Adobe Inc (ADBE) is undervalued and ServiceNow Inc (NOW) is slightly undervalued.
Against our estimates of intrinsic value, ADBE trades at the wider discount: a margin of safety of +65%, against +9% for NOW.
Values as of the 22 Sept 2026 close.
A 10.6x revenue multiple, adjusted for growth and margin, values the shares at $687.96; the price of $238.25 is 65% below that value.
Leak Score 85/100 on 10 of 12 signals
A 10.4x revenue multiple, adjusted for growth and margin, values the shares at $150.34; the price of $137.00 is 9% below that value.
Leak Score 58/100 on 10 of 12 signals
| Metric | ADBE | NOW |
|---|---|---|
| Verdict | Undervalued | Slightly undervalued |
| Price | $238.25 | $137.00 |
| Intrinsic value | $687.96 | $150.34 |
| Margin of safety | +65% | +9% |
| Leak Score | 85/100 (10/12) | 58/100 (10/12) |
| Market cap | $94.7B | $141.7B |
| Revenue growth, 5 years | 13.1% | 24.1% |
| Operating margin | 36.4% | 13.6% |
| Net margin | 28.1% | 11.3% |
| Return on equity | 61.9% | 14.2% |
| Debt to equity | 0.57 | 0.68 |
| P/E | 13.3x | 85.6x |
| Forward P/E | 8.6x | 27.3x |
| P/B | 8.3x | 11.3x |