Salesforce.com Inc (CRM)vsPalo Alto Networks Inc (PANW)
CRM
Salesforce.com Inc
$213.65
-3.94%
TECHNOLOGY · Cap: $188.61B
PANW
Palo Alto Networks Inc
$313.84
-0.26%
TECHNOLOGY · Cap: $299.44B
Smart Verdict
WallStSmart Research — data-driven comparison
Salesforce.com Inc generates 283% more annual revenue ($43.94B vs $11.48B). CRM leads profitability with a 22.0% profit margin vs 2.7%. CRM appears more attractively valued with a PEG of 0.82. CRM earns a higher WallStSmart Score of 75/100 (B+).
CRM
Strong Buy75
out of 100
Grade: B+
PANW
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+67.9%
Fair Value
$713.65
Current Price
$213.65
$500.00 discount
Margin of Safety
+37.0%
Fair Value
$497.80
Current Price
$313.84
$183.96 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 118.9% YoY
Large-cap with strong market position
Every $100 of equity generates 25 in profit
Keeps 22 of every $100 in revenue as profit
Growing faster than its price suggests
Strong operational efficiency at 21.4%
Mega-cap, among the largest globally
Revenue surging 34.5% year-over-year
Earnings expanding 60.5% YoY
Conservative balance sheet, low leverage
Generating 1.3B in free cash flow
Areas to Watch
Distress zone — elevated risk
Elevated debt levels
Expensive relative to growth rate
Trading at 9.3x book value
ROE of 1.1% — below average capital efficiency
2.7% margin — thin
Comparative Analysis Report
WallStSmart ResearchBull Case : CRM
The strongest argument for CRM centers on EPS Growth, Market Cap, Return on Equity. Profitability is solid with margins at 22.0% and operating margin at 21.4%. Revenue growth of 10.8% demonstrates continued momentum.
Bull Case : PANW
The strongest argument for PANW centers on Market Cap, Revenue Growth, EPS Growth. Revenue growth of 34.5% demonstrates continued momentum.
Bear Case : CRM
The primary concerns for CRM are Altman Z-Score, Debt/Equity.
Bear Case : PANW
The primary concerns for PANW are PEG Ratio, Price/Book, Return on Equity. A P/E of 914.7x leaves little room for execution misses. Thin 2.7% margins leave little buffer for downturns.
Key Dynamics to Monitor
CRM profiles as a mature stock while PANW is a hypergrowth play — different risk/reward profiles.
CRM carries more volatility with a beta of 1.26 — expect wider price swings.
PANW is growing revenue faster at 34.5% — sustainability is the question.
PANW generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
CRM scores higher overall (75/100 vs 51/100), backed by strong 22.0% margins and 10.8% revenue growth. PANW offers better value entry with a 37.0% margin of safety. Both earn "Strong 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.
Visit Website →Palo Alto Networks Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Palo Alto Networks, Inc. provides cybersecurity platform solutions globally. The company is headquartered in Santa Clara, California.
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