WallStSmart

ServiceNow Inc (NOW)vsSPS Commerce Inc (SPSC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

ServiceNow Inc generates 1667% more annual revenue ($13.28B vs $751.50M). NOW leads profitability with a 13.2% profit margin vs 12.4%. NOW appears more attractively valued with a PEG of 1.06. SPSC earns a higher WallStSmart Score of 63/100 (C+).

NOW

Buy

56

out of 100

Grade: C

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

SPSC

Buy

63

out of 100

Grade: C+

Growth: 8.0Profit: 6.5Value: 7.3Quality: 7.5
Piotroski: 3/9Altman Z: 4.60
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NOWSignificantly Overvalued (-404.2%)

Margin of Safety

-404.2%

Fair Value

$20.44

Current Price

$103.06

$82.62 premium

UndervaluedFair: $20.44Overvalued
SPSCUndervalued (+38.2%)

Margin of Safety

+38.2%

Fair Value

$110.92

Current Price

$55.00

$55.92 discount

UndervaluedFair: $110.92Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

SPSC4 strengths · Avg: 9.0/10
Debt/EquityHealth
0.0110/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.6010/10

Safe zone — low bankruptcy risk

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

EPS GrowthGrowth
46.9%8/10

Earnings expanding 46.9% YoY

Areas to Watch

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

SPSC2 concerns · Avg: 2.5/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
4.712/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : SPSC

The strongest argument for SPSC centers on Debt/Equity, Altman Z-Score, Price/Book. Revenue growth of 12.7% demonstrates continued momentum.

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.

Bear Case : SPSC

The primary concerns for SPSC are Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

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

NOW carries more volatility with a beta of 1.02 — 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

SPSC scores higher overall (63/100 vs 56/100) and 12.7% 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.

SPS Commerce Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

SPS Commerce, Inc. provides cloud-based supply chain management solutions globally. The company is headquartered in Minneapolis, Minnesota.

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