WallStSmart

Salesforce.com Inc (CRM)vsOpen Text Corp (OTEX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Salesforce.com Inc generates 702% more annual revenue ($41.52B vs $5.18B). CRM leads profitability with a 18.0% profit margin vs 8.4%. OTEX appears more attractively valued with a PEG of 1.02. CRM earns a higher WallStSmart Score of 63/100 (C+).

CRM

Buy

63

out of 100

Grade: C+

Growth: 6.7Profit: 7.0Value: 10.0Quality: 6.0
Piotroski: 5/9Altman Z: 1.83

OTEX

Buy

58

out of 100

Grade: C

Growth: 4.0Profit: 6.5Value: 7.3Quality: 5.0
Piotroski: 5/9Altman Z: 0.99
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CRMUndervalued (+34.2%)

Margin of Safety

+34.2%

Fair Value

$276.43

Current Price

$181.96

$94.47 discount

UndervaluedFair: $276.43Overvalued
OTEXSignificantly Overvalued (-108.6%)

Margin of Safety

-108.6%

Fair Value

$11.63

Current Price

$22.08

$10.45 premium

UndervaluedFair: $11.63Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CRM4 strengths · Avg: 8.5/10
Market CapQuality
$171.49B9/10

Large-cap with strong market position

Debt/EquityHealth
0.199/10

Conservative balance sheet, low leverage

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

Free Cash FlowQuality
$5.32B8/10

Generating 5.3B in free cash flow

OTEX3 strengths · Avg: 8.7/10
Price/BookValuation
1.4x10/10

Reasonable price relative to book value

P/E RatioValuation
12.9x8/10

Attractively priced relative to earnings

Operating MarginProfitability
23.5%8/10

Strong operational efficiency at 23.5%

Areas to Watch

CRM1 concerns · Avg: 4.0/10
Altman Z-ScoreHealth
1.834/10

Grey zone — moderate risk

OTEX4 concerns · Avg: 2.3/10
Debt/EquityHealth
1.633/10

Elevated debt levels

Revenue GrowthGrowth
-0.6%2/10

Revenue declined 0.6%

EPS GrowthGrowth
-23.9%2/10

Earnings declined 23.9%

Altman Z-ScoreHealth
0.992/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : CRM

The strongest argument for CRM centers on Market Cap, Debt/Equity, Price/Book. Profitability is solid with margins at 18.0% and operating margin at 19.2%. Revenue growth of 12.1% demonstrates continued momentum.

Bull Case : OTEX

The strongest argument for OTEX centers on Price/Book, P/E Ratio, Operating Margin. PEG of 1.02 suggests the stock is reasonably priced for its growth.

Bear Case : CRM

The primary concerns for CRM are Altman Z-Score.

Bear Case : OTEX

The primary concerns for OTEX are Debt/Equity, Revenue Growth, EPS Growth. Debt-to-equity of 1.63 is elevated, increasing financial risk.

Key Dynamics to Monitor

CRM profiles as a mature stock while OTEX is a value play — different risk/reward profiles.

CRM carries more volatility with a beta of 1.31 — expect wider price swings.

CRM is growing revenue faster at 12.1% — sustainability is the question.

CRM generates stronger free cash flow (5.3B), providing more financial flexibility.

Bottom Line

CRM scores higher overall (63/100 vs 58/100), backed by strong 18.0% margins and 12.1% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Salesforce.com Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Salesforce.com, Inc. is an American cloud-based software company headquartered in San Francisco, California. It provides customer relationship management (CRM) service and also provides a complementary suite of enterprise applications focused on customer service, marketing automation, analytics, and application development.

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Open Text Corp

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Open Text Corporation offers a suite of software products and services. The company is headquartered in Waterloo, Canada.

Visit Website →

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