analyticsIT Service Management / HR Tech
Data as of Q1 2026
Summary Verdict
NOW: 4—WDAY: 1wins
Rule of 40
59.4NOW
33.2WDAY
check_circleNOW leads
Revenue Growth
22.7%NOW
13.2%WDAY
check_circleNOW leads
Gross Margin
77%NOW
98%WDAY
check_circleWDAY leads
FCF Margin
36.7%NOW
20.0%WDAY
check_circleNOW leads
Operating Margin
14.0%NOW
9.2%WDAY
check_circleNOW leads
NRR
—NOW
—WDAY
Metric
Rule of 40Efficiency score
NOW
59.4check_circle
WDAY
33.2
Revenue GrowthYoY
NOW
22.7%check_circle
WDAY
13.2%
Gross Margin% of revenue
NOW
77%
WDAY
98%check_circle
FCF MarginFree cash flow
NOW
36.7%check_circle
WDAY
20.0%
Operating MarginGAAP
NOW
14.0%check_circle
WDAY
9.2%
NRRNet retention
NOW
N/A
WDAY
N/A
EV / RevenueValuation multiple
NOW
8.4x
WDAY
4.1xcheck_circle
Market CapUSD
NOW
$116.0Bcheck_circle
WDAY
$37.8B
ARR GrowthYoY
NOW
N/A
WDAY
N/A
CAC PaybackMonths to recover
NOW
N/A
WDAY
N/A
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Analysis
As of Q1 2026, ServiceNow, Inc. trades at 8.4x EV/Revenue versus Workday, Inc. at 4.1x. On the Rule of 40, ServiceNow, Inc. scores 59.4 compared to Workday, Inc.'s 33.2, placing ServiceNow, Inc. ahead in operating efficiency. Gross margins stand at ServiceNow, Inc. 77% vs Workday, Inc. 98%.