ServiceNow vs Smartsheet

ServiceNow and Smartsheet are two leading companies in the software-as-a-service industry, both offering unique solutions that cater to different needs in the market. ServiceNow focuses on IT service management and enterprise workflow automation, while Smartsheet specializes in collaborative work management solutions. Both stocks have shown strong growth potential in recent years, with ServiceNow being a larger player in the market and Smartsheet offering innovative features for project and task management. Investors looking to capitalize on the growing demand for cloud-based services may find both stocks appealing options for their portfolio.

ServiceNow or Smartsheet?

When comparing ServiceNow and Smartsheet, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between ServiceNow and Smartsheet.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. ServiceNow has a dividend yield of -%, while Smartsheet has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. ServiceNow reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Smartsheet reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with ServiceNow P/E ratio at 166.52 and Smartsheet's P/E ratio at -182.79. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. ServiceNow P/B ratio is 22.02 while Smartsheet's P/B ratio is 11.55.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, ServiceNow has seen a 5-year revenue growth of 2.00%, while Smartsheet's is -0.03%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with ServiceNow's ROE at 14.51% and Smartsheet's ROE at -6.87%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $926.66 for ServiceNow and $55.85 for Smartsheet. Over the past year, ServiceNow's prices ranged from $527.24 to $949.59, with a yearly change of 80.11%. Smartsheet's prices fluctuated between $35.52 and $56.09, with a yearly change of 57.91%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.