ServiceNow (XSWX:NOW) OCF Margin %: 44.30% (As of Mar. 2026) — 19% Above Median

What is ServiceNow OCF Margin %?

ServiceNow XSWX:NOW 79 OCF Margin % is 44.30% as of Mar. 2026, which is 19% above its 10-year median of 37.37. GuruFocus rates XSWX:NOW with a GF Score™ of 79/100 and a GF Value™ of CHF184.17. The stock has 3 warning signs investors should review. Among 2,817 Software companies, ServiceNow ranks better than 94.36% on this metric.

OCF Margin % is calculated as Cash Flow from Operations divided by its Revenue. ServiceNow's Cash Flow from Operations for the three months ended in Mar. 2026 was CHF1,670.00 Mil. ServiceNow's Revenue for the three months ended in Mar. 2026 was CHF3,770.00 Mil. Therefore, ServiceNow's OCF Margin % for the quarter that ended in Mar. 2026 was 44.30%.

As of today, ServiceNow's current OCF Yield % is 4.96%.

The historical rank and industry rank for ServiceNow's OCF Margin % or its related term are showing as below:

During the past 13 years, the highest OCF Margin % of ServiceNow was 41.00%. The lowest was 11.44%. And the median was 37.37%.

XSWX:NOW's OCF Margin % is not ranked ^*
in the Software industry.
Industry Median: 6.82
* Ranked among companies with meaningful OCF Margin % only.

ServiceNow OCF Margin % Related Terms

ServiceNow OCF Margin % Historical Data

* Premium members only.

The historical data trend for ServiceNow's OCF 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.

ServiceNow OCF Margin % Chart

ServiceNow Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

OCF Margin %

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37.16

37.58

37.88

38.85

41.00

ServiceNow Quarterly Data
	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
OCF Margin %	Get a 7-Day Free Trial															54.31	22.27	23.86	62.72	44.30

79GF Score

ServiceNow Inc XSWX:NOW

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ServiceNow OCF Margin % Calculation

OCF Margin % is the ratio of Cash Flow from Operations divided by net sales or Revenue, usually presented in percent.

ServiceNow's OCF Margin for the fiscal year that ended in Dec. 2025 is calculated as

OCF Margin	=	Cash Flow from Operations (A: Dec. 2025 )	/	Revenue (A: Dec. 2025 )
	=	5444	/	13278
	=	41.00 %

ServiceNow's OCF Margin for the quarter that ended in Mar. 2026 is calculated as

OCF Margin	=	Cash Flow from Operations (Q: Mar. 2026 )	/	Revenue (Q: Mar. 2026 )
	=	1670	/	3770
	=	44.30 %

Frequently Asked Questions Learn more about OCF Margin % →

What does a OCF Margin % of 44.30% mean?

ServiceNow (XSWX:NOW) has a OCF Margin % of 44.30% as of Mar. 2026. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on ServiceNow and its competitors. This is 19% above median its historical median of 37.37. Over the past decade, ServiceNow's OCF Margin % has ranged from 11.44 to 41.00. According to the industry distribution chart, ServiceNow ranks #159 out of 2817 companies in the Software industry, placing it in the top 5.6%.

Is ServiceNow's OCF Margin % too high?

ServiceNow's current OCF Margin % of 44.30% is 19% above median its 10-year median of 37.37. Over the past 10 years, this metric has ranged from a low of 11.44 to a high of 41.00. The Software industry median OCF Margin % is 6.82. ServiceNow's value of 44.30% is 549.6% above this industry median. Based on the distribution chart, ServiceNow ranks #159 out of 2817 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, ServiceNow has a GF Score™ of 79/100, reflecting its overall financial health beyond just this single metric.

How does ServiceNow's OCF Margin % compare to ?

According to the Software industry distribution chart, ServiceNow ranks #159 out of 2817 companies for OCF Margin %. This places ServiceNow in the top 6% of its industry — outperforming the majority of peers. The industry median OCF Margin % is 6.82. ServiceNow's value of 44.30% is 549.6% above this benchmark. Historically, ServiceNow's own OCF Margin % has ranged from 11.44 to 41.00 over the past decade. While the company's 10-year median is 37.37 vs. the industry median of 6.82, 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 OCF Margin % for a Software company?

The median OCF Margin % among Software companies is 6.82, based on 2,817 companies in the industry. Companies in the top quartile (top 25%) have a OCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, OCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. ServiceNow's current OCF Margin % of 44.30% is 549.6% 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 OCF Margin % mean?

A high OCF Margin % can signal that a stock is expensive relative to its fundamentals. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on ServiceNow and its competitors. For the Software industry, the median OCF Margin % is 6.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ServiceNow's current OCF Margin % is 44.30%, which is 19% above median its own 10-year median of 37.37. 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?

ServiceNow (XSWX:NOW) has a current OCF Margin % of 44.30%. The stock's GF Value™ is CHF184.17, compared to a current price of CHF84.54 — trading 54.1% below its estimated fair value. The current OCF Margin % is 44.30%, which is 19% above median its 10-year median of 37.37 and 549.6% above the Software industry median of 6.82. ServiceNow's overall GF Score™ is 79/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.

How is OCF Margin % calculated?

OCF Margin % is calculated from a company's financial statements. For ServiceNow (XSWX:NOW), the current OCF Margin % is 44.30% 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 (XSWX:NOW) Overvalued in 2026?

Based on GuruFocus' analysis, ServiceNow stock appears to be undervalued. The current stock price of CHF84.54 is trading 54.1% below its estimated GF Value™ of CHF184.17.

Key valuation signals for XSWX:NOW:

OCF Margin %: 44.30% (19% above median its 10-year median of 37.37)
GF Value™: CHF184.17 vs. price of CHF84.54 (54.1% below fair value)
GF Score™: 79/100 with 3 warning signs
Industry Position: 549.6% above the Software median (#159 of 2817)

No single metric tells the full story. See the XSWX:NOW stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

ServiceNow Business Description

Industry Technology Software

Comparable Companies

Other Exchanges NOW:USA NOW19:Thailand NOWW:Mexico 1NOW:Italy 4S0d:UK 0L5N:UK 4S0:Germany NOWS:Canada N1OW34:Brazil SNOW:Austria

Address 2225 Lawson Lane, Santa Clara, CA, USA, 95054

Website https://www.servicenow.com

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.

79GF Score

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CHF84.54

Price

CHF184.17

GF Value

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