ServiceNow Inc (NOW)vsPalo Alto Networks Inc (PANW)
NOW
ServiceNow Inc
$124.88
+6.42%
TECHNOLOGY · Cap: $122.14B
PANW
Palo Alto Networks Inc
$363.86
+1.22%
TECHNOLOGY · Cap: $298.57B
Smart Verdict
WallStSmart Research — data-driven comparison
ServiceNow Inc generates 39% more annual revenue ($14.73B vs $10.61B). NOW leads profitability with a 11.3% profit margin vs 8.0%. NOW appears more attractively valued with a PEG of 0.99. NOW earns a higher WallStSmart Score of 49/100 (D+).
NOW
Hold49
out of 100
Grade: D+
PANW
Hold47
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+81.5%
Fair Value
$634.69
Current Price
$124.88
$509.81 discount
Margin of Safety
+22.4%
Fair Value
$467.52
Current Price
$363.86
$103.66 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Growing faster than its price suggests
Revenue surging 24.0% year-over-year
Mega-cap, among the largest globally
Revenue surging 31.1% year-over-year
Earnings expanding 60.5% YoY
Conservative balance sheet, low leverage
Areas to Watch
Trading at 10.3x book value
Distress zone — elevated risk
Operating margin of 4.1%
Weak financial health signals
Trading at 10.7x book value
ROE of 3.0% — below average capital efficiency
8.0% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : NOW
The strongest argument for NOW centers on Market Cap, PEG Ratio, Revenue Growth. Revenue growth of 24.0% demonstrates continued momentum. PEG of 0.99 suggests the stock is reasonably priced for its growth.
Bull Case : PANW
The strongest argument for PANW centers on Market Cap, Revenue Growth, EPS Growth. Revenue growth of 31.1% demonstrates continued momentum.
Bear Case : NOW
The primary concerns for NOW are Price/Book, Altman Z-Score, Operating Margin. A P/E of 72.0x leaves little room for execution misses.
Bear Case : PANW
The primary concerns for PANW are Price/Book, Return on Equity, Profit Margin. A P/E of 318.6x leaves little room for execution misses.
Key Dynamics to Monitor
NOW profiles as a growth stock while PANW is a hypergrowth play — different risk/reward profiles.
NOW carries more volatility with a beta of 0.93 — expect wider price swings.
PANW is growing revenue faster at 31.1% — sustainability is the question.
PANW generates stronger free cash flow (788M), providing more financial flexibility.
Bottom Line
NOW scores higher overall (49/100 vs 47/100) and 24.0% revenue growth. PANW offers better value entry with a 22.4% margin of safety. Both earn "Hold" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
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.
Palo Alto Networks Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Palo Alto Networks, Inc. provides cybersecurity platform solutions globally. The company is headquartered in Santa Clara, California.
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