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Exploring NYSE:CRM's quality characteristics.

By Mill Chart

Last update: Jan 22, 2024

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if SALESFORCE INC (NYSE:CRM) is suited for quality investing. Investors should of course do their own research, but we spotted SALESFORCE INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Some of the quality metrics of NYSE:CRM highlighted

  • SALESFORCE INC has demonstrated significant revenue growth over the past 5 years, with a 24.36% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
  • SALESFORCE INC demonstrates impressive performance in terms of ROIC excluding cash and goodwill, with a 62.6% ratio. This highlights the company's efficient utilization of capital and its focus on maximizing returns for investors.
  • With a Debt/Free Cash Flow Ratio of 1.07, SALESFORCE INC exhibits solid financial health and responsible debt management practices. This ratio indicates the company's ability to generate ample free cash flow to meet its debt obligations and pursue growth opportunities.
  • With a robust Profit Quality (5-year) ratio of 1.0K%, SALESFORCE INC highlights its ability to consistently generate high-quality profits. This metric reflects the company's effective management and operational excellence in delivering reliable earnings over the long term.
  • The 5-year EBIT growth of SALESFORCE INC has been remarkable, with 32.56% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
  • SALESFORCE INC has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.

A complete fundamental analysis of NYSE:CRM

ChartMill assigns a Fundamental Rating to every stock. This score ranges from 0 to 10 and is updated daily. The score is determined by evaluating multiple fundamental indicators and properties.

CRM gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 280 industry peers in the Software industry. While CRM belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. CRM is growing strongly while it is still valued neutral. This is a good combination! These ratings could make CRM a good candidate for growth investing.

Check the latest full fundamental report of CRM for a complete fundamental analysis.

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.

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