Nasdaq Adds ServiceNow Options to Penny Interval Program

Nasdaq announced that ServiceNow Inc. options were added to the Penny Interval Program across its U.S. options exchanges effective Wednesday, 1 July 2026.

The alert applies to Nasdaq PHLX, The Nasdaq Options Market, NTX Options, Nasdaq ISE, Nasdaq GEMX and Nasdaq MRX. Nasdaq listed ServiceNow Inc. under additional issues and pointed firms to the full penny-issues list for the current program scope.

Penny intervals allow eligible options series to quote in smaller increments than wider nickel or dime quoting. For traders, the practical effect is usually tighter displayed pricing and more granular limit-order placement, although actual execution quality still depends on depth, volatility, venue fees and market-maker quoting behavior.

Why it matters

ServiceNow is a high-priced, actively watched technology stock, and narrower options increments can matter for spread traders, volatility traders and retail platforms that display multi-leg strategy prices. A one-cent increment gives traders more room to improve a bid or offer without jumping by a wider tick.

The change also affects routing logic. Brokers and smart routers may need to account for the new quoting increment across multiple Nasdaq options venues when displaying prices and seeking executions.

What to watch next

Watch whether quoted spreads in NOW options tighten after the change and whether volume migrates toward venues showing the most competitive penny markets. Traders using saved option-chain filters should also confirm their platforms reflect the updated tick size.