WallStSmart

Salesforce.com Inc (CRM)vsOpen Text Corp (OTEX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Salesforce.com Inc generates 722% more annual revenue ($42.83B vs $5.21B). CRM leads profitability with a 18.7% profit margin vs 9.9%. OTEX appears more attractively valued with a PEG of 1.02. CRM earns a higher WallStSmart Score of 71/100 (B).

CRM

Strong Buy

71

out of 100

Grade: B

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

OTEX

Strong Buy

70

out of 100

Grade: B-

Growth: 7.3Profit: 6.5Value: 8.7Quality: 3.5
Piotroski: 4/9Altman Z: 0.97
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CRMUndervalued (+74.7%)

Margin of Safety

+74.7%

Fair Value

$722.63

Current Price

$185.66

$536.97 discount

UndervaluedFair: $722.63Overvalued
OTEXUndervalued (+81.8%)

Margin of Safety

+81.8%

Fair Value

$133.20

Current Price

$23.12

$110.08 discount

UndervaluedFair: $133.20Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CRM5 strengths · Avg: 8.8/10
EPS GrowthGrowth
52.2%10/10

Earnings expanding 52.2% YoY

Market CapQuality
$164.49B9/10

Large-cap with strong market position

Return on EquityProfitability
23.4%9/10

Every $100 of equity generates 23 in profit

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

OTEX4 strengths · Avg: 9.5/10
P/E RatioValuation
10.8x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

EPS GrowthGrowth
99.0%10/10

Earnings expanding 99.0% YoY

Operating MarginProfitability
21.4%8/10

Strong operational efficiency at 21.4%

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

OTEX3 concerns · Avg: 3.0/10
Revenue GrowthGrowth
2.2%4/10

2.2% revenue growth

Debt/EquityHealth
1.623/10

Elevated debt levels

Altman Z-ScoreHealth
0.972/10

Distress zone — elevated risk

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 : OTEX

The strongest argument for OTEX centers on P/E Ratio, Price/Book, EPS Growth. PEG of 1.02 suggests the stock is reasonably priced for its growth.

Bear Case : CRM

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

Bear Case : OTEX

The primary concerns for OTEX are Revenue Growth, Debt/Equity, Altman Z-Score. Debt-to-equity of 1.62 is elevated, increasing financial risk.

Key Dynamics to Monitor

CRM profiles as a mature stock while OTEX is a value play — different risk/reward profiles.

CRM carries more volatility with a beta of 1.14 — 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.

Bottom Line

CRM scores higher overall (71/100 vs 70/100), backed by strong 18.7% margins and 13.3% revenue growth. OTEX offers better value entry with a 81.8% margin of safety. Both earn "Strong Buy" and "Strong 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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Open Text Corp

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Open Text Corporation offers a suite of software products and services. The company is headquartered in Waterloo, Canada.

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