NOW vs PANW: Which Is the Better Buy?
Side-by-side comparison of ServiceNow, Inc. and Palo Alto Networks, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-26.
ServiceNow, Inc. · Technology
$139.82
+16.2% upside to fair value
Med Conviction
Grade A-
High Quality
VS
Palo Alto Networks, Inc. · Technology
$374.74
-5.2% upside to fair value
Med Conviction
Grade C
High Quality
QuantHub Verdict
NOW has more upside to fair value
(+16.2%).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
NOW |
PANW |
| Current Price |
$139.82 |
$374.74 |
| Fair Value Estimate |
$162.50 |
$355.11 |
| Upside to Fair Value |
+16.2%
|
-5.2%
|
| Market Cap |
$144.6B |
$305.4B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
43.1x
|
569.8x
|
| Price / Sales |
9.8x
|
26.6x
|
| Price / FCF |
31.5x
|
64.0x
|
| Revenue Growth YoY |
+24.0%
|
+34.4%
|
| Gross Margin |
74.8%
|
70.4%
|
| Operating Margin |
11.4%
|
6.1%
|
| Return on Equity |
13.8%
|
1.7%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
3.17%
|
1.56%
|
| Analyst Consensus |
Strong Buy
|
Strong Buy
|
Investment Thesis
ServiceNow provides a cloud-based enterprise workflow platform spanning IT service management, operations, employee workflows, CRM, AI orchestration and security. Business quality is high because its common data model, deeply embedded workflows and cross-department deployments create meaningful switching costs, while roughly 90% of the Fortune 500 use the platform and more than 85 billion workflo…
Palo Alto Networks is a global cybersecurity leader built around next-generation firewalls, the Panorama management platform, and a broad subscription portfolio spanning threat prevention, cloud security, secure access, and security analytics, sold to medium and large enterprises, service providers, and governments through direct and channel distribution. The business quality is genuinely high on…
Accumulation Zones
| Metric |
NOW |
PANW |
| Zone Low |
$121.88 |
$266.33 |
| Zone High |
$138.12 |
$301.84 |
| In Buy Zone? |
No
|
No
|