Salesforce (CRM) fundamentals: P/E, valuation, undervalued?

Salesforce · Information Technology · ref. ETF XLK · price $252.05
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In short — Salesforce trades at 18.8× earnings (P/E), 16.0× forward, with a net margin of 18.7 % and revenue growth of +13 %. Read: Cheap for the growth (P/E 16 for ~52% growth (PEG 0.3)).

Is Salesforce stock cheap or undervalued? A good time to buy? Here are its fundamentals — P/E, PEG, margin and income statement — to judge its valuation.

📈 1-year price
$252.05-1.0% over range
Aug 28, 25low $150.12 · high $266.23Aug 27, 26
📏 Click 2 points (left → right) to measure the change · click again to clear.
SellBuy
Buy
57% recommend buying · 23 analysts
Valuation : Cheap for the growth — P/E 16 for ~52% growth (PEG 0.3)

Valuation

18.8
P/E (price/earnings)
16.0
Forward P/E
0.36
PEG
4.0
Price/book (P/B)
$207.4B
Market cap
13.38
EPS

Profitability & growth

18.7 %
Net margin
+13 %
Revenue growth
+52 %
Earnings growth
$42.5B
Total debt

Salesforce income statement

Fiscal yearRevenueNet incomeMargin
2023$31.4B$208M0.7 %
2024$34.9B$4.1B11.9 %
2025$37.9B$6.2B16.4 %
2026$41.5B$7.5B18.0 %
⚠️ Indicative financial data (Yahoo Finance), not investment advice. Amounts in $.

Frequently asked questions

What is Salesforce's P/E and is the stock undervalued? What's a good P/E?

Salesforce's P/E is 18.8 (forward 16.0). Below ~15 = fairly cheap, above ~30 = expensive. Our valuation verdict: "Cheap for the growth".

Is Salesforce profitable?

Salesforce has a net margin of 18.7 % (EPS 13.38). The company is profitable.

Is CRM stock expensive?

Our read: "Cheap for the growth" — P/E 16 for ~52% growth (PEG 0.3). Cross-check with growth and sector.

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