ServiceNow (NOW)
NYSEInformation TechnologySoftware - ApplicationSnapshot 2026-11-04
$108.81-0.32%
Close 2026-11-04 · 1-day change
NYSEInformation TechnologySoftware - ApplicationSnapshot 2026-11-04
QuarterlyIQ Insights · NOW
How strong the business is — where it ranks within its sector on capital efficiency and cash generation, and how well management has been executing.
How this business ranks within information technology on a research-validated quality screen. As of 2026-11-04.
The screen ranks NOW against its sector on four durable signals: share dilution, return on capital, free-cash-flow yield, and FCF margin. Historically the highest-quality names tended toward better typical outcomes and fewer bad years over multi-year holds (strongest at three years, modest at one), and that pattern showed up even before the price moved. It characterizes business quality, not price direction.
Each leg is a sector-relative percentile (higher is better); 4 of 4 legs were available for this name. The composite is built from these four; the raw value follows each percentile for context.
A forward quality tilt, not a price prediction, and context for your own research rather than a recommendation. Not investment advice.
How management runs the business: capital, margins, balance sheet, and how reliably they guide and deliver.
Each factor is a parallel diagnostic with a clear read of what it shows and how names like it have historically fared. Never aggregated into a single score.
Operating income rose in 2 of the last 3 quarter-over-quarter moves. Historically, Information Technology names rated neutral grew net income 55% of the time over the next year (vs 56% for the rest of the cohort, n=8515).
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
A guidance track record builds as the company issues and delivers on guidance.
Priorities management has stated in recent disclosures, with status and evidence drawn from earnings calls, filings, and press releases.
“Our AI momentum continues to build, with AI net new ACV exceeding expectations and enabling us to raise our year-end target for the second time this year, from $1 billion at the start of the year to…
Stated in 5 of 8 supplied quarters. Management reported: ““Our AI momentum continues to build, with AI net new ACV exceeding expectations and enabling us to raise our year-end target for the second time this year, from $1 billion at the start of the year to $1.7 billion now.” “Importantly, we are capturing this significant opportunity with a capital-efficient model, reducing capex and raising our full-year free cash flow margin target by 100 basis points to 36 percent."” Revenue was $4.106 billion in 2026-Q3.
““Our AI momentum continues to build, with AI net new ACV exceeding expectations and enabling us to raise our year-end target for the second time this year, from $1 billion at the start of the year to…”
“Financial Analyst Day • ServiceNow hosted its annual Financial Analyst Day on May 4, where the company outlined long-term targets including $30 billion+ in subscription revenues, 30% of ACV to come f…”
““The early close of our Armis acquisition meaningfully expands our TAM and accelerates our subscription revenue growth trajectory.”
“Document ServiceNow Reports Third Quarter 2025 Financial Results; Board of Directors Authorizes Five-for-One Stock Split • ServiceNow exceeds guidance across all Q3 2025 topline growth and profitabil…”
““Now Assist continued to surpass net new ACV expectations, fueled by an increase in both deal volume and size quarter-over-quarter, putting us firmly on track to hit our $1 billion ACV target by 2026.”
Importantly, we are capturing this significant opportunity with a capital-efficient model, reducing capex and raising our full-year free cash flow margin target by 100 basis points to 36 percent."
Stated in 4 of 8 supplied quarters. Management reported: “Importantly, we are capturing this significant opportunity with a capital-efficient model, reducing capex and raising our full-year free cash flow margin target by 100 basis points to 36 percent."” “While we will see some near-term headwinds to margins as we integrate the business in FY 2026, strong AI efficiencies internally from Now on Now and our underlying platform leverage are expected to normalize our operating and free cash flow margin expansion trajectories in FY 2027.” Operating income was $385.000 million in 2026-Q3.
Investment • ServiceNow repurchased approximately 20.1 million shares of common stock during Q1, with the primary objective of managing the impact of dilution, including 18.5 million shares through i…
Stated in 4 of 8 supplied quarters. Management reported: “Investment • ServiceNow repurchased approximately 20.1 million shares of common stock during Q1, with the primary objective of managing the impact of dilution, including 18.5 million shares through its previously announced $2B accelerated share repurchase as well as another 1.6 million shares for $225 million through open market transactions.” “As of the end of the quarter, approximately $1.4 billion remained available for future share repurchases, and in January 2026, ServiceNow Board authorized an additional $5 billion under the share repurchase program.”
“The early close of our Armis acquisition meaningfully expands our TAM and accelerates our subscription revenue growth trajectory.
Stated in 3 of 8 supplied quarters. Management reported: ““The early close of our Armis acquisition meaningfully expands our TAM and accelerates our subscription revenue growth trajectory.” “The acquisition will accelerate ServiceNow’s roadmap to autonomous, proactive cybersecurity, and is expected to more than triple the company’s market opportunity for security and risk, which is a top priority for CEOs as they adopt AI.”
““The early close of our Armis acquisition meaningfully expands our TAM and accelerates our subscription revenue growth trajectory.”
Expand subscription revenue by developing AI-driven workflows and products and extending the ServiceNow platform across customer use cases.
Over the trailing year it converted 4.01x of net income into operating cash flow. Historically, Information Technology names rated robust grew net income 62% of the time over the next year (vs 51% for the rest of the cohort, n=3136).
Not enough signal yet.
Not enough signal to read sensitivity to the broad stock market, the US dollar, real (inflation-adjusted) rates, Fed net liquidity, long-term interest rates (low R² over the window).
17 material management or governance events in the past 24 months, led by capital-allocation actions. Historically, Information Technology names rated neutral grew net income 56% of the time over the next year (vs 55% for the rest of the cohort, n=8114).
Not investment advice. As of 2026-11-04.
“Importantly, we are capturing this significant opportunity with a capital-efficient model, reducing capex and raising our full-year free cash flow margin target by 100 basis points to 36 percent."”
“While we will see some near-term headwinds to margins as we integrate the business in FY 2026, strong AI efficiencies internally from Now on Now and our underlying platform leverage are expected to n…”
“Make no mistake, our strategy, complete with a disciplined focus on margin expansion, remains unchanged.”
“Document ServiceNow Reports Third Quarter 2025 Financial Results; Board of Directors Authorizes Five-for-One Stock Split • ServiceNow exceeds guidance across all Q3 2025 topline growth and profitabil…”
“Investment • ServiceNow repurchased approximately 20.1 million shares of common stock during Q1, with the primary objective of managing the impact of dilution, including 18.5 million shares through i…”
“As of the end of the quarter, approximately $1.4 billion remained available for future share repurchases, and in January 2026, ServiceNow Board authorized an additional $5 billion under the share rep…”
“• In Q3, ServiceNow repurchased approximately 644,000 shares of its common stock for $584 million as part of its share repurchase program (1) , with the primary objective of managing the impact of di…”
“Investment • Given ServiceNow’s strong cash position and its strategy of managing the impact of dilution, the Board of Directors authorized additional repurchases of up to $3 billion of common stock…”
“The acquisition will accelerate ServiceNow’s roadmap to autonomous, proactive cybersecurity, and is expected to more than triple the company’s market opportunity for security and risk, which is a top…”
“Partnerships and Acquisitions • ServiceNow continues to partner with leading companies to accelerate customers’ AI transformation, today announcing the latest expansions to its technology partner eco…”