ServiceNow Valuation
4S0 Stock | EUR 984.60 0.20 0.02% |
At this time, the company appears to be overvalued. ServiceNow has a current Real Value of 846.53 per share. The regular price of the company is 984.6. Our model measures the value of ServiceNow from inspecting the company fundamentals such as Shares Outstanding of 203 M, return on equity of 0.0745, and Operating Margin of 0.05 % as well as reviewing its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that ServiceNow's price fluctuation is very steady at this time. Calculation of the real value of ServiceNow is based on 3 months time horizon. Increasing ServiceNow's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the ServiceNow stock is determined by what a typical buyer is willing to pay for full or partial control of ServiceNow. Since ServiceNow is currently traded on the exchange, buyers and sellers on that exchange determine the market value of ServiceNow Stock. However, ServiceNow's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. Historical | Market 984.6 | Real 846.53 | Hype 984.6 | Naive 914.28 |
The real value of ServiceNow Stock, also known as its intrinsic value, is the underlying worth of ServiceNow Company, which is reflected in its stock price. It is based on ServiceNow's financial performance, growth prospects, management team, or industry conditions. The intrinsic value of ServiceNow's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
Estimating the potential upside or downside of ServiceNow helps investors to forecast how ServiceNow stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of ServiceNow more accurately as focusing exclusively on ServiceNow's fundamentals will not take into account other important factors: ServiceNow Total Value Analysis
ServiceNow is presently estimated to have takeover price of 78.45 B with market capitalization of 84.21 B, debt of 1.49 B, and cash on hands of 3.46 B. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the ServiceNow fundamentals before making investing decisions based on enterprise value of the companyTakeover Price | Market Cap | Debt Obligations | Cash |
78.45 B | 84.21 B | 1.49 B | 3.46 B |
ServiceNow Investor Information
About 92.0% of the company shares are owned by institutions such as pension funds. The company has Price/Earnings To Growth (PEG) ratio of 1.5. ServiceNow had not issued any dividends in recent years. Based on the key measurements obtained from ServiceNow's financial statements, ServiceNow is not in a good financial situation at the moment. It has a very high risk of going through financial straits in March.ServiceNow Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. ServiceNow has an asset utilization ratio of 54.48 percent. This implies that the Company is making 0.54 for each dollar of assets. An increasing asset utilization means that ServiceNow is more efficient with each dollar of assets it utilizes for everyday operations.ServiceNow Ownership Allocation
ServiceNow shows a total of 203 Million outstanding shares. The majority of ServiceNow outstanding shares are owned by institutional holders. These institutional investors are usually referred to as non-private investors looking to take positions in ServiceNow to benefit from reduced commissions. Consequently, institutions are subject to a different set of regulations than regular investors in ServiceNow. Please pay attention to any change in the institutional holdings of ServiceNow as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company owns, if the real value of the company is less than the current market value, you may not be able to make money on it.ServiceNow Profitability Analysis
The company reported the revenue of 7.25 B. Net Income was 325 M with profit before overhead, payroll, taxes, and interest of 5.67 B.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates ServiceNow's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in ServiceNow and how it compares across the competition.
About ServiceNow Valuation
The stock valuation mechanism determines ServiceNow's current worth on a weekly basis. Our valuation model uses a comparative analysis of ServiceNow. We calculate exposure to ServiceNow's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of ServiceNow's related companies.ServiceNow, Inc. provides enterprise cloud computing solutions that defines, structures, consolidates, manages, and automates services for enterprises worldwide. The company was incorporated in 2004 and is headquartered in Santa Clara, California. SERVICENOW INC operates under SoftwareApplication classification in Germany and is traded on Frankfurt Stock Exchange. It employs 13096 people.
8 Steps to conduct ServiceNow's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates ServiceNow's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct ServiceNow's valuation analysis, follow these 8 steps:- Gather financial information: Obtain ServiceNow's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine ServiceNow's revenue streams: Identify ServiceNow's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research ServiceNow's industry and market trends, including the size of the market, growth rate, and competition.
- Establish ServiceNow's growth potential: Evaluate ServiceNow's management, business model, and growth potential.
- Determine ServiceNow's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate ServiceNow's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
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When running ServiceNow's price analysis, check to measure ServiceNow's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy ServiceNow is operating at the current time. Most of ServiceNow's value examination focuses on studying past and present price action to predict the probability of ServiceNow's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move ServiceNow's price. Additionally, you may evaluate how the addition of ServiceNow to your portfolios can decrease your overall portfolio volatility.
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