Price to Earnings (P/E)
since 2012
Calculation
ServiceNow Inc., P/E, long-term trends, calculation
| P/E | = | Share price1, 2, 3 | ÷ | Earnings per share1 (EPS) | EPS1 | = | Net income (loss) attributable to common stockholders1 (in millions) | ÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Jan 30, 2025 | 146.40 | = | 1,012.75 | ÷ | 6.92 | 6.92 | = | 1,425 | ÷ | 206,000,000 | |
| Jan 25, 2024 | 90.80 | = | 766.69 | ÷ | 8.44 | 8.44 | = | 1,731 | ÷ | 205,000,000 | |
| Jan 31, 2023 | 284.28 | = | 455.13 | ÷ | 1.60 | 1.60 | = | 325 | ÷ | 203,000,000 | |
| Feb 3, 2022 | 487.70 | = | 560.85 | ÷ | 1.15 | 1.15 | = | 230 | ÷ | 200,000,000 | |
| Feb 12, 2021 | 978.47 | = | 591.29 | ÷ | 0.60 | 0.60 | = | 119 | ÷ | 196,100,000 | |
| Feb 20, 2020 | 106.89 | = | 352.94 | ÷ | 3.30 | 3.30 | = | 627 | ÷ | 189,800,000 | |
| Feb 27, 2019 | — | = | 240.31 | ÷ | -0.15 | -0.15 | = | -27 | ÷ | 180,500,000 | |
| Feb 28, 2018 | — | = | 161.01 | ÷ | -0.85 | -0.85 | = | -149 | ÷ | 174,700,000 | |
| Feb 28, 2017 | — | = | 86.92 | ÷ | -2.69 | -2.69 | = | -452 | ÷ | 168,000,000 | |
| Feb 25, 2016 | — | = | 54.16 | ÷ | -1.23 | -1.23 | = | -198 | ÷ | 161,400,000 | |
| Feb 27, 2015 | — | = | 76.26 | ÷ | -1.19 | -1.19 | = | -179 | ÷ | 150,500,000 | |
| Feb 28, 2014 | — | = | 68.06 | ÷ | -0.52 | -0.52 | = | -74 | ÷ | 141,100,000 | |
| Mar 8, 2013 | — | = | 36.66 | ÷ | -0.29 | -0.29 | = | -38 | ÷ | 131,900,000 |
Based on: 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$
2 Data adjusted for splits and stock dividends.
3 Closing price as at the filing date of ServiceNow Inc. Annual Report.
- Share Price Trends
- The share price exhibited a general upward trajectory over the analyzed period, rising from $36.66 in 2013 to $1012.75 projected for early 2025. Notable increases occurred between 2016 and 2021, where the price escalated from $54.16 to $591.29. Although a decline is observed in 2022 and 2023, with prices dropping to $560.85 and $455.13 respectively, a strong recovery is projected thereafter.
- Earnings Per Share (EPS) Trends
- EPS showed significant volatility and initial negative values, starting at -$0.29 in 2013 and generally becoming more negative until 2017, reaching a trough of -$2.69. Following this period, EPS improved steadily, turning positive in 2020 with $3.30 and peaking at $8.44 in 2024 before a slight decline is forecasted for 2025 at $6.92. This indicates a turnaround in profitability after several years of losses.
- Price-to-Earnings (P/E) Ratio Trends
- P/E ratio data is available only from 2020 onward, showing extremely high values initially (106.89 in 2020 and 978.47 in 2021), reflecting either elevated share prices or relatively low earnings. Subsequently, the ratio declines notably through 2024, reaching 90.8, before rising again to 146.4 in 2025. These high ratios suggest market expectations of future growth amid fluctuating earnings.
- Overall Insights
- The financial data indicate a company transitioning from periods of losses to profitability, with share prices reflecting optimistic market sentiment despite earnings volatility. The high and fluctuating P/E ratios imply that investors anticipate continued growth, although the disparity between share price and earnings at times suggests elevated valuation multiples. The recent rebound in share price and positive EPS projections underscore improved financial performance and market confidence.
Comparison to Competitors
ServiceNow Inc., P/E, long-term trends, comparison to competitors
| ServiceNow Inc. | Accenture PLC | Adobe Inc. | Cadence Design Systems Inc. | CrowdStrike Holdings Inc. | International Business Machines Corp. | Intuit Inc. | Microsoft Corp. | Oracle Corp. | Palantir Technologies Inc. | Palo Alto Networks Inc. | Salesforce Inc. | Synopsys Inc. | Workday Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Jan 30, 2025 | 146.40 | 31.07 | 31.98 | 67.09 | 892.67 | 39.68 | 58.94 | 35.67 | 37.63 | 632.38 | 42.42 | 71.24 | 33.69 | 50.53 |
| Jan 25, 2024 | 90.80 | 27.81 | 49.64 | 78.64 | — | 22.50 | 64.61 | 33.96 | 38.96 | 246.77 | 170.35 | 879.57 | 70.08 | — |
| Jan 31, 2023 | 284.28 | 22.93 | 33.15 | 59.70 | — | 71.56 | 57.31 | 28.34 | 26.85 | — | — | 135.68 | 51.76 | 1,957.29 |
| Feb 3, 2022 | 487.70 | 36.58 | 48.90 | 53.88 | — | 19.40 | 75.17 | 35.14 | 15.84 | — | — | 48.20 | 73.37 | — |
| Feb 12, 2021 | 978.47 | 28.32 | 41.69 | 62.89 | — | 19.30 | 49.52 | 35.04 | 16.69 | — | — | 1,204.70 | 55.92 | — |
| Feb 20, 2020 | 106.89 | 24.58 | 57.17 | 20.22 | — | 13.35 | 48.17 | 26.86 | 16.89 | — | — | 107.70 | 39.55 | — |
| Feb 27, 2019 | — | 24.10 | 46.11 | 46.59 | — | 14.25 | 46.88 | 50.00 | 45.90 | — | — | 731.11 | 29.60 | — |
| Feb 28, 2018 | — | 26.18 | 57.41 | 55.67 | — | 25.07 | 37.26 | 26.25 | 22.49 | — | — | 324.94 | 95.81 | — |
| Feb 28, 2017 | — | 18.07 | 46.80 | 40.53 | — | 14.29 | 29.60 | 26.08 | 18.53 | — | — | — | 33.71 | — |
| Feb 25, 2016 | — | 22.75 | 70.59 | 25.14 | — | 9.65 | 63.89 | 30.63 | 17.92 | — | — | — | 30.45 | — |
| Feb 27, 2015 | — | 17.46 | 132.73 | 34.03 | — | 13.55 | 26.44 | 16.11 | 16.33 | — | — | — | 25.00 | — |
| Feb 28, 2014 | — | 15.20 | 104.21 | 26.30 | — | 11.58 | 21.73 | 12.14 | 12.78 | — | — | — | 24.68 | — |
| Mar 8, 2013 | — | 17.95 | 22.73 | 9.11 | — | 13.37 | 22.37 | 14.40 | 13.61 | — | 6,057.94 | — | 26.53 | — |
Based on: 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., P/E, long-term trends, comparison to sector (software & services)
| ServiceNow Inc. | Software & Services | |
|---|---|---|
| Jan 30, 2025 | 146.40 | 41.52 |
| Jan 25, 2024 | 90.80 | 39.90 |
| Jan 31, 2023 | 284.28 | 34.39 |
| Feb 3, 2022 | 487.70 | 37.41 |
| Feb 12, 2021 | 978.47 | 38.26 |
| Feb 20, 2020 | 106.89 | 28.11 |
| Feb 27, 2019 | — | 43.31 |
| Feb 28, 2018 | — | 30.27 |
| Feb 28, 2017 | — | 23.96 |
| Feb 25, 2016 | — | 23.38 |
| Feb 27, 2015 | — | 18.36 |
| Feb 28, 2014 | — | 14.09 |
| Mar 8, 2013 | — | 14.97 |
Based on: 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., P/E, long-term trends, comparison to industry (information technology)
| ServiceNow Inc. | Information Technology | |
|---|---|---|
| Jan 30, 2025 | 146.40 | 44.83 |
| Jan 25, 2024 | 90.80 | 35.98 |
| Jan 31, 2023 | 284.28 | 26.85 |
| Feb 3, 2022 | 487.70 | 29.60 |
| Feb 12, 2021 | 978.47 | 31.13 |
| Feb 20, 2020 | 106.89 | 23.24 |
| Feb 27, 2019 | — | 23.21 |
| Feb 28, 2018 | — | 23.48 |
| Feb 28, 2017 | — | 19.51 |
| Feb 25, 2016 | — | 16.54 |
| Feb 27, 2015 | — | 17.13 |
| Feb 28, 2014 | — | 14.15 |
| Mar 8, 2013 | — | 14.38 |
Based on: 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).