$NOW Service Now is a mature business that is now trading at a historically low multiple. This should be trading at 20/30 x forward EV/EBITDA based on its sustained 20%+ growth rate + Share repurchases. Margins will likely keep going up, slowly, to 30% by 2030. 2028 @ 26% EBITDA margins = 5.72B EBITDA. 5.72 x 25 = 143 B EV / ~1B shares outstanding. $143 / share price target (Conservative) ------------------------------------------- 2028 @ 30% EBTIDA margins = 6.84B EBITDA 6.84B x 35 = 239B EV / ~1B shares outstanding. $239 / share price target (Bullish)
View on X ↗