ServiceNowWBO:SNOW -5.50%82 EBITDA Margin % is 24.85% as of Mar. 2026, which is 122% above its 10-year median of 11.18. GuruFocus rates WBO:SNOW with a GF Score™ of 82/100 and a GF Value™ of €204.21 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 2,820 Software companies, ServiceNow ranks better than 81.45% on this metric.
EBITDA Margin % is calculated as EBITDA divided by its Revenue. ServiceNow's EBITDA for the
three
months ended in Mar. 2026 was €811 Mil. ServiceNow's Revenue for the
three
months ended in Mar. 2026 was €3,261 Mil. Therefore, ServiceNow's EBITDA margin for the quarter that ended in Mar. 2026 was 24.85%.
ServiceNow (WBO:SNOW) EBITDA Margin % Explanation
EBITDA Margin % is the ratio of EBITDA divided by net sales or Revenue. It is an performance metric measuring company's operating profitability. EBITDA Margin takes depreciation and amortization, interest expense and tax into account, which makes it easy to compare the relative profitability of companies of different sizes in the same industry.
ServiceNow EBITDA Margin % Related Terms
ServiceNow EBITDA Margin % Historical Data
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The historical data trend for ServiceNow's EBITDA Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
WBO:SNOW vs UBER, ADBE, CDNS: EBITDA Margin % Comparison
For the Software - Application subindustry, ServiceNow's EBITDA Margin %, along with its competitors' market caps and EBITDA Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
ServiceNow EBITDA Margin % vs Software Industry
For the Software industry and Technology sector, ServiceNow's EBITDA Margin % distribution charts can be found below:
* The bar in red indicates where ServiceNow's EBITDA Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
ServiceNow (WBO:SNOW) has a EBITDA Margin % of 24.85% as of Mar. 2026. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on ServiceNow and its competitors. This is 122% above median its historical median of 11.18. According to the industry distribution chart, ServiceNow ranks #523 out of 2820 companies in the Software industry, placing it in the top 18.5%.
Is ServiceNow's EBITDA Margin % too high?
ServiceNow's current EBITDA Margin % of 24.85% is 122% above median its 10-year median of 11.18. The Software industry median EBITDA Margin % is 8.07. ServiceNow's value of 24.85% is 207.9% above this industry median. Based on the distribution chart, ServiceNow ranks #523 out of 2820 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, ServiceNow has a GF Score™ of 82/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does ServiceNow's EBITDA Margin % compare to UBER and ADBE?
According to the Software industry distribution chart, ServiceNow ranks #523 out of 2820 companies for EBITDA Margin %. This places ServiceNow in the top 19% of its industry — outperforming the majority of peers. The industry median EBITDA Margin % is 8.07. ServiceNow's value of 24.85% is 207.9% above this benchmark. While the company's 10-year median is 11.18 vs. the industry median of 8.07, ServiceNow has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBITDA Margin % for a Software company?
The median EBITDA Margin % among Software companies is 8.07, based on 2,820 companies in the industry. Companies in the top quartile (top 25%) have a EBITDA Margin % significantly above this median, while those in the bottom quartile fall well below. However, EBITDA Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. ServiceNow's current EBITDA Margin % of 24.85% is 207.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBITDA Margin % mean?
A high EBITDA Margin % can signal that a stock is expensive relative to its fundamentals. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on ServiceNow and its competitors. For the Software industry, the median EBITDA Margin % is 8.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ServiceNow's current EBITDA Margin % is 24.85%, which is 122% above median its own 10-year median of 11.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ServiceNow stock overvalued right now?
Based on GuruFocus' analysis, ServiceNow (WBO:SNOW) is currently considered Significantly Undervalued. The stock's GF Value™ is €204.21, compared to a current price of €79.74 — trading 61% below its estimated fair value. The current EBITDA Margin % is 24.85%, which is 122% above median its 10-year median of 11.18 and 207.9% above the Software industry median of 8.07. ServiceNow's overall GF Score™ is 82/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBITDA Margin % calculated?
EBITDA Margin % is calculated from a company's financial statements. For ServiceNow (WBO:SNOW), the current EBITDA Margin % is 24.85% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is ServiceNow (WBO:SNOW) Overvalued in 2026?
Based on GuruFocus' analysis, ServiceNow stock appears to be undervalued.
The current stock price of €79.74 is trading 61% below its estimated GF Value™ of €204.21.
GuruFocus considers ServiceNow to be Significantly Undervalued.
Key valuation signals for WBO:SNOW:
EBITDA Margin %: 24.85% (122% above median its 10-year median of 11.18)
GF Value™: €204.21 vs. price of €79.74 (61% below fair value)
Industry Position: 207.9% above the Software median (#523 of 2820)
No single metric tells the full story. See the WBO:SNOW stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
ServiceNow Inc provides software solutions to structure and automate various business processes via a SaaS delivery model. The company primarily focuses on the IT function for enterprise customers. ServiceNow began with IT service management, expanded within the IT function, and more recently directed its workflow automation logic to functional areas beyond IT, notably customer service, HR service delivery, and security operations. ServiceNow also offers an application development platform as a service.
82GF Score
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