ServiceNow Inc (NOW)vsStarbucks Corporation (SBUX)
NOW
ServiceNow Inc
$91.18
-2.58%
TECHNOLOGY · Cap: $96.52B
SBUX
Starbucks Corporation
$104.93
+0.64%
CONSUMER CYCLICAL · Cap: $118.83B
Smart Verdict
WallStSmart Research — data-driven comparison
Starbucks Corporation generates 176% more annual revenue ($38.47B vs $13.96B). NOW leads profitability with a 12.6% profit margin vs 3.9%. NOW appears more attractively valued with a PEG of 0.89. NOW earns a higher WallStSmart Score of 59/100 (C).
NOW
Buy59
out of 100
Grade: C
SBUX
Hold49
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+85.5%
Fair Value
$628.08
Current Price
$91.18
$536.90 discount
Margin of Safety
+26.5%
Fair Value
$134.88
Current Price
$104.93
$29.95 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 22.1% year-over-year
Generating 1.5B in free cash flow
Large-cap with strong market position
Earnings expanding 32.6% YoY
Areas to Watch
Trading at 8.0x book value
2.3% earnings growth
Distress zone — elevated risk
Weak financial health signals
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
3.9% 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 22.1% demonstrates continued momentum. PEG of 0.89 suggests the stock is reasonably priced for its growth.
Bull Case : SBUX
The strongest argument for SBUX centers on Market Cap, EPS Growth.
Bear Case : NOW
The primary concerns for NOW are Price/Book, EPS Growth, Altman Z-Score. A P/E of 55.7x leaves little room for execution misses.
Bear Case : SBUX
The primary concerns for SBUX are PEG Ratio, Return on Equity, Profit Margin. A P/E of 79.6x leaves little room for execution misses. Thin 3.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
NOW profiles as a growth stock while SBUX is a value play — different risk/reward profiles.
SBUX carries more volatility with a beta of 1.01 — 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.
Bottom Line
NOW scores higher overall (59/100 vs 49/100) and 22.1% revenue growth. SBUX offers better value entry with a 26.5% margin of safety. Both earn "Buy" 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.
Starbucks Corporation
CONSUMER CYCLICAL · RESTAURANTS · USA
Starbucks Corporation is an American multinational chain of coffeehouses and roastery reserves headquartered in Seattle, Washington. As the world's largest coffeehouse chain, Starbucks is seen to be the main representation of the United States' second wave of coffee culture.
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