WallStSmart

Salesforce.com Inc (CRM)vsSAP SE ADR (SAP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Salesforce.com Inc generates 12% more annual revenue ($42.83B vs $38.19B). SAP leads profitability with a 20.4% profit margin vs 18.7%. CRM appears more attractively valued with a PEG of 0.71. CRM earns a higher WallStSmart Score of 76/100 (B+).

CRM

Strong Buy

76

out of 100

Grade: B+

Growth: 7.3Profit: 7.5Value: 8.0Quality: 4.5
Piotroski: 5/9Altman Z: 1.50

SAP

Buy

64

out of 100

Grade: C+

Growth: 7.3Profit: 8.5Value: 4.0Quality: 6.8
Piotroski: 6/9Altman Z: 3.11
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CRMUndervalued (+73.6%)

Margin of Safety

+73.6%

Fair Value

$713.24

Current Price

$185.95

$527.29 discount

UndervaluedFair: $713.24Overvalued
SAPSignificantly Overvalued (-30.4%)

Margin of Safety

-30.4%

Fair Value

$150.68

Current Price

$189.65

$38.97 premium

UndervaluedFair: $150.68Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CRM6 strengths · Avg: 8.7/10
EPS GrowthGrowth
52.2%10/10

Earnings expanding 52.2% YoY

Market CapQuality
$139.28B9/10

Large-cap with strong market position

Return on EquityProfitability
23.4%9/10

Every $100 of equity generates 23 in profit

PEG RatioValuation
0.718/10

Growing faster than its price suggests

Operating MarginProfitability
21.8%8/10

Strong operational efficiency at 21.8%

Free Cash FlowQuality
$6.56B8/10

Generating 6.6B in free cash flow

SAP6 strengths · Avg: 8.8/10
Market CapQuality
$208.77B10/10

Mega-cap, among the largest globally

Altman Z-ScoreHealth
3.1110/10

Safe zone — low bankruptcy risk

Profit MarginProfitability
20.4%9/10

Keeps 20 of every $100 in revenue as profit

Operating MarginProfitability
27.6%8/10

Strong operational efficiency at 27.6%

EPS GrowthGrowth
30.6%8/10

Earnings expanding 30.6% YoY

Free Cash FlowQuality
$3.04B8/10

Generating 3.0B in free cash flow

Areas to Watch

CRM2 concerns · Avg: 3.5/10
Altman Z-ScoreHealth
1.504/10

Distress zone — elevated risk

Debt/EquityHealth
1.223/10

Elevated debt levels

SAP2 concerns · Avg: 3.0/10
PEG RatioValuation
1.634/10

Expensive relative to growth rate

Price/BookValuation
60.6x2/10

Trading at 60.6x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : CRM

The strongest argument for CRM centers on EPS Growth, Market Cap, Return on Equity. Profitability is solid with margins at 18.7% and operating margin at 21.8%. Revenue growth of 13.3% demonstrates continued momentum.

Bull Case : SAP

The strongest argument for SAP centers on Market Cap, Altman Z-Score, Profit Margin. Profitability is solid with margins at 20.4% and operating margin at 27.6%.

Bear Case : CRM

The primary concerns for CRM are Altman Z-Score, Debt/Equity.

Bear Case : SAP

The primary concerns for SAP are PEG Ratio, Price/Book.

Key Dynamics to Monitor

CRM carries more volatility with a beta of 1.18 — expect wider price swings.

CRM is growing revenue faster at 13.3% — sustainability is the question.

CRM generates stronger free cash flow (6.6B), providing more financial flexibility.

Monitor SOFTWARE - APPLICATION industry trends, competitive dynamics, and regulatory changes.

Bottom Line

CRM scores higher overall (76/100 vs 64/100), backed by strong 18.7% margins and 13.3% revenue growth. 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 →

SAP SE ADR

TECHNOLOGY · SOFTWARE - APPLICATION · USA

SAP SE is a global enterprise application software company. The company is headquartered in Walldorf, Germany.

Visit Website →

Want to dig deeper into these stocks?