P/E Ratio
Higher than 57% of TECHNOLOGY sector peers
Updated 55h ago
Sector Performance
57th percentileNOW
58.5x
Sector Median
54.5x
Sector Avg
58.1x
Deep Analysis
The current P/E ratio of 58.5x means investors are paying $58.50 for every $1 of the company's earnings, often indicating the market expects strong future growth.
Among TECHNOLOGY sector peers, this P/E sits above the median of 54.5x, placing NOW in the 57th percentile — meaning it is more expensive than about 57% of its sector. The year-over-year and quarter-over-quarter changes are both listed as N/A, and no historical trend data is available beyond the single current value, so no direction can be assessed. With a premium valuation compared to the sector median and no trend to confirm momentum, the combination suggests elevated risk if earnings growth disappoints; any opportunity depends entirely on the company delivering above-average profit expansion. This metric supports the overall CAUTIOUS verdict — a P/E above the sector median implies the stock already prices in high expectations, leaving less room for error.
Frequently Asked Questions
What does the P/E Ratio tell investors about NOW?
Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.
How is the P/E Ratio calculated?
P/E Ratio is calculated as: Price / EPS.
How does NOW's P/E Ratio compare to its sector?
NOW's P/E Ratio of 58.5x compares to a TECHNOLOGY sector median of 54.5x, placing it in the 57th percentile.
Who are NOW's closest peers by P/E Ratio?
The closest TECHNOLOGY peers by P/E Ratio include: TXN (50.5x), CSCO (38.1x), LRCX (81.5x), MU (25.8x), ORCL (24.7x).
The Formula
Price / EPS
Why It Matters
Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.
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58.5x
Sector Median
54.5x
Sector Avg
58.1x
How NOW's P/E Ratio compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.