WallStSmart

ServiceNow Inc (NOW)vsUnity Software Inc (U)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

ServiceNow Inc generates 666% more annual revenue ($14.73B vs $1.92B). NOW leads profitability with a 11.3% profit margin vs -35.0%. NOW earns a higher WallStSmart Score of 49/100 (D+).

NOW

Hold

49

out of 100

Grade: D+

Growth: 6.7Profit: 5.5Value: 6.7Quality: 4.0
Piotroski: 1/9Altman Z: 1.65

U

Avoid

32

out of 100

Grade: F

Growth: 6.0Profit: 2.0Value: 6.7Quality: 5.0
Piotroski: 5/9Altman Z: 0.10
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NOWUndervalued (+81.5%)

Margin of Safety

+81.5%

Fair Value

$634.69

Current Price

$124.88

$509.81 discount

UndervaluedFair: $634.69Overvalued
UUndervalued (+50.8%)

Margin of Safety

+50.8%

Fair Value

$39.90

Current Price

$43.00

$3.10 discount

UndervaluedFair: $39.90Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NOW3 strengths · Avg: 8.3/10
Market CapQuality
$122.14B9/10

Large-cap with strong market position

PEG RatioValuation
0.998/10

Growing faster than its price suggests

Revenue GrowthGrowth
24.0%8/10

Revenue surging 24.0% year-over-year

U1 strengths · Avg: 8.0/10
Revenue GrowthGrowth
16.8%8/10

16.8% revenue growth

Areas to Watch

NOW4 concerns · Avg: 3.5/10
Price/BookValuation
10.3x4/10

Trading at 10.3x book value

Altman Z-ScoreHealth
1.654/10

Distress zone — elevated risk

Operating MarginProfitability
4.1%3/10

Operating margin of 4.1%

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

U4 concerns · Avg: 2.3/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Return on EquityProfitability
-22.6%2/10

ROE of -22.6% — below average capital efficiency

Altman Z-ScoreHealth
0.102/10

Distress zone — elevated risk

Profit MarginProfitability
-35.0%1/10

Currently unprofitable

Comparative Analysis Report

WallStSmart Research

Bull Case : NOW

The strongest argument for NOW centers on Market Cap, PEG Ratio, Revenue Growth. Revenue growth of 24.0% demonstrates continued momentum. PEG of 0.99 suggests the stock is reasonably priced for its growth.

Bull Case : U

The strongest argument for U centers on Revenue Growth. Revenue growth of 16.8% demonstrates continued momentum.

Bear Case : NOW

The primary concerns for NOW are Price/Book, Altman Z-Score, Operating Margin. A P/E of 72.0x leaves little room for execution misses.

Bear Case : U

The primary concerns for U are EPS Growth, Return on Equity, Altman Z-Score.

Key Dynamics to Monitor

U carries more volatility with a beta of 2.05 — expect wider price swings.

NOW is growing revenue faster at 24.0% — sustainability is the question.

NOW generates stronger free cash flow (473M), providing more financial flexibility.

Monitor SOFTWARE - APPLICATION industry trends, competitive dynamics, and regulatory changes.

Bottom Line

NOW scores higher overall (49/100 vs 32/100) and 24.0% revenue growth. U offers better value entry with a 50.8% margin of safety. Both earn "Hold" and "Avoid" 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.

Unity Software Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Unity Software Inc. operates a real-time 3D development platform. The company is headquartered in San Francisco, California.

Visit Website →

Want to dig deeper into these stocks?