analyticsIT Service Management / HR Tech
Data as of Q4 2025
Summary Verdict
NOW: 4—WDAY: 1wins
Rule of 40
55.3NOW
42.2WDAY
check_circleNOW leads
Revenue Growth
20.9%NOW
13.1%WDAY
check_circleNOW leads
Gross Margin
78%NOW
99%WDAY
check_circleWDAY leads
FCF Margin
34.5%NOW
29.1%WDAY
check_circleNOW leads
Operating Margin
13.7%NOW
7.5%WDAY
check_circleNOW leads
NRR
—NOW
—WDAY
Metric
Rule of 40Efficiency score
NOW
55.3check_circle
WDAY
42.2
Revenue GrowthYoY
NOW
20.9%check_circle
WDAY
13.1%
Gross Margin% of revenue
NOW
78%
WDAY
99%check_circle
FCF MarginFree cash flow
NOW
34.5%check_circle
WDAY
29.1%
Operating MarginGAAP
NOW
13.7%check_circle
WDAY
7.5%
NRRNet retention
NOW
N/A
WDAY
N/A
EV / RevenueValuation multiple
NOW
7.6x
WDAY
3.7xcheck_circle
Market CapUSD
NOW
$104.3Bcheck_circle
WDAY
$33.9B
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 Q4 2025, ServiceNow, Inc. trades at 7.6x EV/Revenue versus Workday, Inc. at 3.7x. On the Rule of 40, ServiceNow, Inc. scores 55.3 compared to Workday, Inc.'s 42.2, placing ServiceNow, Inc. ahead in operating efficiency. Gross margins stand at ServiceNow, Inc. 78% vs Workday, Inc. 99%.