Salesforce.com Inc (CRM)vsQ2 Holdings (QTWO)
CRM
Salesforce.com Inc
$181.96
-0.58%
TECHNOLOGY · Cap: $171.49B
QTWO
Q2 Holdings
$46.20
-1.03%
TECHNOLOGY · Cap: $2.91B
Smart Verdict
WallStSmart Research — data-driven comparison
Salesforce.com Inc generates 5125% more annual revenue ($41.52B vs $794.81M). CRM leads profitability with a 18.0% profit margin vs 6.5%. CRM appears more attractively valued with a PEG of 1.06. CRM earns a higher WallStSmart Score of 63/100 (C+).
CRM
Buy63
out of 100
Grade: C+
QTWO
Buy52
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+34.2%
Fair Value
$276.43
Current Price
$181.96
$94.47 discount
Margin of Safety
-57.1%
Fair Value
$36.04
Current Price
$46.20
$10.16 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Conservative balance sheet, low leverage
Reasonable price relative to book value
Generating 5.3B in free cash flow
Earnings expanding 108.0% YoY
Areas to Watch
Grey zone — moderate risk
6.5% margin — thin
Expensive relative to growth rate
Premium valuation, high expectations priced in
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull 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 : QTWO
The strongest argument for QTWO centers on EPS Growth. Revenue growth of 13.8% demonstrates continued momentum.
Bear Case : CRM
The primary concerns for CRM are Altman Z-Score.
Bear Case : QTWO
The primary concerns for QTWO are Profit Margin, PEG Ratio, P/E Ratio. A P/E of 60.6x leaves little room for execution misses.
Key Dynamics to Monitor
CRM profiles as a mature stock while QTWO is a value play — different risk/reward profiles.
QTWO carries more volatility with a beta of 1.46 — expect wider price swings.
QTWO is growing revenue faster at 13.8% — 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 52/100), 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.
Visit Website →Q2 Holdings
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Q2 Holdings, Inc. provides cloud-based digital banking solutions to Community and Regional Financial Institutions (RCFIs) in the United States. The company is headquartered in Austin, Texas.
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