WallStSmart

Duolingo Inc (DUOL)vsServiceNow Inc (NOW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

ServiceNow Inc generates 1170% more annual revenue ($13.96B vs $1.10B). DUOL leads profitability with a 38.4% profit margin vs 12.6%. DUOL trades at a lower P/E of 14.3x. DUOL earns a higher WallStSmart Score of 65/100 (C+).

DUOL

Buy

65

out of 100

Grade: C+

Growth: 8.7Profit: 8.5Value: 7.7Quality: 7.5
Piotroski: 2/9Altman Z: 2.81

NOW

Buy

59

out of 100

Grade: C

Growth: 7.3Profit: 6.0Value: 6.7Quality: 5.0
Piotroski: 1/9Altman Z: 1.65
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DUOLUndervalued (+57.5%)

Margin of Safety

+57.5%

Fair Value

$257.05

Current Price

$119.94

$137.11 discount

UndervaluedFair: $257.05Overvalued
NOWUndervalued (+83.9%)

Margin of Safety

+83.9%

Fair Value

$610.72

Current Price

$98.34

$512.38 discount

UndervaluedFair: $610.72Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DUOL6 strengths · Avg: 9.0/10
Return on EquityProfitability
30.4%10/10

Every $100 of equity generates 30 in profit

Profit MarginProfitability
38.4%10/10

Keeps 38 of every $100 in revenue as profit

Debt/EquityHealth
0.0710/10

Conservative balance sheet, low leverage

P/E RatioValuation
14.3x8/10

Attractively priced relative to earnings

Revenue GrowthGrowth
26.5%8/10

Revenue surging 26.5% year-over-year

EPS GrowthGrowth
23.6%8/10

Earnings expanding 23.6% YoY

NOW5 strengths · Avg: 8.4/10
Market CapQuality
$101.42B9/10

Large-cap with strong market position

Debt/EquityHealth
0.219/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.958/10

Growing faster than its price suggests

Revenue GrowthGrowth
22.1%8/10

Revenue surging 22.1% year-over-year

Free Cash FlowQuality
$1.53B8/10

Generating 1.5B in free cash flow

Areas to Watch

DUOL1 concerns · Avg: 3.0/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

NOW4 concerns · Avg: 3.8/10
Price/BookValuation
8.6x4/10

Trading at 8.6x 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

Comparative Analysis Report

WallStSmart Research

Bull Case : DUOL

The strongest argument for DUOL centers on Return on Equity, Profit Margin, Debt/Equity. Profitability is solid with margins at 38.4% and operating margin at 15.4%. Revenue growth of 26.5% demonstrates continued momentum.

Bull Case : NOW

The strongest argument for NOW centers on Market Cap, Debt/Equity, PEG Ratio. Revenue growth of 22.1% demonstrates continued momentum. PEG of 0.95 suggests the stock is reasonably priced for its growth.

Bear Case : DUOL

The primary concerns for DUOL are Piotroski F-Score.

Bear Case : NOW

The primary concerns for NOW are Price/Book, EPS Growth, Altman Z-Score. A P/E of 58.5x leaves little room for execution misses.

Key Dynamics to Monitor

NOW carries more volatility with a beta of 0.93 — expect wider price swings.

DUOL is growing revenue faster at 26.5% — 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

DUOL scores higher overall (65/100 vs 59/100), backed by strong 38.4% margins and 26.5% revenue growth. NOW offers better value entry with a 83.9% 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.

Duolingo Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Duolingo Inc (DUOL) is a pioneering leader in the edtech industry, celebrated for its innovative language-learning platform that has attracted more than 500 million users worldwide through an effective freemium model and enticing gamification strategies. Founded in 2011, the company employs sophisticated AI-driven personalized learning to optimize user engagement and retention across a broad spectrum of over 30 languages. With a strong commitment to making education universally accessible, Duolingo is well-positioned to capitalize on the burgeoning digital learning market, presenting compelling growth opportunities for institutional investors looking to invest in the future of educational technology.

Visit Website →

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.

Want to dig deeper into these stocks?