ServiceNow Inc (NOW)vsOpen Text Corp (OTEX)
NOW
ServiceNow Inc
$132.53
+1.04%
TECHNOLOGY · Cap: $137.02B
OTEX
Open Text Corp
$23.06
+1.99%
TECHNOLOGY · Cap: $5.49B
Smart Verdict
WallStSmart Research — data-driven comparison
ServiceNow Inc generates 181% more annual revenue ($14.73B vs $5.25B). OTEX leads profitability with a 12.3% profit margin vs 11.3%. NOW appears more attractively valued with a PEG of 0.95. OTEX earns a higher WallStSmart Score of 74/100 (B).
NOW
Hold49
out of 100
Grade: D+
OTEX
Strong Buy74
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+78.9%
Fair Value
$626.98
Current Price
$132.53
$494.45 discount
Margin of Safety
+81.4%
Fair Value
$130.17
Current Price
$23.06
$107.11 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 24.0% year-over-year
Attractively priced relative to earnings
Reasonable price relative to book value
Earnings expanding 476.1% YoY
Strong operational efficiency at 24.1%
Areas to Watch
Trading at 10.9x book value
Distress zone — elevated risk
Operating margin of 4.1%
Weak financial health signals
2.9% revenue growth
Elevated debt levels
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : NOW
The strongest argument for NOW centers on Market Cap, PEG Ratio, Revenue Growth. Revenue growth of 24.0% demonstrates continued momentum. PEG of 0.95 suggests the stock is reasonably priced for its growth.
Bull Case : OTEX
The strongest argument for OTEX centers on P/E Ratio, Price/Book, EPS Growth. PEG of 1.02 suggests the stock is reasonably priced for its growth.
Bear Case : NOW
The primary concerns for NOW are Price/Book, Altman Z-Score, Operating Margin. A P/E of 81.8x leaves little room for execution misses.
Bear Case : OTEX
The primary concerns for OTEX are Revenue Growth, Debt/Equity, Altman Z-Score.
Key Dynamics to Monitor
NOW profiles as a growth stock while OTEX is a value play — different risk/reward profiles.
OTEX carries more volatility with a beta of 1.03 — expect wider price swings.
NOW is growing revenue faster at 24.0% — sustainability is the question.
OTEX generates stronger free cash flow (808M), providing more financial flexibility.
Bottom Line
OTEX scores higher overall (74/100 vs 49/100). NOW offers better value entry with a 78.9% margin of safety. Both earn "Strong 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.
Open Text Corp
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Open Text Corporation offers a suite of software products and services. The company is headquartered in Waterloo, Canada.
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