Quality score · NOW · Technology

Is ServiceNow Inc. a quality business?

ServiceNow Inc. (NOW) scored on five pillars from its reported financial statements, and ranked against 260 Technology companies.

7.5/ 10
High quality
as of October 16, 2026
Profitability
5.3 Average
Solvency
9.4 Strong
Growth
9.3 Strong
Efficiency
7.8 Strong
Predictability
6.4 Average
Strongest pillar: Solvency · Weakest: Profitability

ServiceNow Inc. (NOW) scores 7.5 out of 10 as of , computed from its reported financial statements. That reads as high quality. The reading rests on solvency, and profitability is what holds it back.

Data provided by Twelve Data. Scores are computed by Lemma Analysis from reported financials.

Does ServiceNow Inc. have an economic moat?

Not enough data

We cannot judge ServiceNow Inc. yet, because fewer than five years had both a return on capital and a cost of capital we could measure. This is not a “no”.

Quantitative signs of a moat, read from the filed statements. This is not a judgement of where it comes from (brand, network effects, switching costs). How Lemma measures a moat →

How ServiceNow Inc. scores

ServiceNow Inc. (NOW) has a Lemma Quality Score of 7.5 out of 10 as of October 16, 2026, which reads as high quality. A high reading means most of the pillars are strong, with no serious weakness pulling the average down. Five pillars feed it, and every one of them is computed from what the company reported rather than from its share price.

Among the 260 Technology companies with a published score, that ranks at the 90th percentile, in the top tenth of its peers. The median across the group is 5.9, and the top quarter begins at 6.7, so ServiceNow Inc. is well above the typical company here.

Pillar by pillar

Profitability

ServiceNow Inc.’s profitability score is 5.3 out of 10 (average). Against a median of 4.6 among 252 Technology companies, that is above the group and the 59th percentile. An average profitability reading usually means the company earns a fair return without obvious pricing power, so the other pillars decide more of the story.

Solvency

ServiceNow Inc.’s solvency score is 9.4 out of 10 (strong). Against a median of 8.0 among 194 Technology companies, that is above the group and the 74th percentile. Strong solvency points to a balance sheet that can carry its debts comfortably, with interest well covered and little pressure from creditors.

Growth

ServiceNow Inc.’s growth score is 9.3 out of 10 (strong). Against a median of 6.4 among 207 Technology companies, that is well above the group and the 90th percentile. Growth at this level is valuable when it is sustained, and the predictability pillar is the place to check whether it has been steady.

Efficiency

On efficiency, ServiceNow Inc. scores 7.8, a strong reading. Its peers have a median of 7.1 across 240 Technology companies, which places it above them, at the 68th percentile. Efficiency at this level means the company needs comparatively little capital to produce what it sells.

Predictability

ServiceNow Inc.’s predictability score is 6.4 out of 10 (average). Against a median of 4.7 among 258 Technology companies, that is well above the group and the 85th percentile. Middling predictability suggests some volatility in the record, enough to read the other pillars with a little caution.

Strongest and weakest pillar

This is a lopsided profile. Solvency scores 9.4 but profitability only 5.3, a gap of 4.1 points, so the overall hides a business that is excellent in one respect and weak in another. A solvency lead means the balance sheet is the company’s strongest asset, a cushion that buys time when trading gets harder. A profitability shortfall is the one most worth understanding, since it bears directly on whether the business creates value.

What would move the score

Every scored pillar is at or above the median of Technology companies, so there is no catch-up left to lift the overall. The risk runs the other way: a one point fall in profitability, the heaviest of them, would take the score from 7.5 to about 7.3. All five pillars could be scored, so the overall uses the full set of weights out of 100: profitability 25, solvency 20, growth 20, efficiency 15, predictability 20.

ServiceNow Inc. and similar companies

These are the Technology companies closest to ServiceNow Inc. in market value. Each has its own page scored on the same five pillars, so the comparison is like for like.

What each pillar measures

Profitability

5.3 / 10

How much profit the company generates from its capital and sales.

Solvency

9.4 / 10

The company’s ability to service debt and meet its obligations.

Growth

9.3 / 10

How fast revenue, earnings and cash flow are compounding.

Efficiency

7.8 / 10

How well assets and earnings convert into cash and output.

Predictability

6.4 / 10

How stable and consistent results have been over time.

How this score is calculated

Each metric is scored from 0 to 10 against sector-aware benchmarks, where higher is better. Metrics roll up into five pillars, and the pillars combine into the overall score using the weights shown. Sector-sensitive metrics are judged relative to peers in the same sector.

Limitations

This score is a systematic, backward-looking read of reported fundamentals. It does not judge valuation, management quality, competitive moat, or future prospects, and can be distorted by one-off items or unusual accounting. Treat it as a starting point, not a recommendation.

Educational only. Not investment advice.

FAQ

Is ServiceNow Inc. a quality business?

On this reading ServiceNow Inc. scores 7.5 out of 10, which reads as high quality. Its strongest pillar is solvency, its weakest is profitability. Quality is not the same as a good investment: the score says nothing about the price you would pay.

How does ServiceNow Inc. compare with other Technology companies?

ServiceNow Inc. ranks at the 90th percentile of the 260 Technology companies Lemma publishes a score for. The median there is 5.9 and the top quarter starts at 6.7, against ServiceNow Inc.’s 7.5.

What does the NOW quality score measure?

Five pillars, each scored from 0 to 10 against sector-aware benchmarks and then weighted into one overall reading: profitability, solvency, growth, efficiency and predictability. Everything comes from reported financials, and nothing comes from price, sentiment or forecasts.

How current is this score?

This page last changed on October 16, 2026. The score moves with the financial statements, so the page changes when a new filing moves the reading rather than on a schedule. Live figures for NOW are in the app.

Does a high score mean the stock is cheap?

No. Quality and valuation are separate questions, and a good business at the wrong price is still a bad purchase. Score the business here, then price it with a DCF you control.

All quality scoresTechnology quality rankingTechnology screener

Score any company, not just these.

Inside Lemma Analysis the same five pillars run on every company we cover, with the metrics behind each one, current fundamentals, a DCF you control and a watchlist that tells you when the price catches up.

Free to start · No credit card