CVS Health Corp (CVS)vsServiceNow Inc (NOW)
CVS
CVS Health Corp
$95.93
+1.17%
HEALTHCARE · Cap: $114.20B
NOW
ServiceNow Inc
$112.45
+1.55%
TECHNOLOGY · Cap: $131.65B
Smart Verdict
WallStSmart Research — data-driven comparison
CVS Health Corp generates 2806% more annual revenue ($405.62B vs $13.96B). NOW leads profitability with a 12.6% profit margin vs 0.7%. CVS appears more attractively valued with a PEG of 0.26. CVS earns a higher WallStSmart Score of 65/100 (C+).
CVS
Buy65
out of 100
Grade: C+
NOW
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+45.4%
Fair Value
$141.01
Current Price
$95.93
$45.08 discount
Margin of Safety
+80.9%
Fair Value
$615.92
Current Price
$112.45
$503.47 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Earnings expanding 63.1% YoY
Large-cap with strong market position
Reasonable price relative to book value
Generating 3.4B in free cash flow
Large-cap with strong market position
Conservative balance sheet, low leverage
Revenue surging 22.1% year-over-year
Generating 1.5B in free cash flow
Areas to Watch
Premium valuation, high expectations priced in
ROE of 3.8% — below average capital efficiency
0.7% margin — thin
Operating margin of 4.1%
Trading at 9.9x book value
2.3% earnings growth
Distress zone — elevated risk
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : CVS
The strongest argument for CVS centers on PEG Ratio, EPS Growth, Market Cap. PEG of 0.26 suggests the stock is reasonably priced for its growth.
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 : CVS
The primary concerns for CVS are P/E Ratio, Return on Equity, Profit Margin. Thin 0.7% margins leave little buffer for downturns.
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
CVS profiles as a value stock while NOW is a growth play — different risk/reward profiles.
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.
CVS generates stronger free cash flow (3.4B), providing more financial flexibility.
Bottom Line
CVS scores higher overall (65/100 vs 54/100). NOW offers better value entry with a 80.9% 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.
CVS Health Corp
HEALTHCARE · HEALTHCARE PLANS · USA
CVS Health (previously CVS Corporation and CVS Caremark Corporation) is an American healthcare company that owns CVS Pharmacy, a retail pharmacy chain; CVS Caremark, a pharmacy benefits manager; Aetna, a health insurance provider, among many other brands. The company's headquarters is in Woonsocket, Rhode Island.
Visit Website →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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