WallStSmart

Appfolio Inc (APPF)vsServiceNow Inc (NOW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

ServiceNow Inc generates 1303% more annual revenue ($13.96B vs $995.33M). APPF leads profitability with a 15.3% profit margin vs 12.6%. NOW appears more attractively valued with a PEG of 1.32. APPF earns a higher WallStSmart Score of 64/100 (C+).

APPF

Buy

64

out of 100

Grade: C+

Growth: 9.3Profit: 9.0Value: 5.3Quality: 8.5
Piotroski: 3/9Altman Z: 5.09

NOW

Buy

54

out of 100

Grade: C-

Growth: 7.3Profit: 6.0Value: 6.0Quality: 5.0
Piotroski: 1/9Altman Z: 1.65
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

APPFUndervalued (+30.6%)

Margin of Safety

+30.6%

Fair Value

$257.36

Current Price

$166.94

$90.42 discount

UndervaluedFair: $257.36Overvalued
NOWUndervalued (+82.6%)

Margin of Safety

+82.6%

Fair Value

$613.35

Current Price

$112.45

$500.90 discount

UndervaluedFair: $613.35Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

APPF5 strengths · Avg: 9.2/10
Return on EquityProfitability
32.3%10/10

Every $100 of equity generates 32 in profit

Debt/EquityHealth
0.0810/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
5.0910/10

Safe zone — low bankruptcy risk

Revenue GrowthGrowth
20.4%8/10

Revenue surging 20.4% year-over-year

EPS GrowthGrowth
37.2%8/10

Earnings expanding 37.2% YoY

NOW4 strengths · Avg: 8.5/10
Market CapQuality
$131.65B9/10

Large-cap with strong market position

Debt/EquityHealth
0.219/10

Conservative balance sheet, low leverage

Revenue GrowthGrowth
22.1%8/10

Revenue surging 22.1% year-over-year

Free Cash FlowQuality
$1.53B8/10

Generating 1.5B in free cash flow

Areas to Watch

APPF4 concerns · Avg: 3.3/10
P/E RatioValuation
38.3x4/10

Premium valuation, high expectations priced in

Price/BookValuation
12.6x4/10

Trading at 12.6x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
7.452/10

Expensive relative to growth rate

NOW4 concerns · Avg: 3.8/10
Price/BookValuation
9.9x4/10

Trading at 9.9x book value

EPS GrowthGrowth
2.3%4/10

2.3% earnings growth

Altman Z-ScoreHealth
1.654/10

Distress zone — elevated risk

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : APPF

The strongest argument for APPF centers on Return on Equity, Debt/Equity, Altman Z-Score. Profitability is solid with margins at 15.3% and operating margin at 19.4%. Revenue growth of 20.4% demonstrates continued momentum.

Bull Case : NOW

The strongest argument for NOW centers on Market Cap, Debt/Equity, Revenue Growth. Revenue growth of 22.1% demonstrates continued momentum. PEG of 1.32 suggests the stock is reasonably priced for its growth.

Bear Case : APPF

The primary concerns for APPF are P/E Ratio, Price/Book, Piotroski F-Score.

Bear Case : NOW

The primary concerns for NOW are Price/Book, EPS Growth, Altman Z-Score. A P/E of 76.0x leaves little room for execution misses.

Key Dynamics to Monitor

NOW carries more volatility with a beta of 0.82 — expect wider price swings.

NOW is growing revenue faster at 22.1% — sustainability is the question.

NOW generates stronger free cash flow (1.5B), providing more financial flexibility.

Monitor SOFTWARE - APPLICATION industry trends, competitive dynamics, and regulatory changes.

Bottom Line

APPF scores higher overall (64/100 vs 54/100), backed by strong 15.3% margins and 20.4% revenue growth. NOW offers better value entry with a 82.6% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Appfolio Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

AppFolio, Inc. provides industry-specific cloud-based enterprise software data analytics, services and solutions for the real estate industry. The company is headquartered in Santa Barbara, California.

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ServiceNow Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

ServiceNow is an American software company based in Santa Clara, California that develops a cloud computing platform to help companies manage digital workflows for enterprise operations.

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