SERVICENOW INC (4S0.DE) Stock Fundamental Analysis

Europe Frankfurt Stock Exchange FRA:4S0 • US81762P1021

86.34 EUR
-4.41 (-4.86%)
Last: Feb 6, 2026, 07:00 PM
Fundamental Rating

6

Overall 4S0 gets a fundamental rating of 6 out of 10. We evaluated 4S0 against 115 industry peers in the Software industry. While 4S0 belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. 4S0 is not priced too expensively while it is growing strongly. Keep and eye on this one! This makes 4S0 very considerable for growth investing!


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

  • 4S0 had positive earnings in the past year.
  • 4S0 had a positive operating cash flow in the past year.
  • Each year in the past 5 years 4S0 has been profitable.
  • Each year in the past 5 years 4S0 had a positive operating cash flow.
4S0.DE Yearly Net Income VS EBIT VS OCF VS FCF4S0.DE Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B 2B 3B 4B 5B

1.2 Ratios

  • 4S0's Return On Assets of 6.71% is in line compared to the rest of the industry. 4S0 outperforms 59.13% of its industry peers.
  • 4S0 has a better Return On Equity (13.48%) than 61.74% of its industry peers.
  • With a decent Return On Invested Capital value of 9.33%, 4S0 is doing good in the industry, outperforming 70.43% of the companies in the same industry.
  • Measured over the past 3 years, the Average Return On Invested Capital for 4S0 is below the industry average of 13.06%.
  • The last Return On Invested Capital (9.33%) for 4S0 is above the 3 year average (8.15%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 6.71%
ROE 13.48%
ROIC 9.33%
ROA(3y)7.89%
ROA(5y)5.65%
ROE(3y)17%
ROE(5y)12.74%
ROIC(3y)8.15%
ROIC(5y)6.36%
4S0.DE Yearly ROA, ROE, ROIC4S0.DE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 -20 -40 -60 -80 -100

1.3 Margins

  • With a decent Profit Margin value of 13.16%, 4S0 is doing good in the industry, outperforming 61.74% of the companies in the same industry.
  • In the last couple of years the Profit Margin of 4S0 has grown nicely.
  • The Operating Margin of 4S0 (13.76%) is better than 69.57% of its industry peers.
  • In the last couple of years the Operating Margin of 4S0 has grown nicely.
  • The Gross Margin of 4S0 (77.56%) is better than 63.48% of its industry peers.
  • In the last couple of years the Gross Margin of 4S0 has remained more or less at the same level.
Industry RankSector Rank
OM 13.76%
PM (TTM) 13.16%
GM 77.56%
OM growth 3Y41.21%
OM growth 5Y25.68%
PM growth 3Y43.17%
PM growth 5Y38.09%
GM growth 3Y-0.3%
GM growth 5Y-0.14%
4S0.DE Yearly Profit, Operating, Gross Margins4S0.DE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 -20 40 60

5

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so 4S0 is destroying value.
  • Compared to 1 year ago, 4S0 has about the same amount of shares outstanding.
  • 4S0 has more shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, 4S0 has an improved debt to assets ratio.
4S0.DE Yearly Shares Outstanding4S0.DE Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B
4S0.DE Yearly Total Debt VS Total Assets4S0.DE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B 25B

2.2 Solvency

  • The Debt to FCF ratio of 4S0 is 0.33, which is an excellent value as it means it would take 4S0, only 0.33 years of fcf income to pay off all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 0.33, 4S0 belongs to the top of the industry, outperforming 87.83% of the companies in the same industry.
  • A Debt/Equity ratio of 0.12 indicates that 4S0 is not too dependend on debt financing.
  • 4S0 has a better Debt to Equity ratio (0.12) than 70.43% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.12
Debt/FCF 0.33
Altman-Z N/A
ROIC/WACC0.86
WACC10.89%
4S0.DE Yearly LT Debt VS Equity VS FCF4S0.DE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

2.3 Liquidity

  • A Current Ratio of 1.00 indicates that 4S0 should not have too much problems paying its short term obligations.
  • The Current ratio of 4S0 (1.00) is worse than 67.83% of its industry peers.
  • 4S0 has a Quick Ratio of 1.00. This is a normal value and indicates that 4S0 is financially healthy and should not expect problems in meeting its short term obligations.
  • 4S0 has a Quick ratio of 1.00. This is in the lower half of the industry: 4S0 underperforms 66.96% of its industry peers.
Industry RankSector Rank
Current Ratio 1
Quick Ratio 1
4S0.DE Yearly Current Assets VS Current Liabilites4S0.DE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

8

3. Growth

3.1 Past

  • 4S0 shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 25.99%, which is quite impressive.
  • Measured over the past years, 4S0 shows a very strong growth in Earnings Per Share. The EPS has been growing by 30.37% on average per year.
  • Looking at the last year, 4S0 shows a very strong growth in Revenue. The Revenue has grown by 20.88%.
  • The Revenue has been growing by 24.05% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)25.99%
EPS 3Y32.23%
EPS 5Y30.37%
EPS Q2Q%25.34%
Revenue 1Y (TTM)20.88%
Revenue growth 3Y22.38%
Revenue growth 5Y24.05%
Sales Q2Q%20.66%

3.2 Future

  • The Earnings Per Share is expected to grow by 16.42% on average over the next years. This is quite good.
  • 4S0 is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 17.38% yearly.
EPS Next Y17.51%
EPS Next 2Y18.71%
EPS Next 3Y97.87%
EPS Next 5Y16.42%
Revenue Next Year18.62%
Revenue Next 2Y18.61%
Revenue Next 3Y17.5%
Revenue Next 5Y17.38%

3.3 Evolution

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
  • The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4S0.DE Yearly Revenue VS Estimates4S0.DE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 10B 20B 30B 40B
4S0.DE Yearly EPS VS Estimates4S0.DE Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2 4 6 8 10

5

4. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 28.97, the valuation of 4S0 can be described as expensive.
  • The rest of the industry has a similar Price/Earnings ratio as 4S0.
  • The average S&P500 Price/Earnings ratio is at 27.92. 4S0 is around the same levels.
  • With a Price/Forward Earnings ratio of 24.70, 4S0 is valued on the expensive side.
  • 4S0's Price/Forward Earnings is on the same level as the industry average.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 27.78, 4S0 is valued at the same level.
Industry RankSector Rank
PE 28.97
Fwd PE 24.7
4S0.DE Price Earnings VS Forward Price Earnings4S0.DE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

  • 93.04% of the companies in the same industry are more expensive than 4S0, based on the Enterprise Value to EBITDA ratio.
  • 96.52% of the companies in the same industry are more expensive than 4S0, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 4.66
EV/EBITDA 5.79
4S0.DE Per share data4S0.DE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40 50

4.3 Compensation for Growth

  • The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • 4S0 has a very decent profitability rating, which may justify a higher PE ratio.
  • 4S0's earnings are expected to grow with 97.87% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.65
PEG (5Y)0.95
EPS Next 2Y18.71%
EPS Next 3Y97.87%

0

5. Dividend

5.1 Amount

  • 4S0 does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

SERVICENOW INC

FRA:4S0 (2/6/2026, 7:00:00 PM)

86.34

-4.41 (-4.86%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)01-28
Earnings (Next)04-21
Inst Owners90.36%
Inst Owner ChangeN/A
Ins Owners0.11%
Ins Owner ChangeN/A
Market Cap17.91B
Revenue(TTM)13.28B
Net Income(TTM)1.75B
Analysts83.53
Price Target173.86 (101.37%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.51%
Min EPS beat(2)3.17%
Max EPS beat(2)11.85%
EPS beat(4)4
Avg EPS beat(4)8.19%
Min EPS beat(4)3.17%
Max EPS beat(4)13.44%
EPS beat(8)7
Avg EPS beat(8)6.88%
EPS beat(12)11
Avg EPS beat(12)8.95%
EPS beat(16)15
Avg EPS beat(16)8.07%
Revenue beat(2)2
Avg Revenue beat(2)0.39%
Min Revenue beat(2)0.17%
Max Revenue beat(2)0.62%
Revenue beat(4)3
Avg Revenue beat(4)0.48%
Min Revenue beat(4)-0.87%
Max Revenue beat(4)2%
Revenue beat(8)4
Avg Revenue beat(8)0.16%
Revenue beat(12)6
Avg Revenue beat(12)0.11%
Revenue beat(16)7
Avg Revenue beat(16)-0.13%
PT rev (1m)-3.18%
PT rev (3m)-81.07%
EPS NQ rev (1m)0.39%
EPS NQ rev (3m)-79.81%
EPS NY rev (1m)0%
EPS NY rev (3m)-79.62%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.08%
Revenue NY rev (1m)0.18%
Revenue NY rev (3m)0.57%
Valuation
Industry RankSector Rank
PE 28.97
Fwd PE 24.7
P/S 1.59
P/FCF 4.66
P/OCF 3.88
P/B 1.63
P/tB 2.56
EV/EBITDA 5.79
EPS(TTM)2.98
EY3.45%
EPS(NY)3.5
Fwd EY4.05%
FCF(TTM)18.52
FCFY21.45%
OCF(TTM)22.24
OCFY25.76%
SpS54.24
BVpS52.96
TBVpS33.76
PEG (NY)1.65
PEG (5Y)0.95
Graham Number59.59
Profitability
Industry RankSector Rank
ROA 6.71%
ROE 13.48%
ROCE 11.72%
ROIC 9.33%
ROICexc 15.63%
ROICexgc 31.55%
OM 13.76%
PM (TTM) 13.16%
GM 77.56%
FCFM 34.14%
ROA(3y)7.89%
ROA(5y)5.65%
ROE(3y)17%
ROE(5y)12.74%
ROIC(3y)8.15%
ROIC(5y)6.36%
ROICexc(3y)14.94%
ROICexc(5y)12.45%
ROICexgc(3y)23.6%
ROICexgc(5y)19.82%
ROCE(3y)10.23%
ROCE(5y)7.99%
ROICexgc growth 3Y29.88%
ROICexgc growth 5Y24.4%
ROICexc growth 3Y18.65%
ROICexc growth 5Y13.29%
OM growth 3Y41.21%
OM growth 5Y25.68%
PM growth 3Y43.17%
PM growth 5Y38.09%
GM growth 3Y-0.3%
GM growth 5Y-0.14%
F-Score5
Asset Turnover0.51
Health
Industry RankSector Rank
Debt/Equity 0.12
Debt/FCF 0.33
Debt/EBITDA 0.58
Cap/Depr 123.44%
Cap/Sales 6.86%
Interest Coverage 250
Cash Conversion 212.24%
Profit Quality 259.33%
Current Ratio 1
Quick Ratio 1
Altman-Z N/A
F-Score5
WACC10.89%
ROIC/WACC0.86
Cap/Depr(3y)135.03%
Cap/Depr(5y)123.33%
Cap/Sales(3y)7.57%
Cap/Sales(5y)7.42%
Profit Quality(3y)217.46%
Profit Quality(5y)420.03%
High Growth Momentum
Growth
EPS 1Y (TTM)25.99%
EPS 3Y32.23%
EPS 5Y30.37%
EPS Q2Q%25.34%
EPS Next Y17.51%
EPS Next 2Y18.71%
EPS Next 3Y97.87%
EPS Next 5Y16.42%
Revenue 1Y (TTM)20.88%
Revenue growth 3Y22.38%
Revenue growth 5Y24.05%
Sales Q2Q%20.66%
Revenue Next Year18.62%
Revenue Next 2Y18.61%
Revenue Next 3Y17.5%
Revenue Next 5Y17.38%
EBIT growth 1Y33.94%
EBIT growth 3Y72.81%
EBIT growth 5Y55.91%
EBIT Next Year39.14%
EBIT Next 3Y22.86%
EBIT Next 5Y22.21%
FCF growth 1Y34.31%
FCF growth 3Y27.77%
FCF growth 5Y27.34%
OCF growth 1Y27.58%
OCF growth 3Y25.98%
OCF growth 5Y24.96%

SERVICENOW INC / 4S0.DE FAQ

What is the ChartMill fundamental rating of SERVICENOW INC (4S0.DE) stock?

ChartMill assigns a fundamental rating of 6 / 10 to 4S0.DE.


Can you provide the valuation status for SERVICENOW INC?

ChartMill assigns a valuation rating of 5 / 10 to SERVICENOW INC (4S0.DE). This can be considered as Fairly Valued.


Can you provide the profitability details for SERVICENOW INC?

SERVICENOW INC (4S0.DE) has a profitability rating of 7 / 10.


What is the expected EPS growth for SERVICENOW INC (4S0.DE) stock?

The Earnings per Share (EPS) of SERVICENOW INC (4S0.DE) is expected to grow by 17.51% in the next year.