ServiceNow, Inc. (NOW) Volatility Skew
Implied volatility skew shows how IV varies across strike prices for a given expiration. Steeper skews indicate higher demand for downside protection relative to upside speculation.
ServiceNow, Inc. (NOW) operates in the Technology sector, specifically the Software - Application industry, with a market capitalization near $89.78B, listed on NYSE, employing roughly 26,293 people, carrying a beta of 0.82 to the broader market. ServiceNow, Inc. Led by William R. McDermott, public since 2012-06-29.
Snapshot as of May 15, 2026.
- Spot Price
- $95.25
- ATM IV
- 58.4%
- IV Skew 25Δ
- -0.022
- IV Rank
- 63.1%
- IV Percentile
- 91.3%
- Term Structure Slope
- -0.005
As of May 15, 2026, ServiceNow, Inc. (NOW) at-the-money implied volatility is 58.4%. IV rank is 63.1% (where 0% is the 52-week low and 100% is the 52-week high). IV percentile is 91.3%. The 25-delta skew is -0.022: puts carry meaningful premium over calls, a classic equity downside-protection skew. High IV rank typically favors premium-selling strategies; low IV rank favors premium-buying.
NOW Strategy Selection at Current Volatility Levels
For ServiceNow, Inc. options at 58.4% ATM IV, mid-range IV rank (63.1%) is the regime where directional conviction matters more than vol-regime positioning; strategy choice should follow the event calendar and the dealer-positioning view rather than IV rank alone. The 25-delta skew is meaningfully put-skewed, so put-credit spreads capture more premium for the same width than call-credit spreads. Pair the vol-rank read with the dealer-gamma view and the upcoming-events calendar to confirm the strategy fits both the structural regime and the path-dependent risk. The variance risk premium - the persistent gap between implied and subsequently realized vol - is positive in equity markets on average; high IV rank typically reflects a stretch where the premium is wider than usual.
Learn how volatility skew is reported and how to read the data →
NOW highest implied-volatility contracts
| Type | Strike | Expiration | Volume | OI | IV | Bid | Ask |
|---|---|---|---|---|---|---|---|
| PUT | $60.00 | Jun 5, 2026 | 15.0K | 344 | 75.6% | $0.05 | $0.15 |
| CALL | $100.00 | Jun 18, 2026 | 15.8K | 16.7K | 58.1% | $4.90 | $5.00 |
| PUT | $60.00 | Jun 5, 2026 | 15.0K | 344 | 75.6% | $0.05 | $0.15 |
Top 3 contracts from the ORATS-sourced nightly scan; ranked by iv within the broader S&P 500/400/600 + ETF universe.
Frequently asked NOW volatility skew questions
- What is the current NOW ATM implied volatility?
- As of May 15, 2026, ServiceNow, Inc. (NOW) at-the-money implied volatility is 58.4%. IV rank is 63.1% on a 0-100% scale anchored to the 1-year IV range. ATM IV is the volatility input that makes a Black-Scholes-equivalent model reproduce the listed at-the-money option prices.
- Is NOW IV high or low historically?
- IV is near its 1-year median, a regime where strategy choice depends on directional conviction and event calendar rather than vol regime.
- What does NOW volatility skew tell options traders?
- Volatility skew is the pattern by which IV varies across strikes for a given expiration. ServiceNow, Inc. carries the typical equity downside-protection skew: 25-delta puts price meaningfully richer than 25-delta calls. Skew matters for risk-defined strategy selection: when downside puts are rich, put-credit spreads capture more premium; when upside calls are rich, call-credit spreads or covered-call writes harvest more.