ServiceNow (NYSE:NOW – Get Free Report) and Silvaco Group (NASDAQ:SVCO – Get Free Report) are both technology companies, but which is the better stock? We will compare the two companies based on the strength of their earnings, risk, institutional ownership, profitability, dividends, analyst recommendations and valuation.
Valuation and Earnings
This table compares ServiceNow and Silvaco Group”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| ServiceNow | $13.28 billion | 7.97 | $1.75 billion | $1.39 | 73.32 |
| Silvaco Group | $70.11 million | 3.43 | -$41.21 million | ($0.68) | -10.34 |
ServiceNow has higher revenue and earnings than Silvaco Group. Silvaco Group is trading at a lower price-to-earnings ratio than ServiceNow, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares ServiceNow and Silvaco Group’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| ServiceNow | 9.36% | 15.17% | 6.70% |
| Silvaco Group | -30.45% | -13.28% | -8.94% |
Institutional and Insider Ownership
87.2% of ServiceNow shares are held by institutional investors. 0.3% of ServiceNow shares are held by company insiders. Comparatively, 47.9% of Silvaco Group shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.
Risk & Volatility
ServiceNow has a beta of 1, meaning that its share price has a similar volatility profile to the S&P 500.Comparatively, Silvaco Group has a beta of 0.64, meaning that its share price is 36% less volatile than the S&P 500.
Analyst Recommendations
This is a breakdown of current ratings and recommmendations for ServiceNow and Silvaco Group, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| ServiceNow | 3 | 3 | 36 | 1 | 2.81 |
| Silvaco Group | 1 | 0 | 4 | 0 | 2.60 |
ServiceNow currently has a consensus price target of $154.50, suggesting a potential upside of 51.61%. Silvaco Group has a consensus price target of $13.75, suggesting a potential upside of 95.59%. Given Silvaco Group’s higher probable upside, analysts plainly believe Silvaco Group is more favorable than ServiceNow.
Summary
ServiceNow beats Silvaco Group on 13 of the 15 factors compared between the two stocks.
About ServiceNow
ServiceNow, Inc. provides end to-end intelligent workflow automation platform solutions for digital businesses in the North America, Europe, the Middle East and Africa, Asia Pacific, and internationally. The company operates the Now platform for end-to-end digital transformation, artificial intelligence, machine learning, robotic process automation, process mining, performance analytics, and collaboration and development tools. It also provides asset management, cloud observability, integrated risk management; information technology (IT) service management applications; IT service management product suite for enterprise's employees, customers, and partners; strategic portfolio management product suite; IT operations management product that connects a customer's physical and cloud-based IT infrastructure; IT asset management; and security operations that connects with internal and third party. In addition, the company offers integrated risk management product to manage risk and resilience; environmental, social and governance management product; human resources, legal, and workplace service delivery products; customer service management product; and field service management applications. Further, the company provides app engine product; automation engine; platform privacy and security product; and source-to-pay operations. It serves to government, financial services, healthcare, telecommunications, manufacturing, IT services, technology, oil and gas, education, and consumer products through service providers and resale partners. The company was formerly known as Service-now.com and changed its name to ServiceNow, Inc. in May 2012. ServiceNow, Inc. was founded in 2004 and is headquartered in Santa Clara, California.
About Silvaco Group
Silvaco Group Inc. is a provider of TCAD, EDA software and SIP solutions which enable semiconductor design and AI through software and innovation. The company’s solutions are used for process and device development across display, power devices, automotive, memory, high performance compute, photonics, internet of things and 5G/6G mobile markets for complex SoC design. Silvaco Group Inc. is headquartered in Santa Clara, California.
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