NOWCAUTIOUS

P/E Ratio

58.5x

Higher than 57% of TECHNOLOGY sector peers

Updated 55h ago

Sector Performance

57th percentile

NOW

58.5x

Sector Median

54.5x

Sector Avg

58.1x

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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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NOW

58.5x

Sector Median

54.5x

Sector Avg

58.1x

How NOW's P/E Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.