Should you consider NYSE:NOW for growth investing?

Growth investors are looking for stocks showing high revenue and EPS growth. We will have a look here to see if SERVICENOW INC (NYSE:NOW) is suited for growth investing. Investors should of couse do their own research, but we spotted SERVICENOW INC showing up in our Louis Navellier growth screen, so it may be worth spending some more time on it.

Why NYSE:NOW may be interesting for growth investors.

• In terms of Return on Equity(ROE), SERVICENOW INC is performing well, achieving a 20.56% ratio. This highlights the company's effective allocation of shareholder investments and signifies its commitment to maximizing returns.
• With a track record of beating EPS estimates in the last 4 quarters, SERVICENOW INC showcases its consistent ability to deliver earnings surprises. This reflects the company's strong execution and its competitive position in the market.
• SERVICENOW INC has demonstrated strong 1-year revenue growth of 21.47%, reflecting revenue momentum and its ability to generate consistent top-line expansion. This growth underscores the company's strong market position and its potential for future success.
• SERVICENOW INC has experienced 22.72% q2q revenue growth, indicating a significant sales increase.
• With positive growth in its operating margin over the past year, SERVICENOW INC showcases its ability to improve profitability through effective cost control and operational efficiency. This growth underscores the company's commitment to enhancing its financial performance.
• SERVICENOW INC has experienced notable growth in its free cash flow (FCF) over the past year, signaling improved cash generation and strong financial performance. This growth suggests the company's ability to generate excess cash for reinvestment or shareholder returns.
• In the most recent financial report, SERVICENOW INC reported a 46.3% increase in quarterly earnings compared to the previous quarter. This notable growth indicates positive momentum in the company's financials, suggesting an upward trend
• Analysts' average next Quarter EPS Estimate for SERVICENOW INC has witnessed a 4.32% change in the last 3 months, underscoring the dynamic nature of market sentiment towards the company's EPS prospects.
• In the most recent financial report, SERVICENOW INC reported a 46.3% increase in quarterly earnings compared to the previous quarter. This notable growth indicates positive momentum in the company's financials, suggesting an upward trend
• accelerating EPS growth for SERVICENOW INC: the current Q2Q growth of 46.3% exceeds the previous year Q2Q growth of 14.08%.

Fundamental Analysis Observations

Every day ChartMill assigns a Fundamental Rating to every stock. The score ranges from 0 to 10 and is determined by evaluating multiple fundamental indicators and properties.

Overall NOW gets a fundamental rating of 6 out of 10. We evaluated NOW against 287 industry peers in the Software industry. While NOW has a great profitability rating, there are some minor concerns on its financial health. NOW is growing strongly while it is still valued neutral. This is a good combination! These ratings could make NOW a good candidate for growth investing.

For an up to date full fundamental analysis you can check the fundamental report of NOW

Our Lois Navellier screen will find you more ideas suited for growth investing.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.