ServiceNow, Inc. (NOW) P/E Ratio History
Deep ValueTrading at 66.3x · 5th percentile of 5-year range · Significant discount to historical valuation · Data 2019–2026
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P/E Ratio Analysis
As of July 8, 2026, ServiceNow, Inc. (NOW) trades at a price-to-earnings ratio of 66.3x, with a stock price of $110.73 and trailing twelve-month earnings per share of $1.69.
The current P/E is 94% below its 5-year average of 1204.0x. Over the past five years, NOW's P/E has ranged from a low of 62.2x to a high of 3249.9x, placing the current valuation at the 5th percentile of its historical range.
Compared to the Technology sector median P/E of 29.6x, NOW trades at a 124% premium to its sector peers. The sector includes 359 companies with P/E ratios ranging from 0.0x to 197.0x.
The PEG ratio of 0.96 (P/E divided by 22% EPS growth) suggests the stock may be undervalued relative to its earnings growth. Peter Lynch popularized the rule that a PEG below 1.0 indicates an attractive entry point.
Relative to the broader market, NOW commands a significant premium over the S&P 500 median P/E of 25.9x. Investors should consider the company's growth prospects, competitive position, and earnings quality when evaluating whether the current valuation is justified.
For a comprehensive intrinsic value estimate using discounted cash flow analysis, see our NOW DCF Valuation Calculator →
Note: P/E ratio is just one valuation metric. It does not account for balance sheet strength, cash flow quality, or growth sustainability. Always conduct comprehensive due diligence before making investment decisions.
NOW Cross-Benchmark Valuation
How does the current P/E compare to sector peers and the broader market?
NOW P/E vs Peers
Work management and collaboration tools peers sorted by market cap
| Company | Market Cap | P/E Ratio | PEG Ratio | EPS Growth (1Y) |
|---|---|---|---|---|
| $139B | 21.7 | 1.78 | +23% | |
| $38B | 55.7 | - | +32% | |
| $77B | 20.6 | 1.41Best | +31% | |
| $45B | 40.6 | - | +2% | |
| $407B | 24.3 | 4.78 | +34% | |
| $4B | 37.5 | - | +261% | |
| $5B | 15.1Lowest | - | +287%Best | |
| $2B | 1495.8 | - | +101% | |
| $91B | 856.0 | - | -41% |
Lower P/E can signal a discount or weaker growth expectations; PEG adds growth context.
NOW Historical P/E Data (2019–2026)
Quarterly P/E ratios calculated from closing price and TTM EPS
| Quarter | Period End | Price | TTM EPS | P/E Ratio | vs Avg |
|---|---|---|---|---|---|
| FY2026 Q1 | - | $104.53 | $1.68 | 62.2x | -99% |
| FY2025 Q4 | Dec 31 2025 | $153.19 | $1.67 | 91.7x | -98% |
| FY2025 Q3 | - | $920.28 | $1.66 | 554.4x | -90% |
| FY2025 Q2 | Jun 30 2025 | $1028.08 | $1.59 | 646.6x | -88% |
| FY2025 Q1 | Mar 31 2025 | $796.14 | $1.47 | 540.9x | -90% |
| FY2024 Q4 | - | $1060.12 | $1.37 | 776.1x | -86% |
| FY2024 Q3 | Sep 30 2024 | $894.39 | $1.28 | 697.7x | -87% |
| FY2024 Q2 | Jun 30 2024 | $786.67 | $1.11 | 711.3x | -87% |
| FY2024 Q1 | Mar 31 2024 | $762.40 | $1.87 | 407.7x | -93% |
| FY2023 Q4 | Dec 31 2023 | $706.49 | $1.68 | 420.0x | -92% |
| FY2023 Q3 | Sep 30 2023 | $558.96 | $1.54 | 362.0x | -93% |
| FY2023 Q2 | Jun 30 2023 | $561.97 | $1.39 | 404.9x | -93% |
| FY2023 Q1 | Mar 31 2023 | $464.72 | $0.39 | 1186.4x | -79% |
| FY2022 Q4 | Dec 31 2022 | $388.27 | $0.32 | 1214.5x | -78% |
| FY2022 Q3 | Sep 30 2022 | $377.61 | $0.20 | 1910.0x | -66% |
| FY2022 Q2 | - | $475.52 | $0.18 | 2617.1x | -53% |
| FY2022 Q1 | - | $556.89 | $0.22 | 2531.3x | -54% |
| FY2021 Q4 | Dec 31 2021 | $649.11 | $0.23 | 2847.0x | -49% |
| FY2021 Q3 | - | $622.27 | $0.22 | 2849.2x | -49% |
| FY2021 Q2 | Jun 30 2021 | $549.55 | $0.17 | 3249.9x | -42% |
| FY2021 Q1 | Mar 31 2021 | $500.11 | $0.15 | 3309.8x | -40% |
| FY2020 Q4 | - | $550.43 | $0.12 | 4700.5x | -15% |
| FY2020 Q3 | Sep 30 2020 | $485.00 | $0.71 | 686.3x | -88% |
| FY2020 Q2 | - | $405.06 | $0.74 | 550.4x | -90% |
| FY2020 Q1 | - | $286.58 | $0.68 | 418.9x | -92% |
| FY2019 Q4 | - | $282.32 | $0.63 | 445.0x | -92% |
| FY2019 Q3 | Sep 30 2019 | $253.85 | $0.04 | 6973.9x | +26% |
| FY2019 Q2 | Jun 30 2019 | $274.57 | $0.00 | 114404.2x | +1959% |
Average P/E for displayed period: 5556.1x
Intrinsic Valuation
DCF models, multiple analysis, and analyst estimates.
Historical Returns
7+ years return with dividends reinvested.
DCA Calculator
See how regular investing compounds over time.
Peer Comparison
Compare growth, multiples, and margins vs sector.
NOW — Frequently Asked Questions
Quick answers to the most common questions about buying NOW stock.
What is NOW's P/E ratio?
ServiceNow, Inc. (NOW) trailing twelve-month P/E ratio is 66.3x, based on TTM diluted EPS of $1.69. The 5-year average P/E is 1204.0x and the historical range spans 62.2x to 3249.9x.
Is NOW stock overvalued or undervalued?
NOW trades at 66.3x P/E, below its 5-year average of 1204.0x. At the 5th percentile of its historical range (62.2x–3249.9x), the stock is priced at a discount to its own history.
Is NOW stock expensive?
No, NOW is not expensive on a historical basis. The current P/E of 66.3x is below the 5-year average of 1204.0x and sits at the 5th percentile of its valuation range.
What is NOW's historical P/E range?
Over the past 5 years, NOW's P/E ratio has ranged from 62.2x to 3249.9x, with a median of 711.3x and an average of 1204.0x. The current P/E of 66.3x places the stock at the 5th percentile of this range. Full historical data spans 2019–2026.
How does NOW's P/E compare to the S&P 500?
NOW trades at 66.3x P/E versus the S&P 500 median of 25.9x. The 156% premium to the market typically reflects higher expected earnings growth or quality.
How does NOW's valuation compare to Technology peers?
ServiceNow, Inc. P/E of 66.3x compares to the Technology sector median of 29.6x. The premium reflects expected growth above peers or stronger fundamentals. See the peer comparison table on this page for ticker-by-ticker P/E and PEG.
What is NOW's PEG ratio?
NOW PEG ratio is 0.96, based on a P/E of 66.3x and EPS growth of 21.9%. A PEG below 1.0 indicates the valuation is supported by the earnings growth rate — typically considered attractive.
What is NOW's earnings yield?
NOW earnings yield is 1.51%, the inverse of its 66.3x P/E ratio. Earnings yield represents the percentage of each dollar invested that the company earns. It can be compared directly to bond yields to assess relative attractiveness of stocks versus fixed income.