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NOW

ServiceNow, Inc.Close $103.30EOD only
Max Pain
$95.00
Next expiry May 22, 2026
Expected Move
±$4.92
4.8% from close
Price Gap
-8.30
Distance to max pain
IV Rank
55
Middle-high premium
P/C OI
0.72
Slightly call-heavy
Consensus
7.0/10
Bullish tilt
Published snapshot: May 20, 2026 close
End-of-day snapshot

This page reflects NOW options positioning from the latest published market-close snapshot. Intraday price and contract changes are not displayed.

Published Snapshot
May 20, 2026 close
NOW Earnings Report
Analysis based on market close March 31, 2026
DirectionalTheta GangFlowEarningsConsensus

Historical consensus-supported lens with full content, report chain context, and metric rail.

You are viewing an older report from March 31, 2026. A newer earnings report is available for May 20, 2026.

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Earnings Verdict

Earnings in ~22 days (est. 4/22). IV sharply elevated for the 4/24 expiration (63.6%), creating a clear crush setup. Historical pattern shows consistent EPS beats and a tendency for the stock to gap up post-earnings. Best strategy is selling premium via an iron condor, with a directional call spread as a secondary play.

Confidence:
7 / 10
base 5; +1 strong historical beat rate; +1 clear IV term structure kink; +0.5 elevated IV; -0.5 bearish flow regime
Most important: IV term structure shows a massive kink at the 4/24 expiration, confirming earnings pricing. Historical beat rate is 100% (4/4) with an average move of +2.8% post-earnings.
📅Earnings date inferred as ~4/22 based on IV kink at 4/24 expiry. Confirm via company IR.
📈Historical post-earnings bias is strongly bullish (3/4 up, avg +2.8%). Favor bullish or non-directional strategies.
⚠️Overall flow is bearish (net prem -$76.5M), contradicting historical earnings bias. Monitor for shift.

Regime Classification

Vol Regime
High (IV 59%)
Gamma Regime
Trending (GEX $-0.6M — pro-cyclical)
Flow Regime
Bearish (net prem $-76.5M, P/C 1.46)
Spot vs MP
Below max pain by 3.2% (spot $104.55 vs MP $108)
Gamma flip: ~$90.00 — Below $90, dealers amplify moves downward due to significant put OI concentration.

Earnings Overview

Next earnings: 2026-04-22 (22 days)inferred (IV kink at 4/24, 2 days post-estimated date)

Expected moves:

  • 4/24 (24d): ±$13.60 (13.0%) [$90.95 - $118.15]

IV Setup

Term structure: Massive kink at 4/24 expiration (63.6% IV). Sharp drop to 59.2% for 5/01 and 57.4% for 5/08.

Crush estimate: ~10-15 vol pts post-earnings, back to ~50% range.

Skew: Flow is bearish (P/C 1.46), but top OI strikes show heavy put walls at $90 and $100, and call OI at $125+. Skew appears mixed with defensive positioning.

Historical Context

Beat rate: 100% (4/4 quarters)

Avg move vs expected: No explicit historical EM provided, but price action shows 3/4 quarters closed higher the day after earnings (avg +2.8%).

Directional bias: Bullish. 3/4 quarters gapped up post-earnings. Last 4 quarters: +2.1%, +0.5%, +5.9%, +2.6%.

Key Levels

1$90 (Major Put OI Wall)
2$100 (Major Put OI & near-term MP)
3$108 (Max Pain)
4$115 (Call OI & Unusual Activity)
5EM Bounds: $91 - $118

Flow Highlights

Massive bearish premium flow in June $178, $174, $220 puts (millions in net premium).

Likely institutional hedging or tail-risk protection, not a direct earnings bet given far OTM strikes.

Unusual volume in 4/24 $115 Calls (749 vol vs 299 OI).

Direct earnings upside bet, targeting a move above the expected move's upper bound.

Strategies

Iron Condor (Premium Sale)
Sell $100/$95 Put Spread x Sell $118/$123 Call Spread, 4/24 Expiry.
Credit: $2.00-$2.50
Max loss: $3.00
Max gain: $2.50
BE: Puts: $98.00, Calls: $120.50
Trigger: Enter 5-7 days before earnings (mid-April).
Capitalizes on elevated IV (63.6%) and expected crush. Strikes placed just inside EM bounds ($91-$118) and key OI levels ($100 put wall, $115 call interest). Historical tendency to under-move supports range-bound outcome.
Outperforms: Stock stays between $100 and $118 post-earnings (within historical EM bounds).
Underperforms: Stock gaps below $95 or above $123.
Bull Call Spread (Directional)
Buy $110 Call / Sell $115 Call, 4/24 Expiry.
Max loss: Cost of spread (~$2.00 est.)
Max gain: $3.00
BE: $112.00
Trigger: Enter on any pullback to $102-$104 before earnings.
Leverages strong historical beat rate (100%) and bullish post-earnings bias (avg +2.8%). Targets a move to the $115 area where there is notable call OI and unusual activity, offering a defined-risk play.
Outperforms: Stock rallies post-earnings, surpassing $112.
Underperforms: Stock fails to rally or declines.
Short Straddle (Advanced Gamma)
Sell $105 Straddle, 4/24 Expiry.
Credit: $13.50-$14.50
Max loss: Unlimited beyond breakevens
Max gain: $14.50
BE: $90.50 and $119.50
Trigger: Enter only if confident in pin near $105 and willing to manage delta actively.
Maximum premium capture from 63.6% IV. High-risk, high-reward. Requires active management. Breakevens are wide (~±$14.50) but encompass the expected move.
Outperforms: Stock pins exactly at $105 with massive IV crush.
Underperforms: Stock gaps beyond breakevens.

Risk Assessment

!Gap Risk: 13% expected move is significant. A guidance miss or beat could cause a move exceeding the EM, especially with trending gamma regime.
!IV Crush: Estimated 10-15 vol point drop is the primary profit driver for premium-selling strategies. If IV fails to crush sufficiently, short premium plays will underperform.
!Liquidity: Excellent (750K+ OI, 250+ active strikes). Tight spreads expected.
!Sizing: Size premium sales conservatively (1-2% risk capital) due to high IV and potential for large gaps.

What to Watch

?IV trajectory on the 4/24 expiration into the event.
?Price action relative to the $100 put OI wall and $108 max pain.
?Any change in the bearish flow regime (P/C ratio).
How to Use These Reports
This earnings reflects the market close on March 31, 2026.
What the reports do

Each report translates the same market-close options snapshot into a specific lens such as directional bias, premium-selling posture, flow quality, or earnings setup.

How traders use them

Reports are most useful for narrowing the playbook, surfacing entry and risk context, and deciding which raw data page to inspect next.

What to remember

These are interpretation layers, not execution guarantees. Validate the setup against chain liquidity, expected move, and exposure before sizing risk.

If the report conviction and the raw data disagree, slow down and resolve the mismatch before sizing risk.