Salesforce, Inc. (CRM)
Information Technology · Application Software · US stock · S&P 500 component
$250.29
▲ +8.51 (3.52%)
Fair valueFair
$263 +5.2% to fair value
$132fair band $224–$319$395
Day's range
$242.70 – $252.42
52-week range
$146.32 – $269.11
About Salesforce, Inc.
Salesforce provides cloud software for managing customer relationships, including sales, service, marketing, commerce and analytics products, as well as the Slack workplace tool and the Tableau data platform. Businesses pay recurring subscription fees to use these applications, and the company also earns revenue from professional services. It has been adding artificial intelligence agents to its products, and acquisitions have been a regular part of its growth.
Over the latest twelve months the company reported revenue of $43.9 billion, with growth of 9.8% a year across three years. It reports an operating margin of 19.9%, with return on invested capital of 10%. Leverage, measured as net debt to EBITDA, is 3.0 times. A dividend is paid, with a yield of 0.7%. Overall, it receives an X-Ray Score of 52 out of 100. These figures describe past results and the present financial position only.
Price chart
52-wk range $146.32 – $269.11Volume 9,741,265Daily, split-adjusted
Vitals
Market cap$205.5B
52-week range$146.32 – $269.11
Volume (last day)9,741,265
P/E (TTM)23.3
EBIT / EV yield3.7%
Free-cash-flow yield7.4%
Dividend yield0.7%
Revenue (TTM)$43.9B
Net income (TTM)$9.7B
Operating margin19.9%
Return on capital9.9%
Debt incl. leases$41.7B
Cash & securities$11.4B
Debt = borrowings plus lease liabilities. Cash & securities = cash, equivalents and short-term marketable securities (long-term securities are not counted, so net cash can be understated for companies that hold large long-term investments). Net debt = debt minus cash & securities. Source: latest SEC 10-Q/10-K. EBIT / EV yield = operating profit divided by market cap plus net debt.
Fair value estimate
$263middle half of models $253 – $291
Fair
+5.2% to fair value
Average of the 11 valuation models that pass our checks: multiples, discounted cash flow, dividend discount and earnings power value. A model more than 100% above or 60% below the price is left out as unrealistic. Model uncertainty is High, based on how far apart the models are. Undervalued or Overvalued means the gap to fair value is more than 17.5%.
Peak-cycle earnings: the current operating margin is more than 1.5x its 7-year average, so multiples applied to today's profit may overstate value; model uncertainty is set to High
Price $250
Undervalued < $224Fair $224 – $319Overvalued > $319
P/E multiple
$319
P/B multiple
$224
P/S multiple
$291
EV/EBITDA multiple
$279
EV/EBIT multiple
$342
EV/revenue multiple
$265
10-year DCF, EBITDA exit
$258
5-year DCF, EBITDA exit
$291
10-year DCF, revenue exit
$249
5-year DCF, revenue exit
$272
10-year DCF, growth exit
$106
5-year DCF, growth exit · not used
$96
Dividend discount, stable · not used
$44
Dividend discount, multi-stage · not used
$75
Earnings power value · not used
$96
Growth the price implies
24.3%/yr
A model estimate, not a price target or recommendation. Inputs: risk-free 5.13%, equity risk premium 4.30% (Damodaran). How it works.
What this means
Weak business, fairly priced
The price sits inside our fair-value band. A high score does not guarantee a good outcome; it shifts the odds a little. Use the checklist as a prompt for your own research.
Before you invest · decision checklist
Ticked boxes are filled in from our data; the rest are yours to answer.
The five-lens scan
Every score explained in one sentence, ranked against Information Technology peers. Open a lens to see the numbers behind it.
Strong: 70 to 100Fair: 50 to 69Weak: under 50No score: not enough data
Valuation
Fair
70/100
Priced about in line with its sector.
See the numbers →
EBIT / EV yield3.7%
Free-cash-flow yield7.4%
Fair value vs price1.1×
Growth
Fair
69/100
Growing at a typical pace for its sector.
See the numbers →
Revenue growth (3y)9.8%
EPS growth (3y)233.7%
Growth consistency100%
Profitability
Weak
40/100
Earns lower returns on its capital than most peers.
See the numbers →
Return on invested capital9.9%
Operating margin19.9%
Gross profitability31.0%
Financial health
Weak
33/100
Balance sheet is more stretched than most peers.
See the numbers →
Piotroski F-Score7 / 9
Net debt / EBITDA3.0×
Interest cover8.9×
Dividends
Weak
47/100
Dividend is modest or less certain than peers.
See the numbers →
Dividend yield0.7%
Dividends vs free cash flow9%
Quarterly results: last 6 quarters
+7.6%
Apr '25
+9.8%
Jul '25
+8.6%
Oct '25
+12.1%
Jan '26
+13.3%
Apr '26
+10.8%
Jul '26
Revenue against the same quarter a year earlier. Latest quarter revenue $11.3B, diluted EPS $4.29.
Compare with peers
ADBE Adobe Inc.77 INTU Intuit Inc.71 FICO Fair Isaac Corp71 ADSK Autodesk, Inc.67Other Application Software companies by X-Ray Score.
SWOT analysis: Salesforce, Inc.
Strengthsinside the company
- Earnings per share have compounded at 233.7% a year over three years.
- Free cash flow equals 7.4% of the market value, which funds dividends, buybacks or debt paydown.
- Passes 7 of the 9 Piotroski tests, which points to improving profitability, funding and efficiency.
Weaknessesinside the company
- Return on invested capital of 9.9% is well below the 21.0% median of industry peers.
- Altman Z-score of 1.7 is in the zone linked with financial distress in past studies.
Opportunitiesvaluation and setting
- Trades at 21.3x earnings, 43% below the 37.1x median of industry peers.
- Our Market Compass rates the backdrop for Information Technology as favourable.
- Price momentum is strong on the weekly and monthly signals (trends can reverse).
Threatsvaluation and setting
- Valuation uncertainty is high: the models give widely different values, so the fair value range is wide.
Written by fixed rules from the figures on this page and the peer table below: filings, our fair value, the sector climate and the price trend. It summarises the data, it is not a forecast or advice.
Compare CRM with peers and sector
Medians of 13 Application Software peers and of 74 Information Technology stocks in our universe.
Largest peers (X-Ray Score): PLTR 63, ORCL 56, ADBE 77, INTU 71, DDOG 50, CDNS 49.
| Metric | CRM | Peers | Sector |
|---|---|---|---|
| X-Ray Score (out of 100) | 52 | 58 | 50 |
| Valuation | 70 | 60 | 50 |
| Growth | 69 | 63 | 54 |
| Profitability | 40 | 62 | 50 |
| Financial health | 33 | 50 | 50 |
| Dividends | 47 | – | 51 |
Sector leaders: highest X-Ray Score in Information Technology
CRM ranks #35 of 75 in Information Technology and #10 of 14 in Application Software by X-Ray Score. A higher score is stronger on our five pillars; it is a ranking of facts, not a forecast.
Green means better than the peer median, red worse (only where a higher or lower figure is clearly better). A dash means too few companies report the figure. P/E, EV/EBITDA and price changes are not graded: a different level is not good or bad by itself.
Factor ratings for CRM
Each factor is rated by where CRM stands among the 75 Information Technology stocks in our universe.
Rating against the sector
Goodthe top third of these stocks
Averagethe middle third of these stocks
Badthe bottom third of these stocks
"Beats" is the share of those stocks it is ahead of.
Against its own history
The last columns set today's figure against the company's own median of its last five financial years:
▲ Betterbetter than its usual level
▼ Worseworse than its usual level
≈ In linewithin its usual range
For valuation factors Good means cheaper than most of the sector and Better means cheaper than usual for this company, which is not the same as a bargain.
In total: 9 Good · 9 Average · 4 Bad of 22
Growth: 1 · 2 · 0
Profitability: 1 · 3 · 1
Financial strength: 1 · 0 · 3
Valuation: 3 · 2 · 0
Cash flow: 2 · 2 · 0
Efficiency: 1 · 0 · 0
| Factor | CRM | Rating | Sector median | Own 5-year median | Against own history |
|---|---|---|---|---|---|
| Growth | |||||
| Revenue growth, 3 years a year | +9.8% | Average beats 52% | +9.7% | – | – |
| Revenue growth, last year | +9.6% | Average beats 35% | +13.7% | +11.2% | ≈ In line |
| EPS growth, 3 years a year | +233.7% | Good beats 99% | +5.9% | – | – |
| Profitability | |||||
| Gross margin | 77.3% | Good beats 83% | 57.8% | 75.5% | ≈ In line |
| Operating margin | 19.9% | Average beats 49% | 20.3% | 14.4% | ▲ Better |
| Net margin | 22.0% | Average beats 66% | 17.8% | 11.9% | ▲ Better |
| Return on invested capital | 9.9% | Bad beats 26% | 19.4% | – | – |
| Return on equity | 25.2% | Average beats 56% | 21.0% | 6.9% | ▲ Better |
| Financial strength | |||||
| Net debt / EBITDA | 3.0x | Bad beats 7% | 0.8x | -0.7x | ▼ Worse |
| Interest cover | 8.9x | Bad beats 26% | 23.0x | 17.7x | ▼ Worse |
| Current ratio | 0.84 | Bad beats 13% | 1.57 | 1.05 | ▼ Worse |
| Piotroski F-score | 7 / 9 | Good beats 68% | 6 / 9 | – | – |
| Valuation | |||||
| P/E ratio | 21.3x | Good beats 73% | 33.6x | 66.9x | ▲ Better |
| Price / book | 5.4x | Good beats 72% | 8.3x | 3.9x | ▼ Worse |
| Price / sales | 4.7x | Average beats 66% | 6.9x | 7.9x | ▲ Better |
| EV / EBITDA | 23.1x | Average beats 57% | 24.7x | 44.5x | ▲ Better |
| Free cash flow yield | 7.4% | Good beats 89% | 3.4% | 3.7% | ▲ Better |
| Cash flow | |||||
| Free cash flow margin | 34.5% | Good beats 81% | 22.3% | 27.2% | ▲ Better |
| Cash from operations / net income | 1.63 | Average beats 66% | 1.39 | 2.47 | ▼ Worse |
| Free cash flow growth, 3 years a year | +31.6% | Good beats 80% | +15.4% | – | – |
| Accruals (lower is better) | −5.6% | Average beats 66% | −4.4% | – | – |
| Efficiency | |||||
| Days sales outstanding | 53 days | Good beats 70% | 63 days | 125 days | ▲ Better |
These ratings compare companies with each other and describe the past; they are not a forecast, a recommendation or part of the X-Ray Score. A factor is left out when its data is missing or meaningless (for example a P/E on negative earnings). A dash in the history columns means fewer than three usable years.
Fundamentals checklist
● 6 Good · ● 5 Average · ● 5 BadCash quality
Earnings backed by cashAverage
Free-cash-flow yieldGood
Risk models
Altman Z''Bad
Piotroski F-ScoreGood
Growth
EPS growth (3y)Good
Free-cash-flow growth (3y)Good
Revenue growth (3y)Average
Growth consistencyGood
Balance sheet
Current ratioBad
Net debt / EBITDABad
Interest coverBad
Valuation
Fair value vs priceGood
EBIT / EV yieldAverage
Profitability
Return on invested capitalBad
Operating marginAverage
Gross profitabilityAverage
Each check is graded against the company's sector, not a fixed number. Checklist score 54/100.
Financials
| FY22 | FY23 | FY24 | FY25 | FY26 | |
|---|---|---|---|---|---|
| Revenue | $26.5B | $31.4B | $34.9B | $37.9B | $41.5B |
| Operating income | $548M | $1.0B | $5.0B | $7.2B | $8.3B |
| Net income | $1.4B | $208M | $4.1B | $6.2B | $7.5B |
| Operating cash flow | $6.0B | $7.1B | $10.2B | $13.1B | $15.0B |
| Operating margin | 2.1% | 3.3% | 14.4% | 19.0% | 20.1% |
| Free cash flow | $5.3B | $6.3B | $9.5B | $12.4B | $14.4B |
| Diluted EPS | $1.48 | $0.21 | $4.20 | $6.36 | $7.80 |
Fiscal years, from SEC filings.
Technical summary
Daily
Strongly bullish
12 bullish · 1 neutral · 3 bearish
Weekly
Strongly bullish
11 bullish · 1 neutral · 0 bearish
Monthly
Bullish
5 bullish · 1 neutral · 2 bearish
Moving averages (daily)
| SMA 10 | 240.1 | Bullish |
| EMA 10 | 241.0 | Bullish |
| SMA 20 | 234.8 | Bullish |
| EMA 20 | 238.1 | Bullish |
| SMA 50 | 233.8 | Bullish |
| EMA 50 | 228.7 | Bullish |
| SMA 100 | 202.9 | Bullish |
| EMA 100 | 215.7 | Bullish |
| SMA 200 | 198.0 | Bullish |
| EMA 200 | 212.3 | Bullish |
Oscillators (daily)
| RSI (14) | 62.72 | Neutral |
| MACD (12, 26) | 3.47 | Bullish |
| Momentum (12) | 11.24 | Bullish |
| Stochastic %K (14) | 93.37 | Bearish |
| Williams %R (14) | -6.63 | Bearish |
| CCI (20) | 153.1 | Bearish |
Pivot points (classic, last session)
S3 234.8 | S2 238.8 | S1 244.5 | Pivot 248.5 | R1 254.2 | R2 258.2 | R3 264.0 |
Signals describe what the chart is doing, not what to do. Moving averages: price above the average is bullish. Oscillators use the usual thresholds (RSI 30/70, Stochastic 20/80, CCI ±100, Williams %R −80/−20; MACD and momentum above zero are bullish). Weekly and monthly views use closing prices only.
Dividends
Paid, last 12 months
1.74 USD
Yield on today's price
0.69%
Frequency
Quarterly
Next ex-dividend date
Not announced
| Ex-dividend date | Amount per share |
|---|---|
| 0.4400 | |
| 0.4400 | |
| 0.4400 | |
| 0.4160 | |
| 0.4160 | |
| 0.4160 | |
| 0.4160 | |
| 0.4000 | |
| 0.4000 | |
| 0.4000 | |
| 0.4000 |
Ex-dividend dates and amounts from EODHD. Shown as declared, before tax.
ETFs that hold CRM
| ETF | Share of the fund |
|---|---|
| IGV iShares Expanded Tech-Software Sector | 4.81% |
| FDN First Trust Dow Jones Internet Index | 4.11% |
| IVES Dan IVES Wedbush AI Revolution | 3.35% |
| VFLO VictoryShares Free Cash Flow | 2.90% |
| AIPI REX AI Equity Premium Income | 2.62% |
| QLTY GMO U.S. Quality | 2.54% |
| AKRE Akre Focus | 2.52% |
| COWZ Pacer US Cash Cows 100 | 1.90% |
The eight funds with the largest weight in CRM among the ETFs we cover, from each fund's latest SEC Form N-PORT (quarter-end positions, so they can be months old). All ETFs.
CRM stock splits
CRM has split its stock once since 2013. The latest was a 4-for-1 split on 18 Apr 2013.
Full CRM stock split history →CRM SEC filings
8-KSEC EDGAR
Regulation FD disclosure
8-KSEC EDGAR
Regulation FD disclosure
8-KSEC EDGAR
Director or officer change
10-QSEC EDGAR
Quarterly report
8-KSEC EDGAR
Results of operations
8-KSEC EDGAR
Director or officer change
8-KSEC EDGAR
Director or officer change
8-KSEC EDGAR
Director or officer change
Where the numbers come from
Statements SEC EDGAR filings (10-K, 10-Q), quarters derived from year-to-date figures.
Prices end-of-day closes, split-adjusted.
Industry inputs beta, multiples and equity risk premium from Damodaran Online (NYU Stern).
StocksXray is for education only and is not financial advice. Scores and fair values are model estimates from public filings and carry uncertainty.