WallStSmart

DocuSign Inc (DOCU)vsServiceNow Inc (NOW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

ServiceNow Inc generates 312% more annual revenue ($13.28B vs $3.22B). NOW leads profitability with a 13.2% profit margin vs 9.6%. DOCU appears more attractively valued with a PEG of 0.56. DOCU earns a higher WallStSmart Score of 60/100 (C+).

DOCU

Buy

60

out of 100

Grade: C+

Growth: 6.0Profit: 6.5Value: 7.3Quality: 5.0
Piotroski: 2/9Altman Z: 1.12

NOW

Buy

56

out of 100

Grade: C

Growth: 7.3Profit: 7.0Value: 4.7Quality: 3.8
Piotroski: 1/9Altman Z: 1.65
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DOCUSignificantly Overvalued (-16.6%)

Margin of Safety

-16.6%

Fair Value

$38.01

Current Price

$46.30

$8.29 premium

UndervaluedFair: $38.01Overvalued
NOWSignificantly Overvalued (-404.2%)

Margin of Safety

-404.2%

Fair Value

$20.44

Current Price

$103.06

$82.62 premium

UndervaluedFair: $20.44Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DOCU2 strengths · Avg: 9.0/10
Debt/EquityHealth
0.0810/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.568/10

Growing faster than its price suggests

NOW3 strengths · Avg: 8.3/10
Market CapQuality
$110.42B9/10

Large-cap with strong market position

Revenue GrowthGrowth
20.7%8/10

Revenue surging 20.7% year-over-year

Free Cash FlowQuality
$2.00B8/10

Generating 2.0B in free cash flow

Areas to Watch

DOCU3 concerns · Avg: 3.0/10
P/E RatioValuation
31.2x4/10

Premium valuation, high expectations priced in

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Altman Z-ScoreHealth
1.122/10

Distress zone — elevated risk

NOW4 concerns · Avg: 3.8/10
Price/BookValuation
8.3x4/10

Trading at 8.3x book value

EPS GrowthGrowth
3.4%4/10

3.4% earnings growth

Altman Z-ScoreHealth
1.654/10

Distress zone — elevated risk

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : DOCU

The strongest argument for DOCU centers on Debt/Equity, PEG Ratio. PEG of 0.56 suggests the stock is reasonably priced for its growth.

Bull Case : NOW

The strongest argument for NOW centers on Market Cap, Revenue Growth, Free Cash Flow. Revenue growth of 20.7% demonstrates continued momentum. PEG of 1.06 suggests the stock is reasonably priced for its growth.

Bear Case : DOCU

The primary concerns for DOCU are P/E Ratio, Piotroski F-Score, Altman Z-Score.

Bear Case : NOW

The primary concerns for NOW are Price/Book, EPS Growth, Altman Z-Score. A P/E of 62.7x leaves little room for execution misses.

Key Dynamics to Monitor

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

DOCU carries more volatility with a beta of 1.06 — expect wider price swings.

NOW is growing revenue faster at 20.7% — sustainability is the question.

NOW generates stronger free cash flow (2.0B), providing more financial flexibility.

Bottom Line

DOCU scores higher overall (60/100 vs 56/100). 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.

DocuSign Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

DocuSign, Inc. provides cloud-based software in the United States and internationally. The company is headquartered in San Francisco, California.

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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