Market Pulse44Neutral

ServiceNow, Inc.Opportunity Rank #63(NOW) Intrinsic Value & DCF Analysis (2026)

Sector: Technology

Current Price

$93.01

Last updated: Jun 23, 2026

Price vs Intrinsic Value

$93.01
Price
$157.90
Intrinsic Value
Undervalued by 70%MOS: $126.32

Fundamental Score

81/100
Bullish

Weighted across 6 signals

Narrative Score

73/100
Strong

No change vs previous

Trend Score

18/100
Weak

As of 2026-06-22

The intrinsic value of ServiceNow, Inc. (NOW) is estimated at $157.90 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $93.01, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 9.47% long-term growth rate and an 8.66% discount rate, reflecting expected future free cash flow and cost of capital.

The intrinsic value of ServiceNow, Inc. (NOW) is estimated at $157.90 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $93.01, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 9.47% long-term growth rate and an 8.66% discount rate, reflecting expected future free cash flow and cost of capital.

Valuation Details

$157.90
69.77% upside
20% margin of safety: $126.32
Years: 10Growth Rate: 9.47%
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Capital Efficiency

Average Quarterly ROIC
5.78%
Cost of Capital (estimated)9%
Value StatusUnderperforming Capital

The company is earning below its required return. This may indicate inefficient use of capital or excess cash that isn't being reinvested.

Complete historical ROIC is available with
.

Fundamental Details

81/100
BullishWeighted across 6 signals
DCF Discount
69.8% discount to price
100
FCF Yield
6.5% trailing FCF yield
100
ROIC vs WACC
ROIC 5.8% vs WACC 9.0% (0.6x)
32
Net Debt / FCF
Net cash position
100
Buybacks
Share count shrinking
80
FCF CAGR (5Y)
23.0% 5Y FCF CAGR
100
Strengths: DCF Discount, FCF Yield. Concerns: ROIC vs WACC.

Narrative Details

73/100
Strong
Vs 6-Month Baseline:Below Avg (34th pct)Weighted across 6 recent drivers
Trend: StableConfidence: 99%Updated: 3h ago
Sources: 241 (200 News · 41 Analyst)
Drivers(last 30 days)
170 news sentiment+1.9
26 regulatory scrutiny+0.4
Promotions/discounting-0.0
Earnings beat+0.0
2 upgrade headlines+0.0
Analyst downgrades-0.0

Trend Details

18/100
WeakAs of 2026-06-22308 daily bars used
Distance from 52-Week High-55.5%
6M Relative Strength vs SPY-51.4%
3M Relative Strength vs SPY-30.5%
Price vs 21 EMA6 · -10.2%
Price vs 50 EMA10 · -10.4%
21 EMA vs 50 EMA49 · -0.2%
3M RS vs SPY1 · -30.5%
6M RS vs SPY0 · -51.4%
Distance from 52W High0 · -55.5%

Investment Coach

Updating... 11d ago
BUYConfidence: 72%
Thesis
ServiceNow, Inc. is undervalued with an estimated fair value 54.2% above its current price, supported by strong fundamentals and a bullish score of 79. Despite trailing returns relative to its cost of capital, the company's free cash flow growth and buyback activity indicate potential for value appreciation.
Key Risk
The key risk is the company's returns on invested capital (ROIC) remaining below its weighted average cost of capital (WACC), which could pressure valuation and returns.
Signals To Watch
  • Monitor whether valuation discount remains above 10%.
  • Track ROIC vs WACC spread for sustained improvement.
  • Follow narrative trend for meaningful shifts in the score direction.
Ask the Coach - Available with
Historical Growth Rates
Free Cash Flow- - -Trend CAGR: 9.47%5 Year CAGR: 19.23%

Free Cash Flow (in millions)

TTM20252024202320222021202020192018201720162015201420132012201120102009
$6,241$6,312$5,119$4,092$3,273$2,590$2,219$1,574$1,060$800$288$404$193$137$91$46-$6$1

How Intrinziq Estimates Fair Value

Intrinziq estimates ServiceNow, Inc.'s intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.

ServiceNow, Inc.Technology

ServiceNow, Inc. specializes in delivering cloud-based solutions designed to streamline and automate critical business services for organizations across the globe. Its flagship "Now Platform" serves as the foundation, leveraging technologies such as workflow automation, artificial intelligence (AI), machine learning (ML), and robotic process automation (RPA). This platform also incorporates robust features like performance analytics, electronic service catalogs, configuration management systems, data benchmarking, encryption capabilities, and various collaboration and development tools. ServiceNow offers a comprehensive suite of applications built on this platform, catering to diverse enterprise needs. Key offerings include IT Service Management (ITSM), which streamlines support for employees, customers, and partners; IT Business Management (ITBM); IT Operations Management (ITOM), designed to integrate and manage both physical and cloud-based IT infrastructure; and IT Asset Management (ITAM) for automating asset lifecycles. Its Security Operations solution facilitates seamless integration between internal systems and third-party security tools. Beyond IT, the company provides solutions for Governance, Risk, and Compliance (GRC) to enhance organizational resilience, along with tools for Human Resources, Legal, and general workplace service delivery, including dedicated safe workplace applications. Other specialized applications cover Customer Service Management (CSM) and Field Service Management (FSM). To further extend functionality, ServiceNow offers App Engine for custom development and IntegrationHub to connect workflows across various applications. The company also provides a range of professional services, industry-specific solutions, and comprehensive customer support. ServiceNow's diverse client base spans critical sectors such as government, financial services, healthcare, telecommunications, manufacturing, and education, alongside various IT services, technology, oil and gas, and consumer product industries. The company reaches these customers through a combination of its direct sales force and a network of resale partners. Notably, a strategic alliance with Celonis assists clients in pinpointing and prioritizing business processes ripe for automation. Established in 2004 and headquartered in Santa Clara, California, the company originally operated as Service-now.com before rebranding to ServiceNow, Inc. in May 2012.