Salesforce, Inc. — Software - Application. Scored on the same transparent 7-signal model behind the daily rankings.
★
CRM
Salesforce, Inc. · Software - Application
FCF$14.7bA-
Rev+9.6%B
D/E1.24C
P/E18.8xA-
PEG0.79A-
80.5Score
$162.50$133.1B
1Y Target$246.44Analyst consensus · 53 analysts
5Y Target$311.13Compound horizon
10Y Target$399.01Long-dated conviction
FCF$14.7bTTMA-
FCF $14.7b — top-quartile, exceptional for any sector
Rev+9.6%TTM YoYB
Revenue +9.6% — at or above S&P median
D/E1.24C
D/E 1.24 — more levered than most Technology peers (≈90th pctile)
P/E18.8xA-
P/E 18.8 — cheaper than most Technology peers (≈25th pctile)
PEG0.79A-
PEG 0.79 — strong; Lynch's preferred zone
Forward price target — the 1-year figure is the analyst consensus where the stock is covered; the 5- and 10-year figures compound our earnings estimate from there. The DCF below is a separate cross-check on intrinsic value (what it's worth today), not another target.
Quality-growth score · 80.5
Quality0.74
Growth0.84
Value0.84
Why this score
Buying back stock
Entry · Margin of safety
52-week rangeNear 52-week low
41% off the 12-month high
vs DCF fair value39% belowest. fair value ~$269
Quality signals · context only
Gross profitability31% · B+gross profit ÷ total assets (Novy-Marx)
ROIC9.4% · Breturn on invested capital — not score-weighted
Why now
Salesforce's strategic pivot into AI agents like Agentforce, Agentforce Sales, and Agentforce Service positions it as a critical enabler for enterprise efficiency, evidenced by its robust $14.7b in free cash flow and a healthy 18.7% profit margin. The compelling 0.79 PEG ratio suggests the market is underpricing its future earnings growth relative to its peers. The crux is whether its AI agent suite can reignite revenue acceleration beyond the current 9.6% FY YoY.
Moat
Salesforce's integrated AI-powered platforms, connecting customer, employee, IT, and field service needs, create substantial switching costs for enterprises. This deep integration, particularly with Agentforce Service, underpins its impressive 23.4% Return on Equity, reflecting strong pricing power derived from its essential role in core business operations. Competitors would struggle to replicate such a comprehensive and deeply embedded ecosystem quickly.
Risk
Despite its AI ambitions, Salesforce faces a significant challenge from its slowing revenue growth of 9.6% FY YoY, which, combined with a 1.24 debt-to-equity ratio, could limit strategic flexibility in a competitive landscape. A sustained deceleration in new customer acquisition for its Agentforce products, signaling market saturation or superior competitor offerings, would confirm the bear case.
Horizon
1-3 yr $246.44 (53-analyst consensus) — multiple re-rating thesis requires a catalyst. 5 yr $311.13 at ~14% CAGR — dividend + buyback compounding. 10 yr $399.01 if the moat survives secular pressure.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.
Position sizing · CRM
$
%
%
Shares to buy
12
Position size
$1,950
3.9% of portfolio
Stop price
$121.88
25% below $162.50
$ at risk if stopped
$487.50
budget $500.00 · 1% of portfolio
Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.
Salesforce, Inc. (CRM): score, valuation & FAQ
Salesforce, Inc. (CRM) is a Software - Application company that scores 80.5 out of 100 on the Bull Rankings quality-growth model — a strong reading. The score blends three pillars — quality (durable returns, healthy margins, low leverage), growth (revenue and earnings), and value (valuation versus sector peers) — into one number, refreshed daily; it is a screen, not a buy recommendation.
Its strongest graded signals are FCF (A-), P/E (A-) and PEG (A-). On valuation, CRM sits about 39% below our discounted-cash-flow fair value (a margin of safety).
Is CRM a good stock to buy?
Bull Rankings scores CRM 80.5 out of 100 on its quality-growth model, which is a strong reading. That is driven by FCF (A-), P/E (A-) and PEG (A-). A score is a quantitative screen of Salesforce, Inc.'s fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.
Why does CRM score 80.5 on Bull Rankings?
The quality-growth score blends three pillars — quality (returns on capital, margins, leverage, earnings quality), growth (revenue and earnings expansion), and value (valuation versus sector peers). CRM earns its highest marks on FCF (A-), P/E (A-) and PEG (A-). Each pillar is graded against sector-aware thresholds, then combined into the single 0–100 score.
Is CRM overvalued or undervalued?
Based on $162.50, CRM sits about 39% below our discounted-cash-flow fair value (a margin of safety). It trades at a 18.8x× P/E (graded A-). Discounted-cash-flow estimates are sensitive to growth and discount-rate assumptions, so treat this as a cross-check, not a price target.
What are the main risks of investing in CRM?
Despite its AI ambitions, Salesforce faces a significant challenge from its slowing revenue growth of 9.6% FY YoY, which, combined with a 1.24 debt-to-equity ratio, could limit strategic flexibility in a competitive landscape. A sustained deceleration in new customer acquisition for its Agentforce products, signaling market saturation or superior competitor offerings, would confirm the bear case.
Bull Rankings is an automated fundamentals screen for research and education. It is not investment advice, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a licensed financial adviser.