SALESFORCE INC (FOO.DE) Stock Fundamental Analysis
Europe - FRA:FOO - US79466L3024 - Common Stock
209.7 EUR
-2.4 (-1.13%)
Overall FOO gets a fundamental rating of 6 out of 10. We evaluated FOO against 111 industry peers in the Software industry. FOO has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. FOO is not valued too expensively and it also shows a decent growth rate. These ratings could make FOO a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
In the past year FOO was profitable.
FOO had a positive operating cash flow in the past year.
Each year in the past 5 years FOO has been profitable.
Each year in the past 5 years FOO had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 6.83%, FOO is doing good in the industry, outperforming 63.96% of the companies in the same industry.
FOO has a Return On Equity (10.86%) which is comparable to the rest of the industry.
FOO has a better Return On Invested Capital (9.32%) than 72.97% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FOO is significantly below the industry average of 12.56%.
The last Return On Invested Capital (9.32%) for FOO is above the 3 year average (5.83%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.83% | ||
| ROE | 10.86% | ||
| ROIC | 9.32% |
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
FOO has a Profit Margin of 16.87%. This is in the better half of the industry: FOO outperforms 72.97% of its industry peers.
In the last couple of years the Profit Margin of FOO has grown nicely.
FOO has a Operating Margin of 21.22%. This is in the better half of the industry: FOO outperforms 79.28% of its industry peers.
In the last couple of years the Operating Margin of FOO has grown nicely.
The Gross Margin of FOO (77.65%) is better than 65.77% of its industry peers.
In the last couple of years the Gross Margin of FOO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.22% | ||
| PM (TTM) | 16.87% | ||
| GM | 77.65% |
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FOO is destroying value.
Compared to 1 year ago, FOO has less shares outstanding
Compared to 5 years ago, FOO has more shares outstanding
FOO has a better debt/assets ratio than last year.
2.2 Solvency
FOO has an Altman-Z score of 4.89. This indicates that FOO is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of FOO (4.89) is better than 66.67% of its industry peers.
The Debt to FCF ratio of FOO is 0.68, which is an excellent value as it means it would take FOO, only 0.68 years of fcf income to pay off all of its debts.
FOO has a better Debt to FCF ratio (0.68) than 82.88% of its industry peers.
FOO has a Debt/Equity ratio of 0.14. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.14, FOO is in the better half of the industry, outperforming 69.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 0.68 | ||
| Altman-Z | 4.89 |
ROIC/WACC0.84
WACC11.04%
2.3 Liquidity
A Current Ratio of 1.12 indicates that FOO should not have too much problems paying its short term obligations.
The Current ratio of FOO (1.12) is comparable to the rest of the industry.
A Quick Ratio of 1.12 indicates that FOO should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.12, FOO is in line with its industry, outperforming 44.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.12 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 13.62% over the past year.
The Earnings Per Share has been growing by 27.71% on average over the past years. This is a very strong growth
Looking at the last year, FOO shows a quite strong growth in Revenue. The Revenue has grown by 8.33% in the last year.
FOO shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.25% yearly.
EPS 1Y (TTM)13.62%
EPS 3Y28.52%
EPS 5Y27.71%
EPS Q2Q%13.67%
Revenue 1Y (TTM)8.33%
Revenue growth 3Y12.67%
Revenue growth 5Y17.25%
Sales Q2Q%9.77%
3.2 Future
Based on estimates for the next years, FOO will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.19% on average per year.
Based on estimates for the next years, FOO will show a quite strong growth in Revenue. The Revenue will grow by 9.26% on average per year.
EPS Next Y12.75%
EPS Next 2Y12.34%
EPS Next 3Y12.76%
EPS Next 5Y12.19%
Revenue Next Year8.7%
Revenue Next 2Y8.86%
Revenue Next 3Y9.15%
Revenue Next 5Y9.26%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
FOO is valuated rather expensively with a Price/Earnings ratio of 22.87.
FOO's Price/Earnings ratio is a bit cheaper when compared to the industry. FOO is cheaper than 78.38% of the companies in the same industry.
FOO's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.40.
FOO is valuated rather expensively with a Price/Forward Earnings ratio of 18.99.
Based on the Price/Forward Earnings ratio, FOO is valued a bit cheaper than the industry average as 74.77% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of FOO to the average of the S&P500 Index (22.94), we can say FOO is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.87 | ||
| Fwd PE | 18.99 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FOO indicates a somewhat cheap valuation: FOO is cheaper than 60.36% of the companies listed in the same industry.
FOO's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. FOO is cheaper than 79.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.61 | ||
| EV/EBITDA | 19.03 |
4.3 Compensation for Growth
FOO's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of FOO may justify a higher PE ratio.
FOO's earnings are expected to grow with 12.76% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.79
PEG (5Y)0.83
EPS Next 2Y12.34%
EPS Next 3Y12.76%
5. Dividend
5.1 Amount
With a yearly dividend of 0.68%, FOO is not a good candidate for dividend investing.
FOO's Dividend Yield is a higher than the industry average which is at 2.10.
Compared to an average S&P500 Dividend Yield of 2.38, FOO's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.68% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
FOO pays out 23.50% of its income as dividend. This is a sustainable payout ratio.
DP23.5%
EPS Next 2Y12.34%
EPS Next 3Y12.76%
FRA:FOO (10/17/2025, 7:00:00 PM)
209.7
-2.4 (-1.13%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners83.17%
Inst Owner ChangeN/A
Ins Owners2.53%
Ins Owner ChangeN/A
Market Cap199.63B
Analysts79.66
Price Target291.84 (39.17%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.68% |
Yearly Dividend1.37
Dividend Growth(5Y)N/A
DP23.5%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.05%
Min EPS beat(2)0.37%
Max EPS beat(2)3.73%
EPS beat(4)3
Avg EPS beat(4)1.83%
Min EPS beat(4)-2.3%
Max EPS beat(4)5.52%
EPS beat(8)7
Avg EPS beat(8)2.26%
EPS beat(12)11
Avg EPS beat(12)5.73%
EPS beat(16)15
Avg EPS beat(16)8.56%
Revenue beat(2)0
Avg Revenue beat(2)-0.08%
Min Revenue beat(2)-0.16%
Max Revenue beat(2)0%
Revenue beat(4)1
Avg Revenue beat(4)-0.39%
Min Revenue beat(4)-1.42%
Max Revenue beat(4)0.02%
Revenue beat(8)1
Avg Revenue beat(8)-0.53%
Revenue beat(12)2
Avg Revenue beat(12)-0.12%
Revenue beat(16)3
Avg Revenue beat(16)-0.15%
PT rev (1m)-4.34%
PT rev (3m)-7.15%
EPS NQ rev (1m)-0.01%
EPS NQ rev (3m)0.4%
EPS NY rev (1m)0.55%
EPS NY rev (3m)0.55%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.17%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.87 | ||
| Fwd PE | 18.99 | ||
| P/S | 5.89 | ||
| P/FCF | 18.61 | ||
| P/OCF | 17.66 | ||
| P/B | 3.79 | ||
| P/tB | 37.38 | ||
| EV/EBITDA | 19.03 |
EPS(TTM)9.17
EY4.37%
EPS(NY)11.04
Fwd EY5.26%
FCF(TTM)11.27
FCFY5.37%
OCF(TTM)11.87
OCFY5.66%
SpS35.62
BVpS55.3
TBVpS5.61
PEG (NY)1.79
PEG (5Y)0.83
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.83% | ||
| ROE | 10.86% | ||
| ROCE | 11.17% | ||
| ROIC | 9.32% | ||
| ROICexc | 11.72% | ||
| ROICexgc | 153.28% | ||
| OM | 21.22% | ||
| PM (TTM) | 16.87% | ||
| GM | 77.65% | ||
| FCFM | 31.64% |
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%
ROICexcg growth 3Y144.43%
ROICexcg 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-Score9
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 0.68 | ||
| Debt/EBITDA | 0.72 | ||
| Cap/Depr | 20.05% | ||
| Cap/Sales | 1.7% | ||
| Interest Coverage | 36.44 | ||
| Cash Conversion | 112.25% | ||
| Profit Quality | 187.56% | ||
| Current Ratio | 1.12 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 4.89 |
F-Score9
WACC11.04%
ROIC/WACC0.84
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)13.62%
EPS 3Y28.52%
EPS 5Y27.71%
EPS Q2Q%13.67%
EPS Next Y12.75%
EPS Next 2Y12.34%
EPS Next 3Y12.76%
EPS Next 5Y12.19%
Revenue 1Y (TTM)8.33%
Revenue growth 3Y12.67%
Revenue growth 5Y17.25%
Sales Q2Q%9.77%
Revenue Next Year8.7%
Revenue Next 2Y8.86%
Revenue Next 3Y9.15%
Revenue Next 5Y9.26%
EBIT growth 1Y20.59%
EBIT growth 3Y133.52%
EBIT growth 5Y75.31%
EBIT Next Year38.23%
EBIT Next 3Y16.08%
EBIT Next 5Y14.45%
FCF growth 1Y65.28%
FCF growth 3Y33.02%
FCF growth 5Y27.52%
OCF growth 1Y56.77%
OCF growth 3Y29.7%
OCF growth 5Y24.76%