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.
| Profile Item | AKAM | NOW |
|---|---|---|
| Name | Akamai Technologies, Inc. | ServiceNow Inc. |
| Country/Region | United States | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry Group | Software & Services | Software & Services |
| GICS Industry | IT Services | Software |
| GICS Sub-Industry | Internet Services & Infrastructure | Systems Software |
| Market Capitalization | 11.94 billion USD | 105.84 billion USD |
| Currency | USD | USD |
| Exchange | Nasdaq | NYSE |
| Listing Date | October 29, 1999 | June 29, 2012 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | AKAM | NOW |
|---|---|---|
| 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
Return Distribution
Risk Metrics
| Metric | AKAM | NOW |
|---|---|---|
| Volatility (1Y, Annualized) | 62.11% | 64.49% |
| Beta (5Y) | 0.69 | 0.98 |
| Max Drawdown (5Y) | -51.69% | -64.54% |
| Avg. Volume (3M) | 4.75M | 15.74M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | AKAM | NOW |
|---|---|---|
| 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%
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%
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%
Profitability Metrics
| Metric | AKAM | NOW |
|---|---|---|
| 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.
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.
Growth Metrics
| Metric | AKAM | NOW |
|---|---|---|
| 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
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
Financial Strength Metrics
| Metric | AKAM | NOW |
|---|---|---|
| Current Ratio (MRQ) | 2.13 | 0.72 |
| Debt / Equity (MRQ) | 1.84 | 0.64 |
| Net Debt / EBITDA | 5.78 | 1.18 |
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%
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%
Dividend Metrics
| Metric | AKAM | NOW |
|---|---|---|
| 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
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
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
Valuation Metrics
| Metric | AKAM | NOW |
|---|---|---|
| P/E Ratio (TTM) | 32.33 | 73.36 |
| P/S Ratio (TTM) | 2.72 | 6.86 |
| P/B Ratio (MRQ) | 2.32 | 8.08 |
| Free Cash Flow Yield (TTM) | 1.51% | 5.44% |