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Salesforce.com Inc (CRM) Fair Value & Analysis

Technology · US · Market cap $140B · ISIN US79466L3024

What is Salesforce.com Inc really worth?

SC Salesforce.com Inc logo Salesforce.com Inc CRM · US
Price$264.43
Fair Value$249.28
Upside−5.7%
Quality84/100

A strong business, currently priced close to our fair value of $249.28.

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Strengths

Healthy Growth (revenue 5y +14.3 %/yr)
Solidly profitable · 18.7% net margin
Low debt · generates free cash flow
Ranks above peers (10/15)
Wide moat 77/100

Risks

!Weak on valuation: 26 out of 100
!Weak on dividend: 13 out of 100

For context

·0.64% dividend yield
Evidence: High Range $183.95 – $314.60

Fair value as of: Aug 29, 2026

From 26 valuation models · updated 6 days ago

Share price +38.5% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The price sits close to our fair value, market and models broadly agree here, little valuation tension.
  • The price sits in the upper half of our model range, so the margin of safety is thin.
  • The data supports the verdict: every model runs on fully documented inputs.

Price vs Fair Value (5 years)

$363.22 $126.09 Fair Value $249.28 Jun 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 29, 2026.

How to read this chart

60‑month range $126.09 – $363.22 · fair‑value band $183.95 – $314.60 · the $264.43 price screens above the $249.28 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 29, 2026.

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Analysis

Salesforce.com Inc (CRM) currently trades at $264.43, while our model-based Fair Value estimate is $249.28, implying the stock looks roughly 6.1% fairly valued today. The Quality Score stands at 84/100 (high quality), in the Technology sector. Bull case: the DCF Models group reads highest at a median of $453.92 per share, and 12 of the 26 models we run sit above the $264.43 price. Bear case: the Dividend Discount group reads lowest at $31.19, and 14 of the 26 models stay below the price. Evidence for this calculation is high.

Over the trailing twelve months, Salesforce.com Inc generated revenue of $42.8B at a net margin of 18.7%. Revenue grew 13.3% year over year. It earns a return on equity of 16.9%. Net debt stands at $9.8B. Fundamentals as of Aug 29, 2026

Our scenario range runs from $183.95 (bear case) to $314.60 (bull case); at $264.43, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The last reported earnings sit well below what analysts expect (earnings in transition, for example after write-downs or an earnings dip); whether the stock is cheap or expensive hinges on the expected recovery actually arriving. Read the fair value with that caveat. The share trades about 4% below its 52-week high and 62% above its 52-week low, currently above its 200-day average. For context, the median of 10 Technology peers we cover trades at −43% fair-value upside, at −6%, CRM screens cheaper than that median.

Fair Value models

This estimate rests on fiscal year 2026 figures, and about 7 months have passed since. In that time the company retained roughly $4.10 per share, which is 1.6 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
FCF DCF $292.17 $461.91 $1,002 75
EPV $75.90 $89.19 $100.81 74
Growth DCF $274.58 $514.01 $997.98 74
All 26 models by family
DCF Models
FCF DCF $292.17 $461.91 $1,002 75
Owner Earnings $197.34 $453.92 $992.55 70
5Y Revenue Exit $157.39 $253.78 $453.73 70
5Y EBITDA Exit $233.43 $407.54 $748.65 72
5Y P/E Exit $221.62 $478.07 $823.81 68
10Y Revenue Exit $194.89 $382.68 $486.50 67
10Y EBITDA Exit $254.87 $546.41 $1,046 64
10Y P/E Exit $246.26 $520.99 $963.97 60
Earnings-Based
Graham-Dodd $61.91 $431.78 $605.94 63
Lynch FV $169.03 $241.46 $313.90 61
PEG = 1.0 $169.03 $241.46 $313.90 57
EPV $75.90 $89.19 $100.81 74
Dividend Discount
Gordon GGM $17.79 $36.99 $58.69 66
DDM Multi-Stage $17.79 $31.19 $38.83 66
Multiples
P/E Multiple $191.21 $254.94 $318.68 63
P/S Multiple $116.09 $154.79 $193.48 58
P/B Multiple $116.09 $154.79 $193.48 55
EV/EBIT $192.18 $257.50 $322.83 66
EV/EBITDA $203.04 $271.98 $340.93 67
EV/Revenue $95.28 $137.74 $180.20 53
Asset-Based
NCAV (Graham) $36.11 $48.38 $72.21 54
Growth DCF
Growth DCF $274.58 $514.01 $997.98 74
Rev-Margin DCF $160.12 $291.22 $540.53 69
Economic Profit
Residual Income $67.90 $83.17 $197.49 69
ROIC Compounder $80.57 $114.18 $146.56 72
Growth Earnings
Growth-Adj P/E $241.08 $344.41 $447.73 67

Widest divergence: DCF Models ($453.92) versus Dividend Discount ($31.19). Highest evidence: FCF DCF (75).

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Key figures & financial health

P/E ratio 30.7
P/S ratio 5.51 P/E × margin
EPS (TTM) $8.62 price ÷ EPS = P/E 30.7
Dividend yield 0.6% payout 19.6%
Net margin 18.0% FY2026
Return on equity 16.9% TTM
More key figures
Profitability
Return on assets (EBIT) 5.0% avg 5y
Operating margin 21.8% TTM
Growth
Revenue (TTM) $42.8B TTM
Revenue growth (YoY) +13.3% 3y avg +9.8%
EPS growth (YoY) +52.2%
Balance sheet & cash flow
Free cash flow $14.4B FY2026
Net debt $9.8B FY2026 · ≈ 0.7 yrs of FCF

Figures from reported company fundamentals · as of Aug 29, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 84/100

Of which business quality 77 · Market factors (momentum, volatility) 55

Profitability 49
Margins and returns on capital today
Quality Growth 57
Are margins and returns improving?
Cashflow 100
Earnings quality: real cash, not paper profit
Fin. Strength 71
Balance sheet, leverage, solvency risk
Investment 92
Disciplined investing over empire-building
Low Volatility 39
Calm price path (market factor)
Momentum 59
Price trend over the last 3–12 months (market factor)
52W Momentum 66
Distance to the 52-week high (market factor)
Net Issuance 98
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Salesforce, Inc. provides customer relationship management technology services that connect companies and customers together in the United States, Europe, and the Asia Pacific.

Full company description

Salesforce, Inc. provides customer relationship management technology services that connect companies and customers together in the United States, Europe, and the Asia Pacific. The company offers Agentforce, which enables customers to build, deploy, and manage enterprise-grade, autonomous AI agents at scale, enabling humans and agents to work together; Agentforce Sales, an integrated platform that brings together the power of humans with AI agents to help sales teams for selling, managing, and automating entire sales processes; Agentforce Service, which enables companies in every industry to bring all of their customer, employee, IT, and field service needs onto one integrated AI-powered platform; Data 360, a data engine that gives AI agents their context and serves as the foundation for how customers unify service offerings, making their data actionable for both humans and agents; Informatica, an AI-powered data management platform that enables customers to discover, integrate, govern, and deliver trusted data at scale across hybrid and multi-cloud environments; and Slack, a conversational interface for the agentic enterprise where people and agents work together, connecting knowledge, actions, and data in real time. It also provides marketing platforms; commerce services, which empower shopping experiences across various customer touchpoints; integration and analytics solutions; Salesforce Starter, a suite for small and medium-sized businesses that brings sales, service, marketing, and commerce together; and a field service solution that enables companies to connect service agents, dispatchers, and mobile employees through one centralized platform to schedule and dispatch work, as well as track and manage jobs. It serves financial services, healthcare and life sciences, manufacturing, automotive, and government sectors. Salesforce, Inc. was incorporated in 1999 and is headquartered in San Francisco, California.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Salesforce.com Inc reported revenue of $41.5B in FY2026 versus $26.5B in FY2022, a compound +11.9%/yr. Reported net income was $7.5B in FY2026, compounding +50.7%/yr from FY2022.

Growth Quality 100/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2026)
$41.5B
Latest YoY
+9.6%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+9.8%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+14.3%
Avg. revenue growth/yr (25Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+43.0%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years, adjusted) plus dividend yield: value created per share and year.
+56.3% (55.7 + 0.6)
Revenue +11.9%/yr
FY22 $26.5B
FY23 $31.4B
FY24 $34.9B
FY25 $37.9B
FY26 $41.5B
Net income +50.7%/yr
FY22 $1.4B
FY23 $208M
FY24 $4.1B
FY25 $6.2B
FY26 $7.5B

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Cite: Fair Value Calculator (2026). "Salesforce.com Inc Fair Value". https://www.fairvalue-calculator.com/stock/CRM

Recent news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Software - Application · 691 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 84 · Top 25%
Fair Value upside −6% · Above median
Return on equity (TTM) 17% · Top 25%
Return on assets 6% · Top 25%
Net margin (TTM) 19% · Top 25%
Operating margin (TTM) 22% · Top 25%
Revenue growth 13% · Above median
Dividend yield (TTM) 0.6% · Below median
Debt / equity 0.18× · Higher than median

Valuation Multiples vs Software - Application median · lower = cheaper

P/E (TTM) 30.7× · Pricier than median
P/B 2.36× · Pricier than median
P/S (TTM) 3.27× · Pricier than median
P/FCF 9.7× · Pricier than median
EV/EBITDA 11.1× · Cheaper than median
PEG 0.71× · Cheaper than median

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE26 · sector 0
FUTURE67 · sector 37
PAST68 · sector 12
HEALTH91 · sector 98
DIVIDEND13 · sector 28

Insider activity: 78/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Software - Application stocks, each showing price versus our Fair Value estimate (as of Aug 29, 2026).

Stock Price Fair Value vs Fair Value
SAP SE SAP €191.32 €169.59 −11%
Shopify Inc SHOP C$209.78 C$28.76 −86%
Uber Technologies, Inc UBER $78.82 $43.66 −45%
ServiceNow, Inc NOW $138.43 $43.73 −68%
Cadence Design Systems, Inc CDNS $340.39 $112.57 −67%
Snowflake Inc SNOW $329.11 $42.27 −87%
Adobe Inc ADBE $289.15 $454.04 +57%
Automatic Data Processing, Inc ADP $284.68 $177.51 −38%
Intuit Inc INTU $348.00 $363.46 +4%
Autodesk, Inc ADSK $260.66 $149.05 −43%

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Frequently asked questions

Is Salesforce.com Inc (CRM) overvalued or undervalued?
As of Aug 29, 2026, our model estimates a fair value of $249.28 versus a price of $264.43, about −6% upside (fairly valued).
What is the fair value of CRM?
Our model-based fair value for Salesforce.com Inc is $249.28 (as of Aug 29, 2026), built from audited fundamentals. The current price: $264.43.
What is the quality score of CRM?
Salesforce.com Inc has a Quality Score of 84/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Salesforce.com Inc (CRM)?
Salesforce.com Inc reported trailing-twelve-month revenue of about $42.8B (latest available figure, as of Aug 29, 2026).
What is the net profit margin of CRM?
The net profit margin of Salesforce.com Inc is about 18.7%, meaning it keeps roughly 18.7% of revenue as net income. Based on the latest reported figures.
Does Salesforce.com Inc pay a dividend?
Salesforce.com Inc currently shows a dividend yield of about 0.64% relative to its recent price (as of Aug 29, 2026).
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