Workday, Inc. (WDAY) vs ServiceNow, Inc. (NOW)
SaaS Metrics Comparison
Summary Verdict
Rule of 40NOW
EV / RevenueWDAY
Revenue Growth (YoY)NOW
Gross MarginWDAY
FCF MarginNOW
Metrics Comparison
| Metric | Workday, Inc. (WDAY) | ServiceNow, Inc. (NOW) |
|---|---|---|
| Rule of 40 | 42.2 | 55.3 |
| EV / Revenue | 3.7x | 7.6x |
| Revenue Growth (YoY) | 13.1% | 20.9% |
| Gross Margin | 99% | 78% |
| FCF Margin | 29.1% | 34.5% |
| NRR | N/A | N/A |
| Market Cap | $33.9B | $104.3B |
| ARR Growth (YoY) | N/A | N/A |
| CAC Payback (months) | N/A | N/A |
| Operating Margin | 7.5% | 13.7% |
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Analysis
As of Q1 2026, Workday, Inc. trades at 3.7x EV/Revenue versus ServiceNow, Inc. at 7.6x. On the Rule of 40, Workday, Inc. scores 42.2 compared to ServiceNow, Inc.'s 55.3, placing ServiceNow, Inc. ahead in operating efficiency among public SaaS companies.