Historical Valuation
Salesforce Inc (CRM) is now in the Undervalued zone, suggesting that its current forward PE ratio of 20.06 is considered Undervalued compared with the five-year average of 34.52. The fair price of Salesforce Inc (CRM) is between 285.52 to 605.42 according to relative valuation methord. Compared to the current price of 260.03 USD , Salesforce Inc is Undervalued By 8.93%.
Relative Value
Fair Zone
285.52-605.42
Current Price:260.03
8.93%
Undervalued
P/E
EV/EBITDA
EV/EBIT
P/S
P/OCF
P/FCF
1Y
3Y
5Y
Trailing
Forward
Salesforce Inc (CRM) has a current Price-to-Book (P/B) ratio of 3.98. Compared to its 3-year average P/B ratio of 4.12 , the current P/B ratio is approximately -3.49% higher. Relative to its 5-year average P/B ratio of 4.04, the current P/B ratio is about -1.46% higher. Salesforce Inc (CRM) has a Forward Free Cash Flow (FCF) yield of approximately 5.43%. Compared to its 3-year average FCF yield of 4.17%, the current FCF yield is approximately 30.16% lower. Relative to its 5-year average FCF yield of 3.59% , the current FCF yield is about 51.34% lower.
P/B
Median3y
4.12
Median5y
4.04
FCF Yield
Median3y
4.17
Median5y
3.59
Competitors Valuation Multiple
AI Analysis for CRM
The average P/S ratio for CRM competitors is 10.72, providing a benchmark for relative valuation. Salesforce Inc Corp (CRM.N) exhibits a P/S ratio of 5.27, which is -50.79% above the industry average. Given its robust revenue growth of 8.63%, this premium appears unsustainable.
Performance Decomposition
AI Analysis for CRM
1Y
3Y
5Y
Market capitalization of CRM increased by 0.00% over the past 1 year. The primary factor behind the change was an decrease in Unknown from 0.00 to 0.00.
The secondary factor is the Unknown, contributed 0.00%to the performance.
Overall, the performance of CRM in the past 1 year is driven by Unknown.
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Frequently Asked Questions
Is CRM currently overvalued or undervalued?
Salesforce Inc (CRM) is now in the Undervalued zone, suggesting that its current forward PE ratio of 20.06 is considered Undervalued compared with the five-year average of 34.52. The fair price of Salesforce Inc (CRM) is between 285.52 to 605.42 according to relative valuation methord. Compared to the current price of 260.03 USD , Salesforce Inc is Undervalued By 8.93% .
What is Salesforce Inc (CRM) fair value?
CRM's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Salesforce Inc (CRM) is between 285.52 to 605.42 according to relative valuation methord.
How does CRM's valuation metrics compare to the industry average?
The average P/S ratio for CRM's competitors is 10.72, providing a benchmark for relative valuation. Salesforce Inc Corp (CRM) exhibits a P/S ratio of 5.27, which is -50.79% above the industry average. Given its robust revenue growth of 8.63%, this premium appears unsustainable.
What is the current P/B ratio for Salesforce Inc (CRM) as of Jan 12 2026?
As of Jan 12 2026, Salesforce Inc (CRM) has a P/B ratio of 3.98. This indicates that the market values CRM at 3.98 times its book value.
What is the current FCF Yield for Salesforce Inc (CRM) as of Jan 12 2026?
As of Jan 12 2026, Salesforce Inc (CRM) has a FCF Yield of 5.43%. This means that for every dollar of Salesforce Inc’s market capitalization, the company generates 5.43 cents in free cash flow.
What is the current Forward P/E ratio for Salesforce Inc (CRM) as of Jan 12 2026?
As of Jan 12 2026, Salesforce Inc (CRM) has a Forward P/E ratio of 20.06. This means the market is willing to pay $20.06 for every dollar of Salesforce Inc’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for Salesforce Inc (CRM) as of Jan 12 2026?
As of Jan 12 2026, Salesforce Inc (CRM) has a Forward P/S ratio of 5.27. This means the market is valuing CRM at $5.27 for every dollar of expected revenue over the next 12 months.