Why is ServiceNow, Inc. ?
1
Company has a low Debt to Equity ratio (avg) at times
2
Healthy long term growth as Net Sales has grown by an annual rate of 24.98% and Operating profit at 52.14%
3
The company has declared Positive results for the last 3 consecutive quarters
- OPERATING CASH FLOW(Y) Highest at USD 4,699 MM
- NET SALES(Q) Highest at USD 3,215 MM
- RAW MATERIAL COST(Y) Fallen by 1.94% (YoY)
How much should you hold?
- Overall Portfolio exposure to ServiceNow, Inc. should be less than 10%
- Overall Portfolio exposure to Software Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Software Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is ServiceNow, Inc. for you?
Medium Risk, Medium Return
Absolute
Risk Adjusted
Volatility
ServiceNow, Inc.
-33.51%
0.57
39.00%
S&P 500
14.9%
0.70
20.15%
Quality key factors
Factor
Value
Sales Growth (5y)
24.05%
EBIT Growth (5y)
57.82%
EBIT to Interest (avg)
27.36
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.49
Sales to Capital Employed (avg)
0.97
Tax Ratio
17.67%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
89.67%
ROCE (avg)
20.64%
ROE (avg)
11.50%
Valuation Key Factors 
Factor
Value
P/E Ratio
65
Industry P/E
Price to Book Value
9.27
EV to EBIT
59.31
EV to EBITDA
44.38
EV to Capital Employed
13.95
EV to Sales
8.70
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
23.52%
ROE (Latest)
14.19%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
Bullish
Bollinger Bands
Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Movement
9What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 5,444 MM
NET SALES(Q)
Highest at USD 3,568 MM
INTEREST COVERAGE RATIO(Q)
Highest at 15,000
CASH AND EQV(HY)
Highest at USD 11,710 MM
OPERATING PROFIT(Q)
Highest at USD 750 MM
-1What is not working for the Company
DEBT-EQUITY RATIO
(HY)
Highest at -29.98 %
Here's what is working for ServiceNow, Inc.
Operating Cash Flow
Highest at USD 5,444 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Net Sales
Highest at USD 3,568 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (USD MM)
Interest Coverage Ratio
Highest at 15,000
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Operating Profit
Highest at USD 750 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Cash and Eqv
Highest at USD 11,710 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Depreciation
Highest at USD 184 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (USD MM)
Here's what is not working for ServiceNow, Inc.
Debt-Equity Ratio
Highest at -29.98 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio






