ServiceNowWBO:SNOW -5.50%82 FCF Margin % is 40.56% as of Mar. 2026, which is 35% above its 10-year median of 29.98. 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 2,815 Software companies, ServiceNow ranks better than 95.1% on this metric.
FCF Margin % is calculated as Free Cash Flow divided by its Revenue. ServiceNow's Free Cash Flow for the
three
months ended in Mar. 2026 was €1,323 Mil. ServiceNow's Revenue for the
three
months ended in Mar. 2026 was €3,261 Mil. Therefore, ServiceNow's FCF Margin % for the quarter that ended in Mar. 2026 was 40.56%.
The historical rank and industry rank for ServiceNow's FCF Margin % or its related term are showing as below:
WBO:SNOW'
s FCF Margin % Range Over the Past 10 Years
Min: 2.5 Med: 29.98 Max: 34.14
Current: 33.1
During the past 13 years, the highest FCF Margin % of ServiceNow was 34.14%. The lowest was 2.50%. And the median was 29.98%.
WBO:SNOW's FCF Margin % is ranked better than 95.1% of 2815
companies
in the Software industry
Industry Median: 2.41
vs WBO:SNOW: 33.10
ServiceNow FCF Margin % Related Terms
ServiceNow FCF Margin % Historical Data
* Premium members only.
The historical data trend for ServiceNow's FCF 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: FCF Margin % Comparison
For the Software - Application subindustry, ServiceNow's FCF Margin %, along with its competitors' market caps and FCF 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 FCF Margin % vs Software Industry
For the Software industry and Technology sector, ServiceNow's FCF Margin % distribution charts can be found below:
* The bar in red indicates where ServiceNow's FCF 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 FCF Margin % of 40.56% as of Mar. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on ServiceNow and its competitors. This is 35% above median its historical median of 29.98. Over the past decade, ServiceNow's FCF Margin % has ranged from 2.50 to 34.14. According to the industry distribution chart, ServiceNow ranks #138 out of 2815 companies in the Software industry, placing it in the top 4.9%.
Is ServiceNow's FCF Margin % too high?
ServiceNow's current FCF Margin % of 40.56% is 35% above median its 10-year median of 29.98. Over the past 10 years, this metric has ranged from a low of 2.50 to a high of 34.14. The Software industry median FCF Margin % is 2.41. ServiceNow's value of 40.56% is 1583% above this industry median. Based on the distribution chart, ServiceNow ranks #138 out of 2815 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 FCF Margin % compare to UBER and ADBE?
According to the Software industry distribution chart, ServiceNow ranks #138 out of 2815 companies for FCF Margin %. This places ServiceNow in the top 5% of its industry — outperforming the majority of peers. The industry median FCF Margin % is 2.41. ServiceNow's value of 40.56% is 1583% above this benchmark. Historically, ServiceNow's own FCF Margin % has ranged from 2.50 to 34.14 over the past decade. While the company's 10-year median is 29.98 vs. the industry median of 2.41, 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 FCF Margin % for a Software company?
The median FCF Margin % among Software companies is 2.41, based on 2,815 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. ServiceNow's current FCF Margin % of 40.56% is 1583% 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 FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on ServiceNow and its competitors. For the Software industry, the median FCF Margin % is 2.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ServiceNow's current FCF Margin % is 40.56%, which is 35% above median its own 10-year median of 29.98. 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 FCF Margin % is 40.56%, which is 35% above median its 10-year median of 29.98 and 1583% above the Software industry median of 2.41. 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 FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For ServiceNow (WBO:SNOW), the current FCF Margin % is 40.56% 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:
FCF Margin %: 40.56% (35% above median its 10-year median of 29.98)
GF Value™: €204.21 vs. price of €79.74 (61% below fair value)
Industry Position: 1583% above the Software median (#138 of 2815)
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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