diluted · YoY | — | +39.13% | +425.00% | -18.45% | +21.90% | +148.74% | +21.79% | +22.62% | +16.43% | +53.86% |
| EPS · basic · YoY | — | +39.13% | +431.25% | -18.82% | +22.46% | +146.57% | +22.05% | +22.90% | +16.29% | +53.98% |
Credit & leverage
Balance-sheet health + interest coverage + liquidity. Coverage ratios use period-end debt and trailing interest expense.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Leverage | |||||||||
| Total debt | $2.21B | $2.23B | $2.28B | $2.28B | $3.2B | $3.73B | $4.56B | $5.2B | $6.28B |
| Net debt | $486M | $762M | $387M | -$26M | -$523M | -$89.58M | -$12.87M | -$251.58M | -$8.34M |
| Net debt / EBITDA | 0.67 | 0.99 | 0.24 | -0.01 | -0.17 | -0.03 | -0.00 | -0.05 | -0.00 |
| Debt / equity | 0.60 | 0.44 | 0.30 | 0.24 | 0.25 | 0.26 | 0.26 | 0.26 | 0.26 |
| Debt / assets | +20.50% | +16.78% | +13.14% | +11.18% | +12.30% | +12.24% | +12.12% | +11.95% | +12.65% |
| Equity / assets | +34.22% | +37.84% | +43.87% | +47.14% | +49.79% | +47.72% | +47.04% | +46.67% | +48.90% |
| Coverage | |||||||||
| EBITDA / interest expense | 26.04 | 28.44 | 66.42 | 96.78 | — | 122.85 | 121.25 | 128.73 | 124.65 |
| Operating income / interest | 9.18 | 13.15 | 31.75 | 59.30 | — | 69.16 | 69.45 | 70.55 | 70.38 |
| Interest expense | $28M | $27M | $24M | $23M | $0 | $26.35M | $31.19M | $36.4M | $42.21M |
| Liquidity | |||||||||
| Current ratio | 1.05 | 1.11 | 1.06 | 1.10 | 0.95 | — | — | — | — |
| Quick ratio | 0.95 | 1.00 | 0.94 | 0.96 | 0.85 | — | — | — | — |
| Cash ratio | 0.35 | 0.24 | 0.26 | 0.28 | 0.36 | — | — | — | — |
| Working capital | $271M | $649M | $412M | $829M | -$562M | — | — | — | — |
| Working capital / revenue | +4.60% | +8.96% | +4.59% | +7.55% | -4.23% | — | — | — | — |
Sourced from key_metrics + financial_ratios (loaded by load_fundamentals_extended.py).
Valuation
| Metric | FY 2025 | FY 2024 |
|---|---|---|
| P / E | — | — |
| P / B | — | — |
| EV / EBITDA | — | — |
| EV / Sales | 11.92x | 19.86x |
| Earnings yield | 1.1% | 0.7% |
| FCF yield | 2.9% | 1.6% |
Returns
| Metric | FY 2025 | FY 2024 |
|---|---|---|
| Gross margin | — | — |
| Operating margin | — | — |
| Net margin | — | — |
| ROE | 13.5% | 14.8% |
| ROA | 6.7% | 7.0% |
| ROIC | 9.0% | 9.2% |
Leverage & liquidity
| Metric | FY 2025 | FY 2024 |
|---|---|---|
| Debt / equity | — | — |
| Net debt / EBITDA | -0.17 | -0.01 |
| Interest coverage | — | — |
| Current ratio | 0.95x | 1.10x |
| Quick ratio | — | — |
Methodology. ROE / ROA / ROC use period-end balance-sheet denominators (no average-of- period smoothing). ROIC = Operating Income × (1 − inferred effective tax rate) over invested capital, with the effective tax inferred from net-to-operating income when both are positive and a 25% default otherwise. Net debt / EBITDA, debt ratios, and interest-coverage ratios are calculated point-in-time at each fiscal year-end. TTM = trailing 4 quarters (income / cash flow summed, balance sheet = most-recent quarterly snapshot). Through-cycle CAGR in the Growth panel uses the geometric mean of first-to-last period growth across the window (positive values only).