UiPath vs ServiceNow Which Is More Profitable?

UiPath and ServiceNow are two dominant players in the technology sector, each offering unique solutions that cater to different aspects of business operations. While UiPath specializes in robotic process automation (RPA) technology, enabling organizations to streamline their processes and improve efficiency, ServiceNow provides cloud-based platforms for IT service management and enterprise operations. Both companies have seen significant growth in their stock prices in recent years, as demand for digital automation and cloud solutions continues to rise. Investors looking to capitalize on this trend may find opportunities in both UiPath and ServiceNow stocks, but careful analysis of their financial performance and market positioning is essential to make informed investment decisions.

UiPath or ServiceNow?

When comparing UiPath and ServiceNow, 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 UiPath and ServiceNow.

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. UiPath has a dividend yield of -%, while ServiceNow has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. UiPath reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, ServiceNow 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 UiPath P/E ratio at -90.43 and ServiceNow's P/E ratio at 174.04. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. UiPath P/B ratio is 4.78 while ServiceNow's P/B ratio is 25.03.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, UiPath has seen a 5-year revenue growth of 5.75%, while ServiceNow's is 2.00%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with UiPath's ROE at -4.81% and ServiceNow's ROE at 15.86%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $14.49 for UiPath and $1114.02 for ServiceNow. Over the past year, UiPath's prices ranged from $10.37 to $27.87, with a yearly change of 168.76%. ServiceNow's prices fluctuated between $637.99 and $1147.37, with a yearly change of 79.84%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.