NOW vs. SPY

Last updated Jul 29, 2026

NOW (ServiceNow, Inc) is a stock, while SPY (State Street SPDR S&P 500 ETF) is S&P 500 fund tracking the S&P 500 Index. Over the past 10 years, NOW returned 22.13%/yr vs 14.89%/yr for SPY. Their 0.53 correlation means they have sometimes moved together and sometimes differently.

Performance

NOW vs. SPY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in ServiceNow, Inc (NOW) and State Street SPDR S&P 500 ETF (SPY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, NOW achieves a -27.79% return, which is significantly lower than SPY's 9.22% return. Over the past 10 years, NOW has outperformed SPY with an annualized return of 22.13%, while SPY has yielded a comparatively lower 14.89% annualized return.

NOW

• 1D: 4.79%
• 1M: 12.49%
• 6M: -16.07%
• YTD: -27.79%
• 1Y: -43.89%
• 3Y*: -0.97%
• 5Y*: -1.16%
• 10Y*: 22.13%
• ALL TIME*: 25.06%

SPY

• 1D: 0.24%
• 1M: 1.63%
• 6M: 7.09%
• YTD: 9.22%
• 1Y: 17.60%
• 3Y*: 18.95%
• 5Y*: 12.46%
• 10Y*: 14.89%
• ALL TIME*: 10.76%

*Multi-year figures are annualized to reflect compound growth (CAGR)

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
NOW ServiceNow, Inc	$2.80B	$2.40B	$2.88B
SPY State Street SPDR S&P 500 ETF	$34.03B	$34.70B	$38.77B

NOW vs. SPY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
NOW ServiceNow, Inc	-27.79%	-27.75%	50.05%	81.96%	-40.18%	17.93%	94.97%	58.56%	36.55%	75.40%
SPY State Street SPDR S&P 500 ETF	9.22%	17.72%	24.89%	26.18%	-18.18%	28.73%	18.33%	31.22%	-4.57%	21.71%

Correlation

The correlation between NOW and SPY is 0.20, which is low. Their historical price movements had little consistent relationship.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.20
Correlation (3Y) Balances recent behavior with more history.	0.45
Correlation (5Y) Shows whether the relationship held over a longer period.	0.58
Correlation (10Y) Provides a long-term view across more market conditions.	0.57
Correlation (All Time) Calculated using the full available price history since Jun 29, 2012	0.53

Over the past year, the correlation between NOW and SPY has dropped to 0.20 - well below their long-term average of 0.53, suggesting their price drivers have been diverging.

Return for Risk

NOW vs. SPY — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

NOW

NOW Risk / Return Rank: 13
NOW Sharpe Ratio Rank: 10
NOW Sortino Ratio Rank: 12
NOW Omega Ratio Rank: 13
NOW Calmar Ratio Rank: 16
NOW Martin Ratio Rank: 15

SPY

SPY Risk / Return Rank: 61
SPY Sharpe Ratio Rank: 60
SPY Sortino Ratio Rank: 58
SPY Omega Ratio Rank: 58
SPY Calmar Ratio Rank: 57
SPY Martin Ratio Rank: 70

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

NOW vs. SPY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for ServiceNow, Inc (NOW) and State Street SPDR S&P 500 ETF (SPY). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	NOW	SPY	Difference
Sharpe ratio: Return per unit of total volatility	-0.82	1.39	-2.21
Sortino ratio: Return per unit of downside risk	-1.09	1.96	-3.04
Omega ratio: Gain probability vs. loss probability	0.86	1.25	-0.39
Calmar ratio: Return relative to maximum drawdown	-0.76	1.99	-2.75
Martin ratio: Return relative to average drawdown	-1.23	8.54	-9.77

NOW vs. SPY - Sharpe Ratio Comparison

The current NOW Sharpe Ratio is -0.82, which is lower than the SPY Sharpe Ratio of 1.39. The chart below compares the historical Sharpe Ratios of NOW and SPY, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

NOW vs. SPY - Drawdown Comparison

The maximum NOW drawdown since its inception was -64.54%, which is greater than SPY's maximum drawdown of -55.19%. Use the drawdown chart below to compare losses from any high point for NOW and SPY.

Drawdown Indicators

	NOW	SPY	Difference
Max Drawdown Largest peak-to-trough decline	-64.54%	-55.19%	-9.35%
Max Drawdown (1Y) Largest decline over 1 year	-58.22%	-8.88%	-49.34%
Max Drawdown (3Y) Largest decline over 3 years	-64.54%	-18.76%	-45.78%
Max Drawdown (5Y) Largest decline over 5 years	-64.54%	-24.50%	-40.04%
Max Drawdown (10Y) Largest decline over 10 years	-64.54%	-33.72%	-30.82%
Current Drawdown Current decline from peak	-52.74%	-2.21%	-50.53%
Average Drawdown Average peak-to-trough decline	-14.15%	-9.01%	-5.14%
Ulcer Index Depth and duration of drawdowns from previous peaks	35.75%	2.07%	+33.68%

Volatility

NOW vs. SPY - Volatility Comparison

ServiceNow, Inc (NOW) has a higher volatility of 17.36% compared to State Street SPDR S&P 500 ETF (SPY) at 3.18%. This indicates that NOW's price experiences larger fluctuations and is considered to be riskier than SPY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	NOW	SPY	Difference
Volatility (1M) Calculated over the trailing 1-month period	17.36%	3.18%	+14.18%
Volatility (6M) Calculated over the trailing 6-month period	49.34%	9.87%	+39.47%
Volatility (1Y) Calculated over the trailing 1-year period	53.86%	12.68%	+41.18%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	44.45%	17.15%	+27.30%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	41.13%	17.94%	+23.19%

Dividends

NOW vs. SPY - Dividend Comparison

NOW has not paid dividends to shareholders, while SPY's dividend yield for the trailing twelve months is around 1.02%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
NOW ServiceNow, Inc	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
SPY State Street SPDR S&P 500 ETF	1.02%	1.07%	1.21%	1.40%	1.65%	1.20%	1.52%	1.75%	2.04%	1.80%	2.03%	2.06%

Frequently Asked Questions

Can I hold both NOW and SPY in my portfolio?

NOW and SPY have a correlation of 0.20, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, NOW or SPY?

NOW has higher volatility (17.36%) compared to SPY (3.18%). In terms of maximum drawdown, NOW dropped -64.54% vs SPY's -55.19%.

Which has better risk-adjusted returns?

SPY currently has the higher Sharpe Ratio (1.39 vs -0.82), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.