WallStSmart

ServiceNow Inc (NOW)vsRaytheon Technologies Corp (RTX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Raytheon Technologies Corp generates 547% more annual revenue ($90.37B vs $13.96B). NOW leads profitability with a 12.6% profit margin vs 8.0%. NOW appears more attractively valued with a PEG of 0.89. RTX earns a higher WallStSmart Score of 59/100 (C).

NOW

Buy

59

out of 100

Grade: C

Growth: 7.3Profit: 6.5Value: 6.7Quality: 3.8
Piotroski: 1/9Altman Z: 1.65

RTX

Buy

59

out of 100

Grade: C

Growth: 7.3Profit: 6.0Value: 3.3Quality: 6.0
Piotroski: 6/9Altman Z: 1.55
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NOWUndervalued (+85.2%)

Margin of Safety

+85.2%

Fair Value

$630.85

Current Price

$91.18

$539.67 discount

UndervaluedFair: $630.85Overvalued
RTXSignificantly Overvalued (-51.9%)

Margin of Safety

-51.9%

Fair Value

$116.35

Current Price

$176.09

$59.74 premium

UndervaluedFair: $116.35Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NOW4 strengths · Avg: 8.3/10
Market CapQuality
$96.52B9/10

Large-cap with strong market position

PEG RatioValuation
0.898/10

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

RTX3 strengths · Avg: 8.7/10
Market CapQuality
$238.07B10/10

Mega-cap, among the largest globally

EPS GrowthGrowth
32.5%8/10

Earnings expanding 32.5% YoY

Free Cash FlowQuality
$1.21B8/10

Generating 1.2B in free cash flow

Areas to Watch

NOW4 concerns · Avg: 3.8/10
Price/BookValuation
8.0x4/10

Trading at 8.0x 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

RTX3 concerns · Avg: 4.0/10
PEG RatioValuation
2.434/10

Expensive relative to growth rate

P/E RatioValuation
33.1x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.554/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull 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 : RTX

The strongest argument for RTX centers on Market Cap, EPS Growth, Free Cash Flow.

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 : RTX

The primary concerns for RTX are PEG Ratio, P/E Ratio, Altman Z-Score.

Key Dynamics to Monitor

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

NOW carries more volatility with a beta of 0.82 — 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 59/100) and 22.1% revenue growth. 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.

Raytheon Technologies Corp

INDUSTRIALS · AEROSPACE & DEFENSE · USA

Raytheon Technologies Corporation is an American multinational aerospace and defense conglomerate headquartered in Waltham, Massachusetts. It is one of the largest aerospace, intelligence services providers, and defense manufacturers in the world by revenue and market capitalization. Raytheon Technologies (RTX) researches, develops, and manufactures advanced technology products in the aerospace and defense industry, including aircraft engines, avionics, aerostructures, cybersecurity, guided missiles, air defense systems, satellites, and drones.

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