Discontinued — last reported Q1 '19

Operating Expenses

Stock-based compensation expense

ServiceNow Stock-based compensation expense remained flat by 0.0% to $488.75M in Q4 2025 compared to the prior quarter. Year-over-year, this metric grew by 12.0%, from $436.50M to $488.75M. Over 2 years (FY 2023 to FY 2025), Stock-based compensation expense shows an upward trend with a 10.4% CAGR. This increase may warrant attention — for this metric, lower values are generally preferred.

Analysis

StatementIncome Statement
SectionOperating Expenses
CategoryProfitability
SignalLower is better
VolatilityModerate
First reportedQ1 2018
Last reportedQ1 2019

How to read this metric

Rising levels may signal aggressive talent acquisition or retention efforts, but can also indicate potential future dilution for shareholders.

Detailed definition

The total expense recognized in the income statement related to equity-based awards granted to employees and directors....

Peer comparison

Highly prevalent in the software and technology sectors as a primary tool for competitive compensation.

Metric ID: is_ms_stock_based_compensation

Historical Data

3 years
 FY'23FY'24FY'25
Value$1.60B$1.75B$1.96B
YoY Change+8.9%+12.0%
Range$1.60B$1.96B
CAGR+10.4%
Avg YoY Growth+10.4%
Median YoY Growth+10.4%
Current Streak2+ years growth

Product Breakdown

View all
SegmentQ1 '24Q2 '24Q3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25
License and Service$58.00M$62.00M$64.00M$66.00M$68.00M$76.00M$78.00M$78.00M
Professional services and other$11.00M$11.00M$11.00M$11.00M
Total$436.50M$436.50M$436.50M$436.50M$488.75M$488.75M$488.75M$488.75M

License and Service, Professional services and other were previously reported and have since been discontinued or reclassified. Only currently active segments are shown in the chart.

Frequently Asked Questions

What is ServiceNow's stock-based compensation expense?
ServiceNow (NOW) reported stock-based compensation expense of $488.75M in Q4 2025.
How has ServiceNow's stock-based compensation expense changed year-over-year?
ServiceNow's stock-based compensation expense increased by 12.0% year-over-year, from $436.50M to $488.75M.
What is the long-term trend for ServiceNow's stock-based compensation expense?
Over 2 years (2023 to 2025), ServiceNow's stock-based compensation expense has grown at a 10.4% compound annual growth rate (CAGR), from $1.60B to $1.96B.
What does stock-based compensation expense mean?
The cost of paying employees with company stock instead of cash.