Which Is a Better Investment, ServiceNow Inc or Oracle Corporation Stock?

By AAII Staff
June 06, 2026
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Sifting through countless of stocks in the Software industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in Oracle Corporation, ServiceNow or Inc. because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how Oracle Corporation, ServiceNow and Inc. compare based on key financial metrics to determine which better meets your investment needs.

About Oracle Corporation, ServiceNow and Inc.

Oracle Corporation offers products and services that address enterprise information technology environments worldwide. Its Oracle cloud software as a service offering include various cloud software applications, including Oracle Fusion cloud enterprise resource planning ERP, Oracle Fusion cloud enterprise performance management EPM, Oracle Fusion cloud supply chain and manufacturing management SCM, Oracle Fusion cloud human capital management HCM, and NetSuite applications suite, Oracle Health applications, as well as Oracle Fusion Sales, Service, and Marketing. The company also offers cloud-based industry solutions for various industries; Oracle cloud license and on-premise license; and Oracle license support services. In addition, it provides cloud and license business’ infrastructure technologies, such as the Oracle Database and MySQL Database; Java, a software development language; and middleware, including development tools and others. The company’s cloud and license business’ infrastructure technologies also comprise cloud-based compute, storage, and networking capabilities; and Oracle autonomous database, as well as AI, Internet-of-Things, machine learning, digital assistant, and blockchain. Further, it provides hardware products and other hardware-related software offerings, including Oracle engineered systems, enterprise servers, storage solutions, industry-specific hardware, virtualization software, operating systems, management software, and related hardware support services, and consulting and advanced customer services. It markets and sells its cloud, license, hardware, support, and services offerings directly to businesses in various industries, government agencies, and educational institutions, as well as through indirect channels. Oracle Corporation has a strategic alliance with Metron, Inc. The company was founded in 1977 and is headquartered in Austin, Texas.

ServiceNow, Inc. provides cloud-based solution for digital workflows in the North America, Europe, the Middle East and Africa, Asia Pacific, and internationally. The company provides asset management, integrated risk management, IT service management, Operational Technology management, Security Operations, strategic portfolio management, IT operations management products; customer service management product; field service management applications; and sales and order management services. It also offers human resources delivery; legal and contract operations; workplace service delivery products; app engine product; automation engine; platform privacy and security product; and source-to-pay operations. In addition, the company provides RaptorDB, a database built to manage workloads at scale; ServiceNow Impact that provides customers with software tools, guided plans, and AI-driven recommendations; customer support; and workflow data fabric. It serves government, financial services, healthcare and life science, manufacturing, Public Sector, retail, technology, and Telecom sectors through service providers and resale partners. The company has a strategic collaboration with Cohesity, Inc. to develop, operate, and safeguard autonomous AI agents and data with enterprise-grade reliability. 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.

Latest Software and Oracle Corporation, ServiceNow, Inc. Stock News

As of June 5, 2026, Oracle Corporation had a $614.6 billion market capitalization, compared to the Software median of $952.2 million. Oracle Corporation’s stock is up 9.6% in 2026, down 5.4% in the previous five trading days and up 27.12% in the past year.

Currently, Oracle Corporation’s price-earnings ratio is 38.3. Oracle Corporation’s trailing 12-month revenue is $64.1 billion with a 25.3% net profit margin. Year-over-year quarterly sales growth most recently was 21.7%. Analysts expect adjusted earnings to reach $7.424 per share for the current fiscal year. Oracle Corporation currently has a 0.9% dividend yield.

As of June 5, 2026, ServiceNow, Inc. had a $116.0 billion market cap, putting it in the 97th percentile of all stocks. ServiceNow, Inc.’s stock is down 26.6% in 2026, down 9.6% in the previous five trading days and down 44.48% in the past year.

Currently, ServiceNow, Inc.’s price-earnings ratio is 66.9. ServiceNow, Inc.’s trailing 12-month revenue is $14.0 billion with a 12.6% net profit margin. Year-over-year quarterly sales growth most recently was 22.1%. Analysts expect adjusted earnings to reach $4.123 per share for the current fiscal year. ServiceNow, Inc. does not currently pay a dividend.

How We Compare Oracle Corporation, ServiceNow and Inc. Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at Oracle Corporation, ServiceNow and Inc.’s stock grades to see how they measure up against one another.

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Oracle Corporation, ServiceNow and Inc. Growth Grades

Company Ticker Growth
Oracle Corporation ORCL A
ServiceNow, Inc. NOW B

The foundation of growth investing is seeking out stocks of companies exhibiting strong, consistent and prolonged growth that is expected to continue into the future.

In order to compute the growth score and assign it a letter grade, the percentile ranks for each of three components‐consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations‐must be determined. These three rank figures are added together, and the sum is ranked against the entire stock universe to arrive at a company’s Growth Score to create an equal distribution of grades.

The companies in the bottom 20% of the stock universe receive Growth Grades of F, considered to be very weak, while those in the top 20% receive A grades, which are considered very strong.

Oracle Corporation has a Growth Score of 100, which is Very Strong. ServiceNow, Inc. has a Growth Score of 69, which is Strong.

The Growth Grade Winner: Oracle Corporation

As you can clearly see from the Growth Grade breakdown above, Oracle Corporation has a more attractive growth grade than ServiceNow, Inc.. For investors who focus solely on how a company is growing relative to other companies in the same industry, Oracle Corporation could be a good stock to add to their portfolio. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Oracle Corporation, ServiceNow and Inc.’s Momentum Grades

Company Ticker Momentum
Oracle Corporation ORCL B
ServiceNow, Inc. NOW F

Momentum grades help to uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming. Momentum is based on the price change of a stock over a specified period relative to all other stocks.

Typically, AAII looks at the weighted relative strength over the trailing four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters. The most recent quarterly price change is given a weight of 40% and each of the three previous quarters are given a weighting of 20%.

Oracle Corporation has a Momentum Score of 80, which is Strong. ServiceNow, Inc. has a Momentum Score of 13, which is Very Weak.

The Momentum Grade Winner: Oracle Corporation

As you can clearly see from the Momentum Grade breakdown above, Oracle Corporation is considered to have stronger momentum compared to ServiceNow, Inc.. For those specifically looking for companies that have stronger momentum compared to other companies in the same industry, Oracle Corporation could be a good stock to invest in. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Oracle Corporation, ServiceNow and Inc.’s Estimate Revisions Grades

Company Ticker Earnings Estimate
Oracle Corporation ORCL C
ServiceNow, Inc. NOW C

Earnings estimate revisions scores consider the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, positive surprises beget further positive surprises‐or at least continued sales growth (the exact opposite is generally true, too).

Estimate revisions offer an indication of what analysts are thinking about the short-term prospects of a firm. Estimate revisions are based on the statistical significance of a firm’s last two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months.

Oracle Corporation has a Earnings Estimate Score of 60, which is Neutral. ServiceNow, Inc. has a Earnings Estimate Score of 44, which is Neutral.

The Earnings Estimate Revisions Stock Winner: No Clear Winner

Neither Oracle Corporation, ServiceNow or Inc. has an Earnings Estimate Revisions Grade that could be considered a “winner.” Investors considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolios. It’s important to look at a wide range of financial metrics in order to determine if Oracle Corporation, ServiceNow or Inc. is the better investment when it comes to estimate revisions.

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Other Oracle Corporation, ServiceNow and Inc. Grades

In addition to Estimate Revisions, Momentum and Growth, A+ Investor also provides grades for Value and Quality.

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Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection. Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

AAII’s A+ Investor Quality Grade comes from the ranking of key metrics. Specifically, the quality grade is the percentile rank of the composite of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and F-Score.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether Oracle Corporation, ServiceNow and Inc. pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, Oracle Corporation, ServiceNow or Inc. Stock?

Overall, Oracle Corporation stock has a Growth Score of 100, Momentum Score of 80 and Estimate Revisions Score of 60.

ServiceNow, Inc. stock has a Growth Score of 69, Momentum Score of 13 and Estimate Revisions Score of 44.

Comparing Oracle Corporation, ServiceNow and Inc.’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

Learn More About A+ Investor

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.



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