Current Ratio
since 2012
Calculation
ServiceNow Inc., current ratio, long-term trends, calculation
| Current ratio | = | Current assets1 | ÷ | Current liabilities1 | |
|---|---|---|---|---|---|
| Dec 31, 2025 | 1.00 | = | 10,471) | ÷ | 10,443) |
| Dec 31, 2024 | 1.10 | = | 9,187) | ÷ | 8,358) |
| Dec 31, 2023 | 1.06 | = | 7,777) | ÷ | 7,365) |
| Dec 31, 2022 | 1.11 | = | 6,654) | ÷ | 6,005) |
| Dec 31, 2021 | 1.05 | = | 5,220) | ÷ | 4,949) |
| Dec 31, 2020 | 1.21 | = | 4,522) | ÷ | 3,737) |
| Dec 31, 2019 | 1.03 | = | 2,827) | ÷ | 2,753) |
| Dec 31, 2018 | 1.17 | = | 2,345) | ÷ | 2,013) |
| Dec 31, 2017 | 1.15 | = | 2,411) | ÷ | 2,101) |
| Dec 31, 2016 | 1.25 | = | 1,343) | ÷ | 1,071) |
| Dec 31, 2015 | 1.48 | = | 1,086) | ÷ | 732) |
| Dec 31, 2014 | 1.79 | = | 907) | ÷ | 507) |
| Dec 31, 2013 | 2.43 | = | 798) | ÷ | 328) |
| Dec 31, 2012 | 1.99 | = | 422) | ÷ | 212) |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).
1 US$ in millions
The current ratio exhibited a fluctuating pattern over the analyzed period, spanning from 2012 to 2025. Initially, the ratio demonstrated a period of relative strength, followed by a gradual decline and subsequent stabilization with minor variations.
- Initial Period (2012-2015)
- From 2012 to 2015, the current ratio experienced a decrease from 1.99 to 1.48. This indicates a diminishing ability to cover short-term liabilities with short-term assets during this timeframe. While remaining above 1.0, suggesting sufficient liquidity, the downward trend warrants attention.
- Period of Lowest Ratios (2016-2019)
- The period between 2016 and 2019 saw the current ratio reach its lowest points, bottoming out at 1.03 in 2019. The ratio fluctuated around the 1.1 to 1.2 range, indicating a consistently constrained level of liquidity. This suggests the company was increasingly reliant on efficient working capital management to meet its short-term obligations.
- Subsequent Stabilization (2020-2025)
- From 2020 onwards, the current ratio showed a degree of stabilization, oscillating between 1.00 and 1.21. A slight increase was observed in 2020 and 2021, followed by a minor decline in 2022 and 2023, before increasing again in 2024. The ratio concluded the period at 1.00 in 2025, mirroring the level observed in 2020. This suggests a consistent, albeit relatively low, level of short-term liquidity.
- Overall Trend
- Overall, the trend indicates a long-term decline in the current ratio from nearly 2.0 in 2012 to 1.0 in 2025. This suggests a shift in the company’s financial structure, potentially involving increased reliance on short-term financing or more aggressive working capital management. The consistent values around 1.0 in recent years suggest a deliberate management strategy or an inherent characteristic of the business model.
It is important to note that a current ratio of 1.0 is generally considered the minimum acceptable level, and sustained values near this threshold may indicate limited margin for error in meeting short-term obligations.
Comparison to Competitors
ServiceNow Inc., current ratio, long-term trends, comparison to competitors
| ServiceNow Inc. | Accenture PLC | Adobe Inc. | AppLovin Corp. | Cadence Design Systems Inc. | CrowdStrike Holdings Inc. | Datadog Inc. | International Business Machines Corp. | Intuit Inc. | Microsoft Corp. | Oracle Corp. | Palantir Technologies Inc. | Palo Alto Networks Inc. | Salesforce Inc. | Synopsys Inc. | Workday Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Dec 31, 2025 | 1.00 | 1.42 | 1.00 | — | — | 1.77 | — | — | 1.36 | 1.35 | 0.75 | — | 0.94 | 1.06 | 1.62 | 1.90 |
| Dec 31, 2024 | 1.10 | 1.10 | 1.07 | 2.19 | 2.93 | 1.76 | 2.64 | 1.04 | 1.29 | 1.27 | 0.72 | 5.96 | 0.89 | 1.09 | 2.44 | 1.97 |
| Dec 31, 2023 | 1.06 | 1.30 | 1.34 | 1.71 | 1.24 | 1.73 | 3.17 | 0.96 | 1.47 | 1.77 | 0.91 | 5.55 | 0.78 | 1.02 | 1.15 | 1.75 |
| Dec 31, 2022 | 1.11 | 1.23 | 1.11 | 3.35 | 1.27 | 1.83 | 3.09 | 0.92 | 1.39 | 1.78 | 1.62 | 5.17 | 0.77 | 1.05 | 1.09 | 1.03 |
| Dec 31, 2021 | 1.05 | 1.25 | 1.25 | 5.05 | 1.77 | 2.65 | 3.54 | 0.88 | 1.94 | 2.08 | 2.30 | 4.34 | 0.91 | 1.23 | 1.16 | 1.12 |
| Dec 31, 2020 | 1.21 | 1.40 | 1.48 | — | 1.86 | 2.38 | 5.77 | 0.98 | 2.26 | 2.52 | 3.03 | 3.74 | 1.91 | 1.08 | 1.19 | 1.04 |
| Dec 31, 2019 | 1.03 | 1.40 | 0.79 | — | 1.74 | — | 4.51 | 1.02 | 1.83 | 2.53 | 2.49 | — | 1.78 | 0.95 | 0.99 | 1.11 |
| Dec 31, 2018 | 1.17 | 1.34 | 1.13 | — | 1.34 | — | — | 1.29 | 1.14 | 2.90 | 3.96 | — | 1.93 | 0.92 | 0.73 | 1.92 |
| Dec 31, 2017 | 1.15 | 1.23 | 2.05 | — | 1.53 | — | — | 1.33 | 0.73 | 2.48 | 3.08 | — | 1.65 | 0.83 | 1.04 | 1.93 |
| Dec 31, 2016 | 1.25 | 1.35 | 2.08 | — | 1.20 | — | — | 1.21 | 0.72 | 2.35 | 3.74 | — | 2.03 | 0.77 | 1.00 | 2.56 |
| Dec 31, 2015 | 1.48 | 1.36 | 2.18 | — | 1.80 | — | — | 1.24 | 1.47 | 2.50 | 4.13 | — | 1.04 | 0.81 | 0.99 | 3.29 |
| Dec 31, 2014 | 1.79 | 1.46 | 1.85 | — | 1.33 | — | — | 1.25 | 1.84 | 2.50 | 3.35 | — | 2.75 | 0.67 | 1.09 | 4.80 |
| Dec 31, 2013 | 2.43 | 1.45 | 2.65 | — | 1.06 | — | — | 1.28 | 1.87 | 2.71 | 3.24 | — | 2.57 | 0.69 | 1.18 | 3.47 |
| Dec 31, 2012 | 1.99 | 1.55 | 3.41 | — | 1.14 | — | — | 1.13 | 1.20 | 2.60 | 2.60 | — | 3.13 | 0.72 | 0.91 | — |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).
Comparison to Sector (Software & Services)
ServiceNow Inc., current ratio, long-term trends, comparison to sector (software & services)
| ServiceNow Inc. | Software & Services | |
|---|---|---|
| Dec 31, 2025 | 1.00 | — |
| Dec 31, 2024 | 1.10 | 1.20 |
| Dec 31, 2023 | 1.06 | 1.40 |
| Dec 31, 2022 | 1.11 | 1.44 |
| Dec 31, 2021 | 1.05 | 1.69 |
| Dec 31, 2020 | 1.21 | 1.92 |
| Dec 31, 2019 | 1.03 | 1.84 |
| Dec 31, 2018 | 1.17 | 2.23 |
| Dec 31, 2017 | 1.15 | 2.06 |
| Dec 31, 2016 | 1.25 | 2.03 |
| Dec 31, 2015 | 1.48 | 2.15 |
| Dec 31, 2014 | 1.79 | 2.01 |
| Dec 31, 2013 | 2.43 | 2.04 |
| Dec 31, 2012 | 1.99 | 1.84 |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).
Comparison to Industry (Information Technology)
ServiceNow Inc., current ratio, long-term trends, comparison to industry (information technology)
| ServiceNow Inc. | Information Technology | |
|---|---|---|
| Dec 31, 2025 | 1.00 | — |
| Dec 31, 2024 | 1.10 | 1.24 |
| Dec 31, 2023 | 1.06 | 1.41 |
| Dec 31, 2022 | 1.11 | 1.37 |
| Dec 31, 2021 | 1.05 | 1.55 |
| Dec 31, 2020 | 1.21 | 1.71 |
| Dec 31, 2019 | 1.03 | 1.66 |
| Dec 31, 2018 | 1.17 | 1.88 |
| Dec 31, 2017 | 1.15 | 2.04 |
| Dec 31, 2016 | 1.25 | 2.01 |
| Dec 31, 2015 | 1.48 | 2.03 |
| Dec 31, 2014 | 1.79 | 1.97 |
| Dec 31, 2013 | 2.43 | 2.20 |
| Dec 31, 2012 | 1.99 | 2.07 |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).