WallStSmart

Salesforce.com Inc (CRM)vsPaylocity Holdng (PCTY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Salesforce.com Inc generates 2372% more annual revenue ($41.52B vs $1.68B). CRM leads profitability with a 18.0% profit margin vs 14.2%. CRM appears more attractively valued with a PEG of 1.06. PCTY earns a higher WallStSmart Score of 66/100 (B-).

CRM

Buy

63

out of 100

Grade: C+

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

PCTY

Strong Buy

66

out of 100

Grade: B-

Growth: 9.3Profit: 6.5Value: 10.0Quality: 4.8
Piotroski: 6/9Altman Z: 1.22
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
PCTYUndervalued (+42.5%)

Margin of Safety

+42.5%

Fair Value

$187.20

Current Price

$109.60

$77.60 discount

UndervaluedFair: $187.20Overvalued

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

PCTY3 strengths · Avg: 9.0/10
EPS GrowthGrowth
133.3%10/10

Earnings expanding 133.3% YoY

Return on EquityProfitability
21.0%9/10

Every $100 of equity generates 21 in profit

Revenue GrowthGrowth
28.2%8/10

Revenue surging 28.2% year-over-year

Areas to Watch

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

Grey zone — moderate risk

PCTY2 concerns · Avg: 3.0/10
P/E RatioValuation
27.1x4/10

Moderate valuation

Altman Z-ScoreHealth
1.222/10

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 : PCTY

The strongest argument for PCTY centers on EPS Growth, Return on Equity, Revenue Growth. Revenue growth of 28.2% demonstrates continued momentum. PEG of 1.27 suggests the stock is reasonably priced for its growth.

Bear Case : CRM

The primary concerns for CRM are Altman Z-Score.

Bear Case : PCTY

The primary concerns for PCTY are P/E Ratio, Altman Z-Score.

Key Dynamics to Monitor

CRM profiles as a mature stock while PCTY is a growth play — different risk/reward profiles.

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

PCTY is growing revenue faster at 28.2% — sustainability is the question.

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

Bottom Line

PCTY scores higher overall (66/100 vs 63/100) and 28.2% revenue growth. CRM offers better value entry with a 34.2% 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.

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Paylocity Holdng

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Paylocity Holding Corporation provides cloud-based payroll and human capital management software solutions for midsize organizations in the United States. The company is headquartered in Schaumburg, Illinois.

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