WallStSmart

ServiceNow Inc (NOW)vsQ2 Holdings (QTWO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

ServiceNow Inc generates 1599% more annual revenue ($13.96B vs $821.58M). NOW leads profitability with a 12.6% profit margin vs 9.0%. NOW appears more attractively valued with a PEG of 0.89. NOW earns a higher WallStSmart Score of 59/100 (C).

NOW

Buy

59

out of 100

Grade: C

Growth: 7.3Profit: 6.0Value: 6.7Quality: 4.0
Piotroski: 1/9Altman Z: 1.65

QTWO

Buy

51

out of 100

Grade: C-

Growth: 8.0Profit: 6.0Value: 3.7Quality: 4.0
Piotroski: 4/9Altman Z: 0.76
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NOWUndervalued (+80.8%)

Margin of Safety

+80.8%

Fair Value

$602.92

Current Price

$115.76

$487.16 discount

UndervaluedFair: $602.92Overvalued

Intrinsic value data unavailable for QTWO.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NOW3 strengths · Avg: 8.3/10
Market CapQuality
$98.45B9/10

Large-cap with strong market position

PEG RatioValuation
0.898/10

Growing faster than its price suggests

Revenue GrowthGrowth
22.1%8/10

Revenue surging 22.1% year-over-year

QTWO1 strengths · Avg: 10.0/10
EPS GrowthGrowth
471.4%10/10

Earnings expanding 471.4% YoY

Areas to Watch

NOW4 concerns · Avg: 3.8/10
Price/BookValuation
10.2x4/10

Trading at 10.2x 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

QTWO3 concerns · Avg: 2.0/10
PEG RatioValuation
8.942/10

Expensive relative to growth rate

P/E RatioValuation
49.2x2/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
0.762/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : NOW

The strongest argument for NOW centers on Market Cap, PEG Ratio, Revenue Growth. Revenue growth of 22.1% demonstrates continued momentum. PEG of 0.89 suggests the stock is reasonably priced for its growth.

Bull Case : QTWO

The strongest argument for QTWO centers on EPS Growth. Revenue growth of 14.1% demonstrates continued momentum.

Bear Case : NOW

The primary concerns for NOW are Price/Book, EPS Growth, Altman Z-Score. A P/E of 60.4x leaves little room for execution misses.

Bear Case : QTWO

The primary concerns for QTWO are PEG Ratio, P/E Ratio, Altman Z-Score. A P/E of 49.2x leaves little room for execution misses.

Key Dynamics to Monitor

NOW profiles as a growth stock while QTWO is a value play — different risk/reward profiles.

QTWO carries more volatility with a beta of 1.33 — expect wider price swings.

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

NOW generates stronger free cash flow (473M), providing more financial flexibility.

Bottom Line

NOW scores higher overall (59/100 vs 51/100) and 22.1% revenue growth. 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.

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.

Q2 Holdings

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Q2 Holdings, Inc. provides cloud-based digital banking solutions to Community and Regional Financial Institutions (RCFIs) in the United States. The company is headquartered in Austin, Texas.

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