SALESFORCE INC (1CRM.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1CRM - US79466L3024 - Common Stock
189.5 EUR
-3.04 (-1.58%)
Overall 1CRM gets a fundamental rating of 6 out of 10. We evaluated 1CRM against 119 industry peers in the Software industry. While 1CRM has a great profitability rating, there are some minor concerns on its financial health. 1CRM has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- In the past year 1CRM was profitable.
- 1CRM had a positive operating cash flow in the past year.
- Each year in the past 5 years 1CRM has been profitable.
- Each year in the past 5 years 1CRM had a positive operating cash flow.
1.2 Ratios
- 1CRM's Return On Assets of 7.59% is fine compared to the rest of the industry. 1CRM outperforms 62.18% of its industry peers.
- The Return On Equity of 1CRM (12.03%) is comparable to the rest of the industry.
- 1CRM has a Return On Invested Capital of 10.05%. This is in the better half of the industry: 1CRM outperforms 69.75% of its industry peers.
- 1CRM had an Average Return On Invested Capital over the past 3 years of 5.83%. This is significantly below the industry average of 13.47%.
- The 3 year average ROIC (5.83%) for 1CRM is below the current ROIC(10.05%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.59% | ||
| ROE | 12.03% | ||
| ROIC | 10.05% |
ROA(3y)3.46%
ROA(5y)3.61%
ROE(3y)5.81%
ROE(5y)5.94%
ROIC(3y)5.83%
ROIC(5y)3.79%
1.3 Margins
- 1CRM has a Profit Margin of 17.91%. This is in the better half of the industry: 1CRM outperforms 70.59% of its industry peers.
- 1CRM's Profit Margin has improved in the last couple of years.
- 1CRM has a Operating Margin of 22.03%. This is in the better half of the industry: 1CRM outperforms 78.15% of its industry peers.
- In the last couple of years the Operating Margin of 1CRM has grown nicely.
- Looking at the Gross Margin, with a value of 77.73%, 1CRM is in the better half of the industry, outperforming 63.03% of the companies in the same industry.
- 1CRM's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.03% | ||
| PM (TTM) | 17.91% | ||
| GM | 77.73% |
OM growth 3Y107.25%
OM growth 5Y49.51%
PM growth 3Y44.23%
PM growth 5Y85.88%
GM growth 3Y1.66%
GM growth 5Y0.52%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), 1CRM is destroying value.
- Compared to 1 year ago, 1CRM has less shares outstanding
- 1CRM has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, 1CRM has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 4.65 indicates that 1CRM is not in any danger for bankruptcy at the moment.
- The Altman-Z score of 1CRM (4.65) is better than 67.23% of its industry peers.
- 1CRM has a debt to FCF ratio of 0.65. This is a very positive value and a sign of high solvency as it would only need 0.65 years to pay back of all of its debts.
- The Debt to FCF ratio of 1CRM (0.65) is better than 81.51% of its industry peers.
- 1CRM has a Debt/Equity ratio of 0.14. This is a healthy value indicating a solid balance between debt and equity.
- The Debt to Equity ratio of 1CRM (0.14) is better than 65.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 0.65 | ||
| Altman-Z | 4.65 |
ROIC/WACC0.92
WACC10.97%
2.3 Liquidity
- 1CRM has a Current Ratio of 0.98. This is a bad value and indicates that 1CRM is not financially healthy enough and could expect problems in meeting its short term obligations.
- 1CRM has a Current ratio of 0.98. This is in the lower half of the industry: 1CRM underperforms 74.79% of its industry peers.
- 1CRM has a Quick Ratio of 0.98. This is a bad value and indicates that 1CRM is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 0.98, 1CRM is doing worse than 73.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
- 1CRM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 18.76%, which is quite good.
- 1CRM shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 27.71% yearly.
- Looking at the last year, 1CRM shows a quite strong growth in Revenue. The Revenue has grown by 8.41% in the last year.
- Measured over the past years, 1CRM shows a quite strong growth in Revenue. The Revenue has been growing by 17.25% on average per year.
EPS 1Y (TTM)18.76%
EPS 3Y28.52%
EPS 5Y27.71%
EPS Q2Q%34.85%
Revenue 1Y (TTM)8.41%
Revenue growth 3Y12.67%
Revenue growth 5Y17.25%
Sales Q2Q%8.63%
3.2 Future
- 1CRM is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.75% yearly.
- 1CRM is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.51% yearly.
EPS Next Y16.58%
EPS Next 2Y13.6%
EPS Next 3Y13.58%
EPS Next 5Y14.75%
Revenue Next Year9.34%
Revenue Next 2Y10.21%
Revenue Next 3Y9.87%
Revenue Next 5Y9.51%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 19.32, 1CRM is valued on the expensive side.
- Compared to the rest of the industry, the Price/Earnings ratio of 1CRM indicates a somewhat cheap valuation: 1CRM is cheaper than 79.83% of the companies listed in the same industry.
- When comparing the Price/Earnings ratio of 1CRM to the average of the S&P500 Index (27.32), we can say 1CRM is valued slightly cheaper.
- A Price/Forward Earnings ratio of 16.92 indicates a correct valuation of 1CRM.
- 1CRM's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. 1CRM is cheaper than 78.99% of the companies in the same industry.
- 1CRM is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 24.30, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.32 | ||
| Fwd PE | 16.92 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1CRM indicates a somewhat cheap valuation: 1CRM is cheaper than 62.18% of the companies listed in the same industry.
- 1CRM's Price/Free Cash Flow ratio is rather cheap when compared to the industry. 1CRM is cheaper than 81.51% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.42 | ||
| EV/EBITDA | 16.84 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of 1CRM may justify a higher PE ratio.
- 1CRM's earnings are expected to grow with 13.58% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.16
PEG (5Y)0.7
EPS Next 2Y13.6%
EPS Next 3Y13.58%
5. Dividend
5.1 Amount
- 1CRM has a yearly dividend return of 0.71%, which is pretty low.
- Compared to an average industry Dividend Yield of 0.63, 1CRM pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.86, 1CRM's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.71% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 1CRM pays out 21.86% of its income as dividend. This is a sustainable payout ratio.
DP21.86%
EPS Next 2Y13.6%
EPS Next 3Y13.58%
BIT:1CRM (1/21/2026, 7:00:00 PM)
189.5
-3.04 (-1.58%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)12-03 2025-12-03/amc
Earnings (Next)02-24 2026-02-24/amc
Inst Owners84.48%
Inst Owner ChangeN/A
Ins Owners2.57%
Ins Owner ChangeN/A
Market Cap180.40B
Revenue(TTM)40.32B
Net Income(TTM)7.22B
Analysts79.66
Price Target280.31 (47.92%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.71% |
Yearly Dividend1.37
Dividend Growth(5Y)N/A
DP21.86%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.16%
Min EPS beat(2)3.73%
Max EPS beat(2)12.58%
EPS beat(4)4
Avg EPS beat(4)5.55%
Min EPS beat(4)0.37%
Max EPS beat(4)12.58%
EPS beat(8)7
Avg EPS beat(8)3.66%
EPS beat(12)11
Avg EPS beat(12)5.61%
EPS beat(16)15
Avg EPS beat(16)7.06%
Revenue beat(2)0
Avg Revenue beat(2)-0.56%
Min Revenue beat(2)-1.12%
Max Revenue beat(2)0%
Revenue beat(4)0
Avg Revenue beat(4)-0.68%
Min Revenue beat(4)-1.42%
Max Revenue beat(4)0%
Revenue beat(8)1
Avg Revenue beat(8)-0.55%
Revenue beat(12)2
Avg Revenue beat(12)-0.14%
Revenue beat(16)3
Avg Revenue beat(16)-0.22%
PT rev (1m)-0.17%
PT rev (3m)-3.95%
EPS NQ rev (1m)-0.04%
EPS NQ rev (3m)0.2%
EPS NY rev (1m)3.42%
EPS NY rev (3m)3.4%
Revenue NQ rev (1m)0.01%
Revenue NQ rev (3m)2.49%
Revenue NY rev (1m)0.58%
Revenue NY rev (3m)0.59%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.32 | ||
| Fwd PE | 16.92 | ||
| P/S | 5.25 | ||
| P/FCF | 16.42 | ||
| P/OCF | 15.68 | ||
| P/B | 3.53 | ||
| P/tB | 52 | ||
| EV/EBITDA | 16.84 |
EPS(TTM)9.81
EY5.18%
EPS(NY)11.2
Fwd EY5.91%
FCF(TTM)11.54
FCFY6.09%
OCF(TTM)12.08
OCFY6.38%
SpS36.08
BVpS53.71
TBVpS3.64
PEG (NY)1.16
PEG (5Y)0.7
Graham Number108.88
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.59% | ||
| ROE | 12.03% | ||
| ROCE | 12.04% | ||
| ROIC | 10.05% | ||
| ROICexc | 11.87% | ||
| ROICexgc | 114.64% | ||
| OM | 22.03% | ||
| PM (TTM) | 17.91% | ||
| GM | 77.73% | ||
| FCFM | 31.98% |
ROA(3y)3.46%
ROA(5y)3.61%
ROE(3y)5.81%
ROE(5y)5.94%
ROIC(3y)5.83%
ROIC(5y)3.79%
ROICexc(3y)7.18%
ROICexc(5y)4.68%
ROICexgc(3y)84.54%
ROICexgc(5y)53.64%
ROCE(3y)6.99%
ROCE(5y)4.55%
ROICexgc growth 3Y144.43%
ROICexgc growth 5Y51.1%
ROICexc growth 3Y136.01%
ROICexc growth 5Y54.45%
OM growth 3Y107.25%
OM growth 5Y49.51%
PM growth 3Y44.23%
PM growth 5Y85.88%
GM growth 3Y1.66%
GM growth 5Y0.52%
F-Score8
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 0.65 | ||
| Debt/EBITDA | 0.69 | ||
| Cap/Depr | 17.92% | ||
| Cap/Sales | 1.51% | ||
| Interest Coverage | 38.61 | ||
| Cash Conversion | 110.06% | ||
| Profit Quality | 178.55% | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.98 | ||
| Altman-Z | 4.65 |
F-Score8
WACC10.97%
ROIC/WACC0.92
Cap/Depr(3y)19.53%
Cap/Depr(5y)21.06%
Cap/Sales(3y)2.13%
Cap/Sales(5y)2.49%
Profit Quality(3y)1155.13%
Profit Quality(5y)786.34%
High Growth Momentum
Growth
EPS 1Y (TTM)18.76%
EPS 3Y28.52%
EPS 5Y27.71%
EPS Q2Q%34.85%
EPS Next Y16.58%
EPS Next 2Y13.6%
EPS Next 3Y13.58%
EPS Next 5Y14.75%
Revenue 1Y (TTM)8.41%
Revenue growth 3Y12.67%
Revenue growth 5Y17.25%
Sales Q2Q%8.63%
Revenue Next Year9.34%
Revenue Next 2Y10.21%
Revenue Next 3Y9.87%
Revenue Next 5Y9.51%
EBIT growth 1Y20.93%
EBIT growth 3Y133.52%
EBIT growth 5Y75.31%
EBIT Next Year41.2%
EBIT Next 3Y19.35%
EBIT Next 5Y14.79%
FCF growth 1Y46.33%
FCF growth 3Y33.02%
FCF growth 5Y27.52%
OCF growth 1Y40.37%
OCF growth 3Y29.7%
OCF growth 5Y24.76%
SALESFORCE INC / 1CRM.MI FAQ
What is the ChartMill fundamental rating of SALESFORCE INC (1CRM.MI) stock?
ChartMill assigns a fundamental rating of 6 / 10 to 1CRM.MI.
What is the valuation status for 1CRM stock?
ChartMill assigns a valuation rating of 6 / 10 to SALESFORCE INC (1CRM.MI). This can be considered as Fairly Valued.
How profitable is SALESFORCE INC (1CRM.MI) stock?
SALESFORCE INC (1CRM.MI) has a profitability rating of 7 / 10.
What is the expected EPS growth for SALESFORCE INC (1CRM.MI) stock?
The Earnings per Share (EPS) of SALESFORCE INC (1CRM.MI) is expected to grow by 16.58% in the next year.
How sustainable is the dividend of SALESFORCE INC (1CRM.MI) stock?
The dividend rating of SALESFORCE INC (1CRM.MI) is 3 / 10 and the dividend payout ratio is 21.86%.