WallStSmart

Salesforce.com Inc (CRM)vsDescartes Systems Group Inc (DSGX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Salesforce.com Inc generates 5596% more annual revenue ($41.52B vs $728.99M). DSGX leads profitability with a 22.5% profit margin vs 18.0%. CRM appears more attractively valued with a PEG of 1.06. DSGX earns a higher WallStSmart Score of 65/100 (B-).

CRM

Buy

63

out of 100

Grade: C+

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

DSGX

Strong Buy

65

out of 100

Grade: B-

Growth: 8.0Profit: 7.5Value: 8.7Quality: 7.5
Piotroski: 3/9Altman Z: 4.51
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
DSGXUndervalued (+12.9%)

Margin of Safety

+12.9%

Fair Value

$75.55

Current Price

$70.05

$5.50 discount

UndervaluedFair: $75.55Overvalued

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

DSGX6 strengths · Avg: 9.2/10
Operating MarginProfitability
31.2%10/10

Strong operational efficiency at 31.2%

Debt/EquityHealth
0.0110/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.5110/10

Safe zone — low bankruptcy risk

Profit MarginProfitability
22.5%9/10

Keeps 23 of every $100 in revenue as profit

Revenue GrowthGrowth
15.1%8/10

15.1% revenue growth

EPS GrowthGrowth
21.0%8/10

Earnings expanding 21.0% YoY

Areas to Watch

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

Grey zone — moderate risk

DSGX3 concerns · Avg: 3.7/10
PEG RatioValuation
1.614/10

Expensive relative to growth rate

P/E RatioValuation
38.0x4/10

Premium valuation, high expectations priced in

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

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 : DSGX

The strongest argument for DSGX centers on Operating Margin, Debt/Equity, Altman Z-Score. Profitability is solid with margins at 22.5% and operating margin at 31.2%. Revenue growth of 15.1% demonstrates continued momentum.

Bear Case : CRM

The primary concerns for CRM are Altman Z-Score.

Bear Case : DSGX

The primary concerns for DSGX are PEG Ratio, P/E Ratio, Piotroski F-Score.

Key Dynamics to Monitor

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

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

DSGX is growing revenue faster at 15.1% — sustainability is the question.

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

Bottom Line

DSGX scores higher overall (65/100 vs 63/100), backed by strong 22.5% margins and 15.1% 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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Descartes Systems Group Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Descartes Systems Group Inc. provides cloud-based logistics and supply chain management business process solutions that focus on improving productivity, performance and security for intensive logistics companies globally. The company is headquartered in Waterloo, Canada.

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