ServiceNow Inc (NOW)vsShopify Inc (SHOP)
NOW
ServiceNow Inc
$112.45
-0.46%
TECHNOLOGY · Cap: $107.41B
SHOP
Shopify Inc
$109.54
-5.60%
TECHNOLOGY · Cap: $139.50B
Smart Verdict
WallStSmart Research — data-driven comparison
ServiceNow Inc generates 13% more annual revenue ($13.96B vs $12.37B). NOW leads profitability with a 12.6% profit margin vs 10.8%. NOW appears more attractively valued with a PEG of 1.01. NOW earns a higher WallStSmart Score of 57/100 (C).
NOW
Buy57
out of 100
Grade: C
SHOP
Buy50
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+83.5%
Fair Value
$613.35
Current Price
$112.45
$500.90 discount
Margin of Safety
+18.4%
Fair Value
$143.39
Current Price
$109.54
$33.85 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Revenue surging 34.3% year-over-year
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Large-cap with strong market position
Areas to Watch
Trading at 9.9x book value
2.3% earnings growth
Distress zone — elevated risk
Weak financial health signals
Expensive relative to growth rate
Trading at 11.4x book value
Weak financial health signals
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull 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 1.01 suggests the stock is reasonably priced for its growth.
Bull Case : SHOP
The strongest argument for SHOP centers on Revenue Growth, Debt/Equity, Altman Z-Score. Revenue growth of 34.3% demonstrates continued momentum.
Bear Case : NOW
The primary concerns for NOW are Price/Book, EPS Growth, Altman Z-Score. A P/E of 62.0x leaves little room for execution misses.
Bear Case : SHOP
The primary concerns for SHOP are PEG Ratio, Price/Book, Piotroski F-Score. A P/E of 105.4x leaves little room for execution misses.
Key Dynamics to Monitor
SHOP carries more volatility with a beta of 2.59 — expect wider price swings.
SHOP is growing revenue faster at 34.3% — 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
NOW scores higher overall (57/100 vs 50/100) and 22.1% revenue growth. SHOP offers better value entry with a 18.4% 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.
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.
Shopify Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Shopify Inc., a commerce company, offers a commerce and service platform in Canada, the United States, the United Kingdom, Australia, Latin America, and internationally. The company is headquartered in Ottawa, Canada.
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