ServiceNow Inc (NOW)vsTE Connectivity Ltd (TEL)
NOW
ServiceNow Inc
$91.18
-2.58%
TECHNOLOGY · Cap: $96.52B
TEL
TE Connectivity Ltd
$206.20
-1.84%
TECHNOLOGY · Cap: $60.19B
Smart Verdict
WallStSmart Research — data-driven comparison
TE Connectivity Ltd generates 34% more annual revenue ($18.70B vs $13.96B). TEL leads profitability with a 15.5% profit margin vs 12.6%. NOW appears more attractively valued with a PEG of 0.89. TEL earns a higher WallStSmart Score of 76/100 (B+).
NOW
Buy59
out of 100
Grade: C
TEL
Strong Buy76
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+85.5%
Fair Value
$628.08
Current Price
$91.18
$536.90 discount
Margin of Safety
-60.0%
Fair Value
$142.79
Current Price
$206.20
$63.41 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Growing faster than its price suggests
Revenue surging 22.1% year-over-year
Generating 1.5B in free cash flow
Earnings expanding 7150.0% YoY
Large-cap with strong market position
Every $100 of equity generates 23 in profit
Strong operational efficiency at 20.3%
Areas to Watch
Trading at 8.0x book value
2.3% earnings growth
Distress zone — elevated risk
Weak financial health signals
No major concerns identified
Comparative Analysis Report
WallStSmart ResearchBull 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 : TEL
The strongest argument for TEL centers on EPS Growth, Market Cap, Return on Equity. Profitability is solid with margins at 15.5% and operating margin at 20.3%. Revenue growth of 14.5% demonstrates continued momentum.
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 : TEL
No major red flags identified for TEL, but monitor valuation.
Key Dynamics to Monitor
NOW profiles as a growth stock while TEL is a mature play — different risk/reward profiles.
TEL carries more volatility with a beta of 1.18 — 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
TEL scores higher overall (76/100 vs 59/100), backed by strong 15.5% margins and 14.5% revenue growth. NOW offers better value entry with a 85.5% 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.
TE Connectivity Ltd
TECHNOLOGY · ELECTRONIC COMPONENTS · USA
TE Connectivity is an American Swiss-domiciled technology company that designs and manufactures connectors and sensors for several industries, such as automotive, industrial equipment, data communication systems, aerospace, defense, medical, oil and gas, consumer electronics and energy.
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