In the latest close session, ServiceNow (NOW) was down 1.04% at $107.71. The stock fell short of the S&P 500, which registered a gain of 0.42% for the day. On the other hand, the Dow registered a gain of 0.29%, and the technology-centric Nasdaq increased by 0.29%.
The maker of software that automates companies' technology operations's stock has climbed by 5.59% in the past month, exceeding the Computer and Technology sector's gain of 0.85% and the S&P 500's gain of 2.2%.
Investors will be eagerly watching for the performance of ServiceNow in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on July 22, 2026. The company is predicted to post an EPS of $0.86, indicating a 4.88% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $3.92 billion, showing a 22% escalation compared to the year-ago quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $4.13 per share and a revenue of $16.18 billion, representing changes of +17.66% and +21.88%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for ServiceNow. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. ServiceNow currently has a Zacks Rank of #3 (Hold).
Looking at valuation, ServiceNow is presently trading at a Forward P/E ratio of 26.35. Its industry sports an average Forward P/E of 13.05, so one might conclude that ServiceNow is trading at a premium comparatively.
We can additionally observe that NOW currently boasts a PEG ratio of 1.02. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Computers - IT Services industry currently had an average PEG ratio of 1.02 as of yesterday's close.
The Computers - IT Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 102, putting it in the top 42% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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ServiceNow, Inc. (NOW): Free Stock Analysis Report
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