ServiceNow vs Shopify: Business Model & Financial Comparison 2026
ServiceNow · Technology / Software - Application·Shopify · Technology / Software - Application
Financial Comparison
| Metric | NOWServiceNow | SHOPShopify |
|---|---|---|
| Market Cap | $119.89B | $160.47B |
| Revenue (TTM) | $13.28B | $11.56B |
| Revenue Growth | 20.7% | 30.6% |
| Gross Margin | 77.5% | 48.1% |
| Operating Margin | 16.5% | 20.3% |
| Net Margin | 13.2% | 10.7% |
| Return on Equity | 15.5% | 9.8% |
| P/E (Trailing) | 68.0x | 132.2x |
| P/E (Forward) | 22.7x | 53.4x |
| Free Cash Flow | $4.95B | $1.29B |
| Cash | $6.28B | $5.85B |
| Total Debt | $2.40B | $188.0M |
Data sourced from Yahoo Finance. Green highlights indicate better performance for that metric. Use the interactive tool for real-time data.
Business Model Comparison
ServiceNow
ServiceNow, Inc. stands as a leading company in Technology. Generating $13.28 billion in annual revenue (growing 20.7% year-over-year) and carrying a market capitalization of $127.02 billion, the company has cemented its position as a foundational player in the global Software - Application landscape. Under the leadership of its leadership team, ServiceNow, Inc. continues to execute on a multi-year strategic vision that balances growth investment…
Full ServiceNow analysis →Shopify
Shopify Inc. stands as a leading company in Technology. Generating $11.56 billion in annual revenue (growing 30.6% year-over-year) and carrying a market capitalization of $175.91 billion, the company has cemented its position as a foundational player in the global Software - Application landscape. Under the leadership of its leadership team, Shopify Inc. continues to execute on a multi-year strategic vision that balances growth investment with sh…
Full Shopify analysis →SWOT Analysis Comparison
Strengths
ServiceNow
- With a market capitalization of $127.02B, ServiceNow, Inc. is one of the largest companies in its sector, providing the scale advantages of brand recognition, supplier leverage, and capital access tha
- ServiceNow, Inc.'s gross margin of 77.5% is well above industry averages, reflecting pricing power, operational efficiency, or a high-value product mix. The operating margin of 16.5% demonstrates disc
- Revenue grew 20.7% year-over-year to $13.28B, indicating strong demand for ServiceNow, Inc.'s products and services and outperformance relative to many industry peers.
Shopify
- With a market capitalization of $175.91B, Shopify Inc. is one of the largest companies in its sector, providing the scale advantages of brand recognition, supplier leverage, and capital access that sm
- Shopify Inc.'s gross margin of 48.1% is well above industry averages, reflecting pricing power, operational efficiency, or a high-value product mix. The operating margin of 20.3% demonstrates discipli
- Revenue grew 30.6% year-over-year to $11.56B, indicating strong demand for Shopify Inc.'s products and services and outperformance relative to many industry peers.
Weaknesses
ServiceNow
- In the Software - Application sector, larger competitors with greater economies of scale can exert pricing pressure and outspend ServiceNow, Inc. on marketing, R&D, and distribution — limiting the com
- Revenue concentration in core markets or customer segments creates vulnerability to localized downturns, regulatory changes, or shifts in customer preferences. Diversification remains an ongoing strat
Shopify
- In the Software - Application sector, larger competitors with greater economies of scale can exert pricing pressure and outspend Shopify Inc. on marketing, R&D, and distribution — limiting the company
- Revenue concentration in core markets or customer segments creates vulnerability to localized downturns, regulatory changes, or shifts in customer preferences. Diversification remains an ongoing strat
Opportunities
ServiceNow
- The rapid advancement of generative AI and large language models presents ServiceNow, Inc. with opportunities to automate operations, enhance products, and develop new AI-native services. Companies in
- ServiceNow, Inc. operates in the Software - Application segment of the broader Technology sector, which represents a $5.0 trillion by 2027 (IDC Global Technology Market). Even modest share gains in th
- Emerging markets — particularly India (1.4B people, rapidly growing middle class), Southeast Asia (700M people), and Sub-Saharan Africa — represent significant untapped addressable markets for Service
Shopify
- The rapid advancement of generative AI and large language models presents Shopify Inc. with opportunities to automate operations, enhance products, and develop new AI-native services. Companies in Tec
- Shopify Inc. operates in the Software - Application segment of the broader Technology sector, which represents a $5.0 trillion by 2027 (IDC Global Technology Market). Even modest share gains in this e
- Emerging markets — particularly India (1.4B people, rapidly growing middle class), Southeast Asia (700M people), and Sub-Saharan Africa — represent significant untapped addressable markets for Shopify
Threats
ServiceNow
- Global economic slowdowns, inflation, or rising interest rates can reduce consumer and enterprise spending. ServiceNow, Inc.'s revenue is not fully insulated from macroeconomic cycles, and a recession
- Increasing government regulation — particularly data privacy laws (GDPR, CCPA), antitrust enforcement, and trade restrictions — poses compliance costs and potential restrictions on ServiceNow, Inc.'s
- The technology sector evolves at a pace where today's competitive advantages can erode quickly. New entrants with AI-native approaches, open-source alternatives, or disruptive business models could ch
Shopify
- Global economic slowdowns, inflation, or rising interest rates can reduce consumer and enterprise spending. Shopify Inc.'s revenue is not fully insulated from macroeconomic cycles, and a recession sce
- Increasing government regulation — particularly data privacy laws (GDPR, CCPA), antitrust enforcement, and trade restrictions — poses compliance costs and potential restrictions on Shopify Inc.'s busi
- The technology sector evolves at a pace where today's competitive advantages can erode quickly. New entrants with AI-native approaches, open-source alternatives, or disruptive business models could ch
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Open Comparison ToolServiceNow vs Shopify: FAQ
- Is ServiceNow bigger than Shopify?
- By market capitalization, Shopify is larger at $160.47B vs ServiceNow's $119.89B.
- Which has better profit margins — ServiceNow or Shopify?
- ServiceNow has higher net profit margins (13.2%) compared to Shopify (10.7%). Gross and operating margins are compared in the table above.
- What sectors do ServiceNow and Shopify operate in?
- ServiceNow operates in the Technology sector (Software - Application). Shopify operates in the Technology sector (Software - Application).
- How does ServiceNow's revenue compare to Shopify's?
- ServiceNow generates $13.28B in annual revenue (TTM) while Shopify generates $11.56B. ServiceNow is the larger company by revenue as of 2026.