ServiceNow (NOWS) fair value: what the stock is really worth
As of Oct 2, 2026: fair value of ServiceNow C$3.06, price C$17.01, upside -82.0%, quality 64 out of 100. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 29, 2026.
How to read this chart
32‑month range C$10.69 – C$31.08 · fair‑value band C$2.14 – C$3.96 · the C$17.01 price screens above the C$3.06 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Sep 29, 2026.
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ServiceNow, Inc. provides cloud-based solution for digital workflows in the North America, Europe, the Middle East and Africa, Asia Pacific, and internationally. The company operates the Now platform, an AI platform for digital transformation machine learning, robotic process automation, process mining, analytics, and low-code/no-code development tools.
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ServiceNow, Inc. provides cloud-based solution for digital workflows in the North America, Europe, the Middle East and Africa, Asia Pacific, and internationally. The company operates the Now platform, an AI platform for digital transformation machine learning, robotic process automation, process mining, analytics, and low-code/no-code development tools. It also provides asset management, integrated risk management, IT service management, Operational Technology management, Security Operations, strategic portfolio management, IT operations management products; customer service management product; and field service management applications. In addition, the company offers human resources, legal, and workplace service delivery products; app engine product; automation engine; platform privacy and security product; and source-to-pay operations. Further, ServiceNow, Inc. develops and operates a mobile-enabled manufacturing application. It serves government, financial services, healthcare and life science, manufacturing, Public Sector, retail, IT services, technology, and Telecom sectors through service providers and resale partners. The company was formerly known as Service-now.com and changed its name to ServiceNow, Inc. in May 2012. ServiceNow, Inc. was founded in 2004 and is headquartered in Santa Clara, California.
Stock analysis
ServiceNow CDR (CAD Hedged) (NOWS) currently trades at C$17.01, while our model-based Fair Value estimate is C$3.06, 82.0% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the DCF Models group reads highest at a median of C$2.17 per share, and 0 of the 24 models we run sit above the C$17.01 price.
Bear case: the Economic Profit group reads lowest at C$0.4300, and 24 of the 24 models stay below the price. Evidence for this calculation is low.
Scenario range: C$2.14 (bear) to C$3.96 (bull), the price of C$17.01 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 64/100 (solid quality), in the Technology sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
ServiceNow CDR (CAD Hedged) reported revenue of $13.3B in FY2025 versus $7.2B in FY2022, a compound +22.4%/yr. Reported net income was $1.7B in FY2025, compounding +75.2%/yr from FY2022. FY2022 was a trough year, so the rate overstates the trend.
Key figures
Market cap C$713B (≈ $500B) · P/E ratio 425.3 · P/S ratio 56.0 · EPS (TTM) C$0.0400 · Net margin 13.2% · Return on equity 16.8% · Return on assets (EBIT) 5.2% · Operating margin 16.8%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 54 out of 100 (low confidence).
What moves the price
The share trades about 31% below its 52-week high and 59% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Technology peers we cover trades at −8% fair-value upside, at −82%, NOWS screens richer than that median.
Fair Value models
The price assumes far more growth than our models allow for, so the models scatter widely (C$0.2300 to C$4.02). Read the Fair Value as a cautious anchor, not a price target; the Growth Forecast section shows what the price assumes.
Bear C$2.14Fair Value C$3.06Bull C$3.96
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above is their evidence-weighted blend, not the output of a single model. Based on fiscal year 2025 figures (about 9 months old). Earnings retained since then (C$0.0302 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Evidence ⓘEvidence = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.100/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Revenue growth 1 year
+20.9%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+22.4%
’22
’23
’24
’25
What shareholders gained per year (last 3 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 3 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
+18.4%
Earnings growth per share plus dividend.
Earnings per share, growth per year+18.4%
Dividend (yield on the price)0.0%
Profit margin 2022 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.5% → 14%
Growth Forecast
Little optimism in the price
The price assumes less growth than the company has delivered so far and less than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
−32.1%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+14.6%
Yearly sales growth analysts expect, extended to five years.
After inflation (figures in USD, USA: IMF forecast 2.4% a year to 2030, 3.1% from 2016 to 2025) that is about −33.7% a year for the price and +11.9% for the forecasts.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Software - Application · 687 stocks
Beats the industry median on 6/10 measures
Overall it ranks above its industry peers.
Valuation
Quality Score64 · Above median
Fair Value upside−82.6% · Bottom 25%
Profitability
Return on equity (TTM)16.8% · Top 25%
Return on assets5.7% · Above median
Net margin (TTM)13.7% · Top 25%
Operating margin (TTM)16.8% · Top 25%
Growth and dividend
Revenue growth21.8% · Above median
Balance sheet
Debt / equity0.12× · Above median
Valuation Multiplesvs Software - Application median · lower = cheaper
P/E (TTM)425.3× · Priciest 25%
PEG4.76× · Priciest 25%
Strength profile in five axes (Snowflake)
This stockSector peers
VALUE (fair-value potential)0· sector 27
FUTURE (revenue growth)100· sector 41
PAST (return on equity)67· sector 15
HEALTH (low debt)94· sector 97
DIVIDEND (yield)0· sector 30
VALUE 0: the price sits above our fair-value range.
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
As of Sep 29, 2026, our model estimates a fair value of C$3.06 versus a price of C$17.01, about −82% upside (overvalued).
What is the fair value of NOWS?
Our model-based fair value for ServiceNow CDR (CAD Hedged) is C$3.06 (as of Sep 29, 2026), built from audited fundamentals. The current price: C$17.01.
What is the quality score of NOWS?
ServiceNow CDR (CAD Hedged) has a Quality Score of 64/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for ServiceNow (NOWS)?
Our model-based price target is the fair value of C$3.06 (as of Sep 29, 2026) from 24 valuation models. Cautious scenario C$2.14, optimistic scenario C$3.96. It is a calculation from audited fundamentals, not an analyst target.
What is the ServiceNow CDR (CAD Hedged) stock forecast for 2026?
Our models put fair value at C$3.06, about −82% upside versus a price of C$17.01 (overvalued). Cautious scenario C$2.14, optimistic scenario C$3.96. The calculation is refreshed regularly with new filings.
What is the revenue of ServiceNow (NOWS)?
ServiceNow CDR (CAD Hedged) reported trailing-twelve-month revenue of about $12.7B (latest available figure, as of Sep 29, 2026).
What growth is priced into ServiceNow (NOWS)?
For today's price to be fair in a discounted-cash-flow model, ServiceNow CDR (CAD Hedged) would have to grow free cash flow by -32.1 % per year for five years (discount rate 8.4 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 3 years revenue grew +22.4 % per year. As of Sep 29, 2026.
What discount rate (WACC) does the fair value of NOWS use?
Our models discount ServiceNow CDR (CAD Hedged) at 8.4 %: a base by market capitalisation (mega), damped by beta 0.97, country premium for Canada. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For ServiceNow CDR (CAD Hedged) that is -32.1 % per year a year over ten years, using the same discount rate (8.4 %) and the same formula as our fair value.
How much growth has ServiceNow (NOWS) delivered so far?
Over the past 3 years revenue at ServiceNow CDR (CAD Hedged) grew +22.4 % a year. The price currently implies -32.1 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of ServiceNow (NOWS) growing?
The median revenue growth in the sector is +15.2 % a year. That is the yardstick for the growth priced into ServiceNow CDR (CAD Hedged) (-32.1 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of ServiceNow (NOWS)?
The free-cash-flow yield on the price is 36.25 %: that much free cash flow ServiceNow CDR (CAD Hedged) produces per unit of market value. When it exceeds the discount rate of our models (8.4 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of ServiceNow (NOWS)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For ServiceNow CDR (CAD Hedged) it is C$3.06 per share (as of Sep 29, 2026), against a price of C$17.01. It is the blended result of 24 valuation models (cash flow, earnings, asset, dividend).
Is ServiceNow CDR (CAD Hedged) stock overvalued or undervalued in 2026?
As of Sep 29, 2026, NOWS trades above its calculated fair value: price C$17.01, fair value C$3.06, a gap of about −82% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of NOWS?
No. The price is what the market pays today (C$17.01); the fair value is what the company's own numbers justify (C$3.06). For ServiceNow CDR (CAD Hedged) the two are C$13.95 per share apart. That gap is exactly why we show both numbers side by side.
How much is ServiceNow CDR (CAD Hedged) worth?
The market values ServiceNow CDR (CAD Hedged) at about C$713B (market capitalisation, as of Sep 29, 2026). Per share that is C$17.01; our models calculate a fair value of C$3.06 per share.
What do the bullish and bearish scenarios say about NOWS?
Our models span a range for ServiceNow CDR (CAD Hedged): cautious scenario C$2.14, base C$3.06, optimistic C$3.96 per share (as of Sep 29, 2026, price C$17.01). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of NOWS?
ServiceNow CDR (CAD Hedged) trades at a price-to-earnings ratio of 425.3 (as of Sep 29, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of C$3.06 is built from several models across several years. Other multiples: PEG 4.8.
What is the PEG ratio of NOWS?
The PEG ratio of ServiceNow CDR (CAD Hedged) is 4.76 (P/E divided by earnings growth, as of Sep 29, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of ServiceNow (NOWS)?
Balance-sheet figures for ServiceNow CDR (CAD Hedged) (as of Sep 29, 2026): return on equity 16.8%, debt of 0.12 per unit of equity. They feed the Quality Score of 64/100, which measures business quality independently of the share price.
How far is NOWS from its 52-week high?
ServiceNow CDR (CAD Hedged) trades at C$17.01, about 31% below its 52-week high of C$24.65 and 59% above the low of C$10.69 (as of Oct 2, 2026). Distance from the high says nothing about value: that is what the fair value of C$3.06 is for.
Which stocks are comparable to ServiceNow CDR (CAD Hedged)?
From the same area (Technology) we also value SAP SE, Salesforce, Inc, Shopify Inc, Uber Technologies, Inc, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is ServiceNow CDR (CAD Hedged) stock attractive at the current price?
The data as of Sep 29, 2026: price C$17.01, calculated fair value C$3.06 (−82%), Quality Score 64/100, from 24 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of NOWS calculated?
We run ServiceNow CDR (CAD Hedged) through 24 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of C$3.06, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 14.5 % above its aggregate fair value. ServiceNow CDR (CAD Hedged) itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of ServiceNow (NOWS)?
The closing price on Oct 2, 2026 was C$17.01. Our model-based fair value is C$3.06, about −82% upside (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with ServiceNow CDR (CAD Hedged) right now?
The price sits above even our optimistic bull case (C$3.96). The favourable scenario is already priced in. The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution. Solid but not exceptional quality (64/100) and above fair value, neither a clear bargain nor a standout compounder. A fairly wide model range (C$2.14 to C$3.96) leaves room in how you read the outcome.
Key figures of ServiceNow CDR (CAD Hedged)
How large is the market capitalisation of ServiceNow (NOWS)?
The market capitalisation of ServiceNow CDR (CAD Hedged) is C$713B (≈ $500B). The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of ServiceNow (NOWS)?
The price-to-sales ratio of ServiceNow CDR (CAD Hedged) is 56.0 (P/E × margin). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of ServiceNow (NOWS)?
Earnings per share at ServiceNow CDR (CAD Hedged) are C$0.0400 (price ÷ EPS = P/E 425.3). Earnings per share over the last twelve months: total profit spread across every single share.
What is the net margin of ServiceNow (NOWS)?
The net margin of ServiceNow CDR (CAD Hedged) is 13.2% (fiscal year 2025). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of ServiceNow (NOWS)?
The return on equity (ROE) of ServiceNow CDR (CAD Hedged) is 16.8% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of ServiceNow (NOWS)?
On an EBIT basis the return on assets of ServiceNow CDR (CAD Hedged) is 5.2% (avg 4y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of ServiceNow (NOWS)?
The operating margin of ServiceNow CDR (CAD Hedged) is 16.8% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at ServiceNow (NOWS)?
Revenue at ServiceNow CDR (CAD Hedged) is growing +21.8% versus a year earlier (3y avg +22.4%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at ServiceNow (NOWS)?
Earnings per share at ServiceNow CDR (CAD Hedged) are growing +15.9% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does ServiceNow (NOWS) carry?
The net debt of ServiceNow CDR (CAD Hedged) is $16.0M (fiscal year 2022, ≈ 0.0 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Sep 29, 2026