ServiceNow Inc (NOW)vsSterling Construction Company Inc (STRL)
NOW
ServiceNow Inc
$112.45
-0.46%
TECHNOLOGY · Cap: $107.41B
STRL
Sterling Construction Company Inc
$882.43
-11.20%
INDUSTRIALS · Cap: $26.36B
Smart Verdict
WallStSmart Research — data-driven comparison
ServiceNow Inc generates 384% more annual revenue ($13.96B vs $2.88B). NOW leads profitability with a 12.6% profit margin vs 12.0%. NOW appears more attractively valued with a PEG of 1.01. STRL earns a higher WallStSmart Score of 69/100 (B-).
NOW
Buy57
out of 100
Grade: C
STRL
Strong Buy69
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+83.5%
Fair Value
$613.35
Current Price
$112.45
$500.90 discount
Intrinsic value data unavailable for STRL.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Conservative balance sheet, low leverage
Revenue surging 22.1% year-over-year
Generating 1.5B in free cash flow
Revenue surging 91.6% year-over-year
Earnings expanding 141.4% YoY
Every $100 of equity generates 29 in profit
Conservative balance sheet, low leverage
Areas to Watch
Trading at 9.9x book value
2.3% earnings growth
Distress zone — elevated risk
Weak financial health signals
Premium valuation, high expectations priced in
Trading at 24.4x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : NOW
The strongest argument for NOW centers on Market Cap, Debt/Equity, Revenue Growth. Revenue growth of 22.1% demonstrates continued momentum. PEG of 1.01 suggests the stock is reasonably priced for its growth.
Bull Case : STRL
The strongest argument for STRL centers on Revenue Growth, EPS Growth, Return on Equity. Revenue growth of 91.6% demonstrates continued momentum. PEG of 1.47 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 62.0x leaves little room for execution misses.
Bear Case : STRL
The primary concerns for STRL are P/E Ratio, Price/Book. A P/E of 76.9x leaves little room for execution misses.
Key Dynamics to Monitor
STRL carries more volatility with a beta of 1.82 — expect wider price swings.
STRL is growing revenue faster at 91.6% — 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
STRL scores higher overall (69/100 vs 57/100) and 91.6% revenue growth. NOW offers better value entry with a 83.5% margin of safety. Both earn "Strong 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.
Sterling Construction Company Inc
INDUSTRIALS · ENGINEERING & CONSTRUCTION · USA
Sterling Construction Company, Inc., a construction company, engages in residential construction, specialty services, and heavy civil activities primarily in the southern United States, the Rocky Mountain states, California, and Hawaii. The company is headquartered in The Woodlands, Texas.
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