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AKAM vs. NOW: Akamai vs. ServiceNow Stock Comparison

How do Akamai (AKAM) and ServiceNow (NOW) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Akamai (AKAM) and ServiceNow (NOW) both fall under the Software & Services industry group, but AKAM is classified in IT Services while NOW is classified in Software.

Company profile comparison for Akamai (AKAM) and ServiceNow (NOW)
Profile ItemAKAMNOW
NameAkamai Technologies, Inc.ServiceNow Inc.
Country/RegionUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS Industry GroupSoftware & ServicesSoftware & Services
GICS IndustryIT ServicesSoftware
GICS Sub-IndustryInternet Services & InfrastructureSystems Software
Market Capitalization11.94 billion USD105.84 billion USD
CurrencyUSDUSD
ExchangeNasdaqNYSE
Listing DateOctober 29, 1999June 29, 2012
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

AKAM
NOW
GSPC
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Akamai (AKAM) vs. ServiceNow (NOW), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Akamai (AKAM) and ServiceNow (NOW). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Akamai (AKAM) and ServiceNow (NOW). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Akamai (AKAM) and ServiceNow (NOW)
MetricAKAMNOW
Total Return (1Y)-2.77%-39.72%
Total Return (3Y, Annualized)-9.48%-5.71%
Total Return (5Y, Annualized)-5.72%-5.55%

Risk Profile

Drawdown History

AKAM
NOW
GSPC
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Akamai (AKAM) vs. ServiceNow (NOW), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Akamai (AKAM) and ServiceNow (NOW). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Akamai (AKAM) and ServiceNow (NOW)
MetricAKAMNOW
Volatility (1Y, Annualized)62.11%64.49%
Beta (5Y)0.690.98
Max Drawdown (5Y)-51.69%-64.54%
Avg. Volume (3M)4.75M15.74M

Risk-Adjusted Performance

Risk-Return Positioning

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AKAM and NOW are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Akamai (AKAM) and ServiceNow (NOW)
MetricAKAMNOW
Sharpe Ratio (1Y)-0.11-0.68
Sortino Ratio (1Y)-0.17-0.89

Profitability

ROE (TTM)

Both Akamai (AKAM) at 7.85% and ServiceNow (NOW) at 11.85% land near their industries’ usual ROE ranges, so capital efficiency looks broadly in line with peers on both sides.

AKAM

Software & Services industry group

7.85%

Max
53.85%
Q3
17.90%
AKAM
7.85%
Median
6.59%
Q1
-9.59%
Min
-50.52%

NOW

Software & Services industry group

11.85%

Max
53.85%
Q3
17.90%
NOW
11.85%
Median
6.59%
Q1
-9.59%
Min
-50.52%
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Akamai (AKAM) vs. ServiceNow (NOW): A comparison of their ROE against the Software & Services industry group benchmark.

Net Margin (TTM)

Both Akamai (AKAM) at 8.84% and ServiceNow (NOW) at 9.36% keep about the typical share of revenue as profit for their industries — neither bottom line stands out from peers.

AKAM

Software & Services industry group

8.84%

Max
41.17%
Q3
15.28%
AKAM
8.84%
Median
4.63%
Q1
-5.42%
Min
-33.17%

NOW

Software & Services industry group

9.36%

Max
41.17%
Q3
15.28%
NOW
9.36%
Median
4.63%
Q1
-5.42%
Min
-33.17%
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Akamai (AKAM) vs. ServiceNow (NOW): A comparison of their net margin against the Software & Services industry group benchmark.

Operating Margin (TTM)

Both Akamai (AKAM) at 9.88% and ServiceNow (NOW) at 17.39% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.

AKAM

Software & Services industry group

9.88%

Max
46.89%
Q3
17.64%
AKAM
9.88%
Median
8.73%
Q1
-2.13%
Min
-30.45%

NOW

Software & Services industry group

17.39%

Max
46.89%
Q3
17.64%
NOW
17.39%
Median
8.73%
Q1
-2.13%
Min
-30.45%
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Akamai (AKAM) vs. ServiceNow (NOW): A comparison of their operating margin against the Software & Services industry group benchmark.

Profitability Metrics

Profitability metrics for Akamai (AKAM) and ServiceNow (NOW)
MetricAKAMNOW
ROE (TTM)7.85%11.85%
ROA (TTM)2.18%4.59%
Net Margin (TTM)8.84%9.36%
Operating Margin (TTM)9.88%17.39%
Gross Margin (TTM)56.39%73.08%

Growth

Revenue Growth

ServiceNow (NOW) at 20.88% is around its peer norm for revenue growth, while Akamai (AKAM) at 5.44% drops into the bottom quartile, signaling weaker demand or pricing momentum.

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Akamai (AKAM) vs. ServiceNow (NOW): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both Akamai (AKAM) at -6.12% and ServiceNow (NOW) at 22.08% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

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Akamai (AKAM) vs. ServiceNow (NOW): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Akamai (AKAM) and ServiceNow (NOW)
MetricAKAMNOW
Revenue Growth (YoY)5.44%20.88%
Revenue Growth (3Y CAGR)5.18%22.38%
EPS Growth (YoY)-6.12%22.08%
EPS Growth (3Y CAGR)-1.98%73.46%

Financial Strength

Current Ratio (MRQ)

Akamai (AKAM) at 2.13 keeps current ratio within its industry’s typical mid-range, while ServiceNow (NOW) at 0.72 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for NOW.

AKAM

Software & Services industry group

2.13

Max
5.11
Q3
2.77
AKAM
2.13
Median
1.67
Q1
1.01
Min
0.03

NOW

Software & Services industry group

0.72

Max
5.11
Q3
2.77
Median
1.67
Q1
1.01
NOW
0.72
Min
0.03
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Akamai (AKAM) vs. ServiceNow (NOW): A comparison of their current ratio against the Software & Services industry group benchmark.

Debt / Equity (MRQ)

ServiceNow (NOW) at 0.64 carries an industry-typical debt-to-equity mix, while Akamai (AKAM) at 1.84 uses more debt funding than most peers.

AKAM

Software & Services industry group

1.84

Max
2.52
AKAM
1.84
Q3
1.13
Median
0.40
Q1
0.07
Min
0.00

NOW

Software & Services industry group

0.64

Max
2.52
Q3
1.13
NOW
0.64
Median
0.40
Q1
0.07
Min
0.00
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Akamai (AKAM) vs. ServiceNow (NOW): A comparison of their debt-to-equity ratio against the Software & Services industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Akamai (AKAM) and ServiceNow (NOW)
MetricAKAMNOW
Current Ratio (MRQ)2.130.72
Debt / Equity (MRQ)1.840.64
Net Debt / EBITDA5.781.18

Dividends

Dividend Yield (TTM)

Neither Akamai (AKAM) nor ServiceNow (NOW) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.

AKAM

Software & Services industry group

0.00%

AKAM
0.00%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

NOW

Software & Services industry group

0.00%

NOW
0.00%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Akamai (AKAM) vs. ServiceNow (NOW): A comparison of their dividend yield against the Software & Services industry group benchmark.

Dividend Payout Ratio (TTM)

Neither Akamai (AKAM) nor ServiceNow (NOW) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.

AKAM

Software & Services industry group

0.00%

AKAM
0.00%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

NOW

Software & Services industry group

0.00%

NOW
0.00%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Akamai (AKAM) vs. ServiceNow (NOW): A comparison of their payout ratio against the Software & Services industry group benchmark.

Dividend Metrics

Dividend metrics for Akamai (AKAM) and ServiceNow (NOW)
MetricAKAMNOW
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

P/E Ratio (TTM)

Akamai (AKAM) at 32.33 is near its industry’s usual P/E ratio, while ServiceNow (NOW) at 73.36 sits in the richer quartile — NOW needs stronger growth or earnings quality to justify the premium.

AKAM

Software & Services industry group

32.33

Max
112.94
Q3
60.32
Median
32.91
AKAM
32.33
Q1
18.77
Min
6.69

NOW

Software & Services industry group

73.36

Max
112.94
NOW
73.36
Q3
60.32
Median
32.91
Q1
18.77
Min
6.69
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Akamai (AKAM) vs. ServiceNow (NOW): A comparison of their P/E ratio against the Software & Services industry group benchmark.

P/S Ratio (TTM)

On P/S ratio, both Akamai (AKAM) at 2.72 and ServiceNow (NOW) at 6.86 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.

AKAM

Software & Services industry group

2.72

Max
17.91
Q3
8.78
Median
4.25
AKAM
2.72
Q1
2.23
Min
0.02

NOW

Software & Services industry group

6.86

Max
17.91
Q3
8.78
NOW
6.86
Median
4.25
Q1
2.23
Min
0.02
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Akamai (AKAM) vs. ServiceNow (NOW): A comparison of their P/S ratio against the Software & Services industry group benchmark.

P/B Ratio (MRQ)

On P/B ratio, both Akamai (AKAM) at 2.32 and ServiceNow (NOW) at 8.08 are valued close to their industries’ norm against book — neither stands out from peers.

AKAM

Software & Services industry group

2.32

Max
16.63
Q3
8.50
Median
4.30
AKAM
2.32
Q1
1.92
Min
-3.90

NOW

Software & Services industry group

8.08

Max
16.63
Q3
8.50
NOW
8.08
Median
4.30
Q1
1.92
Min
-3.90
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Akamai (AKAM) vs. ServiceNow (NOW): A comparison of their P/B ratio against the Software & Services industry group benchmark.

Valuation Metrics

Valuation metrics for Akamai (AKAM) and ServiceNow (NOW)
MetricAKAMNOW
P/E Ratio (TTM)32.3373.36
P/S Ratio (TTM)2.726.86
P/B Ratio (MRQ)2.328.08
Free Cash Flow Yield (TTM)1.51%5.44%