Why Quality Investors Should Delve into SALESFORCE INC (NYSE:CRM) for Investment Opportunities.

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.

Highlighting Notable Quality Metrics of NYSE:CRM.

• Over the past 5 years, SALESFORCE INC has experienced impressive revenue growth, with 24.36% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
• The ROIC excluding cash and goodwill of SALESFORCE INC stands at 62.6%, reflecting the company's strong financial management and profitability. This metric underscores its ability to generate favorable returns on the capital invested in its core operations.
• 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.
• The Profit Quality (5-year) of SALESFORCE INC stands at 1.0K%, highlighting its ability to consistently generate reliable profits. This metric underscores the company's strong business fundamentals and reinforces its position as a financially stable entity.
• SALESFORCE INC has experienced impressive EBIT growth over the past 5 years, with 32.56% increase. This reflects the company's effective operational performance and highlights its potential for long-term financial success.
• SALESFORCE INC demonstrates a remarkable trend where its EBIT 5-year growth exceeds its Revenue 5-year growth. This indicates the company's ability to enhance its profitability through improved cost control and operational efficiency.

What is the full fundamental picture of NYSE:CRM telling us.

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.

Taking everything into account, CRM scores 6 out of 10 in our fundamental rating. CRM was compared to 279 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 not overvalued while it is showing excellent growth. This is an interesting combination. This makes CRM very considerable for growth investing!

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

More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.

Disclaimer

This article should in no way be interpreted as advice in any way. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.