WallStSmart

ServiceNow Inc (NOW)vsSprout Social Inc (SPT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

ServiceNow Inc generates 2802% more annual revenue ($13.28B vs $457.55M). NOW leads profitability with a 13.2% profit margin vs -9.5%. SPT appears more attractively valued with a PEG of 0.08. NOW earns a higher WallStSmart Score of 56/100 (C).

NOW

Buy

56

out of 100

Grade: C

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

SPT

Buy

52

out of 100

Grade: C-

Growth: 6.7Profit: 2.0Value: 6.7Quality: 5.0
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

Intrinsic value data unavailable for SPT.

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

SPT2 strengths · Avg: 9.0/10
PEG RatioValuation
0.0810/10

Growing faster than its price suggests

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

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

SPT4 concerns · Avg: 2.5/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$351.41M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-23.4%2/10

ROE of -23.4% — below average capital efficiency

Profit MarginProfitability
-9.5%1/10

Currently unprofitable

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 : SPT

The strongest argument for SPT centers on PEG Ratio, Price/Book. Revenue growth of 12.9% demonstrates continued momentum. PEG of 0.08 suggests the stock is reasonably priced for its growth.

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 : SPT

The primary concerns for SPT are EPS Growth, Market Cap, Return on Equity.

Key Dynamics to Monitor

NOW profiles as a growth stock while SPT is a turnaround 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

NOW scores higher overall (56/100 vs 52/100) and 20.7% 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.

Sprout Social Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Sprout Social, Inc. designs, develops, and operates a web-based social media management tool in the Americas, EMEA, and Asia Pacific. The company is headquartered in Chicago, Illinois.

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