NOW vs. TOST: A Head-to-Head Stock Comparison

Updated on August 28, 2025

Here’s a clear look at NOW and TOST, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

Symbol	NOW	TOST
Company Name	ServiceNow, Inc.	Toast, Inc.
Country	United States	United States
GICS Sector	Information Technology	Financials
GICS Industry	Software	Financial Services
Market Capitalization	184.27 billion USD	25.57 billion USD
Exchange	NYSE	NYSE
Listing Date	June 29, 2012	September 22, 2021
Security Type	Common Stock	Common Stock

Historical Performance

This chart compares the performance of NOW and TOST by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

NOW vs. TOST: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

Symbol	NOW	TOST
5-Day Price Return	1.26%	2.96%
13-Week Price Return	-13.57%	2.62%
26-Week Price Return	-5.37%	16.34%
52-Week Price Return	7.26%	80.87%
Month-to-Date Return	-5.85%	-10.20%
Year-to-Date Return	-16.24%	20.33%
10-Day Avg. Volume	1.72M	6.74M
3-Month Avg. Volume	1.57M	7.82M
3-Month Volatility	27.55%	36.56%
Beta	0.93	2.03

Profitability

Return on Equity (TTM)

NOW

16.62%

Software Industry

Max: 59.01%
Q3: 21.98%
Median: 7.15%
Q1: -11.12%
Min: -51.24%

NOW’s Return on Equity of 16.62% is on par with the norm for the Software industry, indicating its profitability relative to shareholder equity is typical for the sector.

TOST

13.88%

Financial Services Industry

Max: 40.58%
Q3: 20.06%
Median: 10.67%
Q1: 4.19%
Min: -10.31%

TOST’s Return on Equity of 13.88% is on par with the norm for the Financial Services industry, indicating its profitability relative to shareholder equity is typical for the sector.

NOW vs. TOST: A comparison of their Return on Equity (TTM) against their respective Software and Financial Services industry benchmarks.

Net Profit Margin (TTM)

NOW

13.78%

Software Industry

Max: 48.14%
Q3: 18.23%
Median: 5.60%
Q1: -9.22%
Min: -49.36%

NOW’s Net Profit Margin of 13.78% is aligned with the median group of its peers in the Software industry. This indicates its ability to convert revenue into profit is typical for the sector.

TOST

4.05%

Financial Services Industry

Max: 52.86%
Q3: 25.58%
Median: 12.23%
Q1: 6.64%
Min: -9.92%

Falling into the lower quartile for the Financial Services industry, TOST’s Net Profit Margin of 4.05% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

NOW vs. TOST: A comparison of their Net Profit Margin (TTM) against their respective Software and Financial Services industry benchmarks.

Operating Profit Margin (TTM)

NOW

13.28%

Software Industry

Max: 57.34%
Q3: 20.60%
Median: 7.84%
Q1: -8.72%
Min: -51.37%

NOW’s Operating Profit Margin of 13.28% is around the midpoint for the Software industry, indicating that its efficiency in managing core business operations is typical for the sector.

TOST

3.67%

Financial Services Industry

Max: 77.28%
Q3: 37.68%
Median: 18.17%
Q1: 9.27%
Min: -8.19%

TOST’s Operating Profit Margin of 3.67% is in the lower quartile for the Financial Services industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

NOW vs. TOST: A comparison of their Operating Profit Margin (TTM) against their respective Software and Financial Services industry benchmarks.

Profitability at a Glance

Symbol	NOW	TOST
Return on Equity (TTM)	16.62%	13.88%
Return on Assets (TTM)	8.12%	8.99%
Net Profit Margin (TTM)	13.78%	4.05%
Operating Profit Margin (TTM)	13.28%	3.67%
Gross Profit Margin (TTM)	78.52%	25.19%

Financial Strength

Current Ratio (MRQ)

NOW

1.09

Software Industry

Max: 3.83
Q3: 2.31
Median: 1.45
Q1: 1.03
Min: 0.24

NOW’s Current Ratio of 1.09 aligns with the median group of the Software industry, indicating that its short-term liquidity is in line with its sector peers.

TOST

2.59

Financial Services Industry

Max: 4.58
Q3: 2.59
Median: 1.33
Q1: 0.69
Min: 0.01

For the Financial Services industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

NOW vs. TOST: A comparison of their Current Ratio (MRQ) against their respective Software and Financial Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

NOW

0.14

Software Industry

Max: 2.14
Q3: 0.90
Median: 0.29
Q1: 0.00
Min: 0.00

NOW’s Debt-to-Equity Ratio of 0.14 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

TOST

0.00

Financial Services Industry

Max: 4.96
Q3: 2.10
Median: 0.57
Q1: 0.12
Min: 0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Financial Services industry.

NOW vs. TOST: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Software and Financial Services industry benchmarks.

Interest Coverage Ratio (TTM)

NOW

32.13

Software Industry

Max: 67.02
Q3: 19.86
Median: 0.70
Q1: -12.50
Min: -53.00

NOW’s Interest Coverage Ratio of 32.13 is in the upper quartile for the Software industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

TOST

-3.26

Financial Services Industry

Max: 136.23
Q3: 56.08
Median: 6.55
Q1: 2.01
Min: -33.27

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Financial Services industry.

NOW vs. TOST: A comparison of their Interest Coverage Ratio (TTM) against their respective Software and Financial Services industry benchmarks.

Financial Strength at a Glance

Symbol	NOW	TOST
Current Ratio (MRQ)	1.09	2.59
Quick Ratio (MRQ)	0.99	2.44
Debt-to-Equity Ratio (MRQ)	0.14	0.00
Interest Coverage Ratio (TTM)	32.13	-3.26

Growth

Revenue Growth

NOW vs. TOST: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

NOW vs. TOST: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

NOW

0.00%

Software Industry

Max: 0.08%
Q3: 0.03%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

NOW currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

TOST

0.00%

Financial Services Industry

Max: 8.18%
Q3: 3.60%
Median: 1.56%
Q1: 0.00%
Min: 0.00%

TOST currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

NOW vs. TOST: A comparison of their Dividend Yield (TTM) against their respective Software and Financial Services industry benchmarks.

Dividend Payout Ratio (TTM)

NOW

0.00%

Software Industry

Max: 1.32%
Q3: 0.53%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

NOW has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

TOST

0.00%

Financial Services Industry

Max: 155.56%
Q3: 63.71%
Median: 18.08%
Q1: 0.00%
Min: 0.00%

TOST has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

NOW vs. TOST: A comparison of their Dividend Payout Ratio (TTM) against their respective Software and Financial Services industry benchmarks.

Dividend at a Glance

Symbol	NOW	TOST
Dividend Yield (TTM)	0.00%	0.00%
Dividend Payout Ratio (TTM)	0.00%	0.00%

Valuation

Price-to-Earnings Ratio (TTM)

NOW

111.05

Software Industry

Max: 149.35
Q3: 100.21
Median: 47.97
Q1: 26.77
Min: 11.68

A P/E Ratio of 111.05 places NOW in the upper quartile for the Software industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

TOST

110.38

Financial Services Industry

Max: 63.23
Q3: 32.10
Median: 14.41
Q1: 10.81
Min: 0.37

At 110.38, TOST’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Financial Services industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

NOW vs. TOST: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Software and Financial Services industry benchmarks.

Price-to-Sales Ratio (TTM)

NOW

15.30

Software Industry

Max: 25.24
Q3: 13.52
Median: 8.15
Q1: 4.87
Min: 0.98

NOW’s P/S Ratio of 15.30 is in the upper echelon for the Software industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

TOST

4.47

Financial Services Industry

Max: 11.16
Q3: 5.45
Median: 2.61
Q1: 1.25
Min: 0.04

The P/S Ratio is often not a primary valuation tool in the Financial Services industry.

NOW vs. TOST: A comparison of their Price-to-Sales Ratio (TTM) against their respective Software and Financial Services industry benchmarks.

Price-to-Book Ratio (MRQ)

NOW

19.48

Software Industry

Max: 30.95
Q3: 14.91
Median: 7.75
Q1: 3.60
Min: 0.38

NOW’s P/B Ratio of 19.48 is in the upper tier for the Software industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

TOST

14.11

Financial Services Industry

Max: 7.09
Q3: 3.79
Median: 1.46
Q1: 0.83
Min: 0.04

At 14.11, TOST’s P/B Ratio is at an extreme premium to the Financial Services industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

NOW vs. TOST: A comparison of their Price-to-Book Ratio (MRQ) against their respective Software and Financial Services industry benchmarks.

Valuation at a Glance

Symbol	NOW	TOST
Price-to-Earnings Ratio (TTM)	111.05	110.38
Price-to-Sales Ratio (TTM)	15.30	4.47
Price-to-Book Ratio (MRQ)	19.48	14.11
Price-to-Free Cash Flow Ratio (TTM)	48.48	48.67