CRM

Salesforce, Inc.

Technology • CIK: 0001108524

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Market Cap
$203.31B
P/E (TTM)
27.2x
Rev Growth (TTM)
+9.6%
Net Margin (TTM)
18.0%
FCF Yield (TTM)
7.1%
FCF Margin (TTM)
34.7%

Filing Intelligence

5.0/10
10-K filed Mar 2, 2026 • FY 2025

Executive Summary

Capital allocation prioritizes returning capital to shareholders through significant share repurchases and dividends, alongside strategic acquisitions like Informatica to bolster AI capabilities.....

Key Concerns

  • ●The company expresses confidence in its strategic direction and ability to meet financial obligations, while acknowledging risks related to...
  • ●Significant goodwill and intangible assets ($57.9B total) from multiple large acquisitions (Informatica, Own) in fiscal 2026, with goodwill...
  • ●Amortization period for capitalized costs to obtain revenue contracts (4 years) is longer than the typical initial contract period, though...

Key Strengths

  • ●Revenue growth is robust, driven by customer acquisition and expansion in core subscription services, with AI investments positioned as a...
  • ●Operating margin improved due to revenue growth outpacing expense growth, demonstrating operational leverage. Continued investment in R&D...
  • ●Strong operating cash flow generation is supported by healthy net income and favorable working capital movements, although an increase in...
View Full Quarterly Insights →

LATEST EARNINGS

•
Q4 FY2026
•
about 1 month ago
•View source
Revenue
$11.20B
+12.1%
Net Income
$1.94B
+13.8%
EPS
$2.07
+18.3%
Gross
77.6%↓ -0.2%
Operating
16.7%↓ -1.5%
Net
17.4%↑ +0.3%
  • •Fourth quarter revenue of $11.2 billion, up 12% Y/Y and 10% in CC, including $399 million Informatica contribution.
  • •FY26 revenue of $41.5 billion, up 10% Y/Y and 9% in CC, including $399 million Informatica contribution.
  • •FY26 operating cash flow of $15.0 billion, up 15% Y/Y, and free cash flow of $14.4 billion, up 16% Y/Y.
  • •Announces $50 billion share repurchase program authorization, replacing all previously unused authorizations.
View Full Earnings →

Cash Flow Health

Free Cash Flow8/8 positive
TTM$14.4B
Q4 '26
$5.3B+145%
Q3 '26
$2.2B+260%
FCF Margin
TTM34.7%
Q4 '2647.5%+124%
Sector: 9.1%Top 10%
OCF Margin36.1%
OCF/NI2.01x
CapEx Coverage25.2x
FCF Yield7.1%
FCF Growth (2Y)+32%
Cash Conversion Cycle
63 days
DSO: 63+DIO: 0−DPO: 0
View Insights from Latest Filing →View Full Cash Flow Statement →

Capital Allocation & Returns

Shareholder Friendly
Total Shareholder YieldTTM
TTM7.0%
Div Yield0.8%
+
Buyback (TTM)6.2%

Strong capital returns to shareholders

Dividend & Payout Metrics
Dividend Yield (TTM)0.8%
FCF Payout Ratio11.0%
Free Cash Flow (TTM)$14.4B
Stock Repurchases (TTM)$12.6B
Capital Return / FCF98.5%
Est. Dividends Paid (TTM)$1.6B
Shows how management rewards shareholders

Operational Efficiency & Returns

Return on Invested CapitalTTM
9.4%
Stable
+0.0% YoY+0.9%
P25MedianP75
75th pctl (med: 0.1%)
DuPont BreakdownROIC = Margin × Turn × (1+D/E)
NOPAT Margin
15.8%
8Q: 15.6%
Asset Turnover
0.42x
8Q: 0.41x
Leverage (1+D/E)
1.24x
D/E: 0.24x
DuPont: 8.2% ≈ 9.4% ROIC
Asset & CapEx Efficiency
Fixed Asset Turn
13.17x
8Q:12.18x
+404.3%
Invested Cap Turn
0.67x
8Q:0.64x
+11.4%
CapEx Intensity
1.0%
8Q:1.0%
CapEx/Depreciation
0.16x
Asset-based ROIC formula
Full Analysis

QUARTERLY TRENDS

Last 8 quarters + TTM

MetricTTMQ4 2026Q3 2026Q2 2026Q1 2026Q4 2025Q3 2025Q2 2025Q1 2025
Revenue
$41.5B
$11.2B↑9.2%
$10.3B↑0.2%
$10.2B↑4.1%
$9.8B↓1.6%
$10.0B↑5.8%
$9.4B↑1.3%
$9.3B↑2.1%
$9.1B
Operating Income
$8.3B
$1.9B↓14.6%
$2.2B↓6.2%
$2.3B↑20.1%
$1.9B↑6.7%
$1.8B↓3.9%
$1.9B↑6.2%
$1.8B↑4.3%
$1.7B
Net Income
$7.5B
$1.9B↓6.9%
$2.1B↑10.5%
$1.9B↑22.5%
$1.5B↓9.8%
$1.7B↑11.9%
$1.5B↑6.9%
$1.4B↓6.8%
$1.5B
Operating Cash Flow
$15.0B
$5.5B↑135.9%
$2.3B↑213.0%
$740.0M↓88.6%
$6.5B↑63.1%
$4.0B↑100.2%
$2.0B↑122.3%
$892.0M↓85.7%
$6.2B
Free Cash Flow
$14.4B
$5.3B↑144.5%
$2.2B↑259.8%
$605.0M↓90.4%
$6.3B↑65.0%
$3.8B↑114.5%
$1.8B↑135.6%
$755.0M↓87.6%
$6.1B
Total Equity
N/A
Income StatementCash Flow StatementBalance Sheet

Valuation Analysis

Fair Value
Price-to-EarningsTTM
27.2x
Volatile
8Q: 168.6x-7763%
Valuation Lenses
Earnings
27.2x
vs – sector
Cash Flow
13.8x
EV/FCF vs –
Growth-Adj
1.2xPEG
Fair for growth
Quality-Adj
2.9P/E per %ROIC
ROIC: 9.4%
Shareholder Returns
Dividend
0.8%
Buyback
6.2%
Total Yield
7.0%
Market Cap$203.31B
EV$198.52B
Multi-angle valuation analysis with sector context

Business Quality & Moat

Overall Quality Score
80/100
Exceptional

Composite score: Returns (40%) + Consistency (30%) + Earnings Quality (30%)

Returns on Capital

Return on Equity (ROE)Above Avg
12.3%
8Q:–
Return on Invested Capital (ROIC)Top 25%
9.4%
8Q:–
Flat
vs Sector:0.1%

DuPont Analysis (ROIC = NOPAT Margin × Asset Turnover)

NOPAT Margin: 15.8%
Asset Turnover: 0.42x

Earnings Quality

Cash Conversion

2.01x

OCF / Net Income ✓

FCF Consistency

–

Positive quarters

Competitive Moat Indicators

Pricing Power

Gross Margin77.7%

Capital Efficiency

Invested Capital Turnover0.67x

Working Capital

Cash Conversion Cycle63 days

Growth Quality & Momentum

Moderate Growth
Growth Quality Score
70/100
Growth 40%
Margins 30%
FCF 20%
Consistency 10%

Growth Rates

Revenue Growth YoY
9.6%
OpInc Growth YoY
2.7%
EPS Growth YoY
22.6%
FCF 3Y CAGR
31.6%

Growth Quality Analysis

✓Efficient Growth: Free cash flow growing faster than revenue

Margin Quality & Sustainability

Low Quality
Profitability Cascade
Gross
77.7%
Operating
20.1%
Top 25% in sector
Net
18.0%
Margins Unknown
Earnings Quality Signals
SBC / Revenue
—
FCF vs Net Gap
+16.7 pts
FCF: 34.7% | Net: 18.0%

Quality = stability + cash conversion + low dilution

Balance Sheet & Solvency

Solid
Net Debt / EBITDA
–Net Debt: $4.87B
Interest Coverage
–
Balance sheet risk & solvency analysis

Research

All research