What is CRM's intrinsic value?

TickerWorth's blended fair value for Salesforce, Inc. (CRM) is $165.03 per share, versus a market price of $238.03 (priced within our range of $105.46 – $241.76).

Is CRM overvalued or undervalued?

Priced within our range of $105.46 – $241.76 at $238.03. We don't call CRM overvalued or undervalued from a range. This is an educational estimate, not advice.

What discount rate is used for CRM?

A WACC of 10.1% and a terminal growth rate of 2.5%.

Is Salesforce stock undervalued?

TickerWorth's fair value for Salesforce, Inc. (CRM) is $165.03 against a market price of $238.03. Our read: Priced within our range of $105.46 – $241.76. This is a model estimate, not investment advice.

Salesforce (CRM) DCF valuation and fair value

Our fair value for Salesforce, Inc. (CRM) is $165.03, built on a 10.1% discount rate (WACC) and 2.5% terminal growth. It blends our discounted-cash-flow model with other valuation lenses. Every assumption is listed on this page with its source.

What growth is priced into Salesforce stock?

Today's price implies revenue growth of 19.3% a year for 5 years; our model assumes 8.7% a year on average over the same horizon. This is a reverse DCF: it holds our cash-flow model's other inputs and solves for the revenue growth that makes the model equal today's price of $238.03. A model estimate, not investment advice.

Salesforce (CRM) insider trading

The most recent insider filing (SEC Form 4) for Salesforce, Inc. (CRM): Harris Parker, Director, Co-Founder, option exercise on 2026-09-22. The latest filings are listed on this page. A disclosure, not a signal to trade.

CRM · Intrinsic value

Is Salesforce, Inc. (CRM) overvalued or undervalued?

Name: Salesforce, Inc. (CRM) DCF intrinsic value
Creator: TickerWorth

Salesforce, Inc. (CRM) trades at the delayed market price of $238.03 a share. That price already implies revenue growth of 19.3% a year for 5 years. TickerWorth's fair value is $165.03 a share (priced within our range of $105.46 – $241.76). We do not call it over- or undervalued from inside our range.

Model by Miraaj Patel · generated from a hand-researched model · Updated Oct 19, 2026 · How these pages are made

Open full CRM analysis

Is CRM fairly valued?

Fair value: $165.03
Market price: $238.03
Downside to fair value: 30.7%
Verdict: Priced within our range of $105.46 – $241.76

Price as of 19 Oct 2026, 13:55 UTC · Prices are delayed.

Fair value against the delayed market price: Priced within our range of $105.46 – $241.76.

Reverse DCF: Today's price implies revenue growth of 19.3% a year for 5 years; our model assumes 8.7% a year on average over the same horizon.

What is CRM's TickerWorth Score?

C52/100

Middle of the pack — real strengths and real weaknesses

Compared with Technology companies in US

Its strongest point: a profitable, high-quality business. Its weakest: balance sheet looks stretched.

Value · 66 of 100
Cheaper than 66% of Technology companies in US
Price vs worth · 26 of 100
Quality · 72 of 100
More profitable than 72% of Technology companies in US
Financial health · 21 of 100
Financially stronger than 21% of Technology companies in US
Growth · 43 of 100
Growing faster than 43% of Technology companies in US
Momentum · 74 of 100
Outperformed 74% of Technology companies in US over the past year

Confidence: High confidence · Scored 19 Oct 2026, 13:45 UTC

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Where the numbers come from

Hand-researched model

What the modeller flagged

YEAR-1 FCF IS ~46% BELOW REPORTED FCF (~$7.8B modeled vs $14,402M for FY2026 and $15,154M TTM) — well past the 20% line, so decomposed. Reported FCF adds back ~$3.5B of stock-based compensation (this model keeps it as a cost) and ~$1.7-2.0B of intangible amortization (kept as the acquisition-treadmill charge), excludes ~$0.6B of finance-lease/financing-obligation principal (counted as capex here), benefits from a ~$2.0B FY2026 working-capital inflow (credited here at -10% of incremental revenue, ~$0.5B), and paid cash taxes of $1.3B against the model's 21.5% on EBIT (~$2.0B). Those five items bridge essentially the whole gap. It is the treatment, not a forecast error.
TERMINAL VALUE IS ~73% OF ENTERPRISE VALUE — below the 75% danger line, but most of the answer still rests on the steady state.
THE MARGIN PATH IS THE BIGGEST JUDGEMENT. GAAP margin climbs from 20.1% to 23.5% by FY2031. Two larger alternatives are both defensible and both excluded: banking the scheduled roll-off of existing intangible amortization (GAAP margin toward ~26%, +~$15/share), or valuing on the 34-36% non-GAAP margin, which treats SBC and acquisitions as free (roughly +$88/share, to ~$220 — still below the price). This model prices both SBC and the acquisition habit as real costs.
GROWTH IS BELOW MANAGEMENT'S OWN TARGET. The path reaches ~$58.8B of FY2030 revenue against Salesforce's '$63B+' target. The target embeds organic reacceleration that is claimed (NNAOV, cRPO +14%) but not yet in reported revenue (Q2 organic ~6.4% on my arithmetic). Meeting the target is worth ~+$11/share.
AI IS A TWO-SIDED RISK THAT THE NUMBERS DO NOT YET RESOLVE. Bull: Agentforce + Data 360 ARR ~$3.9B (+210%), Agentforce ARR >$1.5B. Bear: per-seat CRM economics are exposed if AI agents reduce customer headcount, and the 'Agentforce Apps' line (sales, service, marketing, commerce, Slack) grew only 8% in constant currency in Q2.
SBC of ~$3.5B (8.4% of FY2026 revenue; 9.0% guided for FY2027) is expensed inside GAAP EBIT and not added back. Dilution is captured through the diluted share count, which is falling only because buybacks — now partly debt-funded — exceed issuance.
WORKING CAPITAL IS SEASONAL AND LARGE: unearned revenue swings from $24.3B (January) to $18.8B (July) and Q1 receivables collections dominate H1 cash flow. The model uses annual figures only; the -10% working-capital input is a deliberately partial credit for a structural float that history puts at -23% to -26% of incremental revenue.

CRM DCF valuation, input by input

TickerWorth's fair value for Salesforce, Inc. (CRM) is $165.03 a share, against the delayed market price of $238.03 (priced within our range of $105.46 – $241.76). We do not call it over- or undervalued from inside our range. It is a model estimate, and every input behind it is sourced below. This is an educational model, not a price target or a recommendation.

Read the full reasoning

One of the lenses behind that blended figure is a discounted-cash-flow model, which on its own values CRM at about $131.84 per share. The rest of this page walks through that DCF — its assumptions, reverse-DCF and discount-rate sensitivity — because it is the auditable anchor of the blend.

The valuation discounts Salesforce, Inc.'s projected free cash flows at a weighted-average cost of capital (WACC) of 10.1%, with a long-run terminal growth rate of 2.5%. About 73% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.

Running the DCF in reverse — solving for the growth the current price already assumes — the market is implying roughly 19.3% annual revenue growth for CRM. Our base case instead compounds to about 8.7% a year over the same forecast, so the market is pricing in materially faster growth than our base case. The reverse-DCF is a quick sanity check: it reframes 'is this stock cheap?' as 'do I believe the growth the price requires?' rather than arguing over a single point estimate of fair value.

Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, CRM's modeled DCF value ranges from about $93.16 to $207.78 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.

How to read this page: the DCF fair value is what Salesforce, Inc. would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of CRM's intrinsic value. Figures update as new filings and prices come in.

Every input behind CRM's DCF

Input	Value	Source
Base-year revenueSalesforce FY2026 10-K (fiscal year ended 2026-01-31; accession 0001108524-26-000060, filed 2026-03-02): Total revenues FY2026 (year ended 31 January 2026), us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax. +9.6% on FY2025's $37,895M. Includes ~$0.4B from Informatica, acquired November 2025 for ~$9.6B, so organic growth was ~8.5%. CROSS-CHECK, H1 FY2027 (six months to 2026-07-31, Q2 8-K Ex-99.1): revenue $22,478M, +12.0% on H1 FY2026's $20,065M. Q2 alone was $11,345M, +10.8%, of which $456M was Informatica — so Q2 ORGANIC growth was ~6.4% ((11,345-456)/10,236), my arithmetic, not a Salesforce figure. That organic number is the one to hold the forecast against.	$41,525,000,000	Salesforce FY2026 10-K (fiscal year ended 2026-01-31; accession 0001108524-26-000060, filed 2026-03-02): Total revenues FY2026 (year ended 31 January 2026), us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax. +9.6% on FY2025's $37,895M. Includes ~$0.4B from Informatica, acquired November 2025 for ~$9.6B, so organic growth was ~8.5%. CROSS-CHECK, H1 FY2027 (six months to 2026-07-31, Q2 8-K Ex-99.1): revenue $22,478M, +12.0% on H1 FY2026's $20,065M. Q2 alone was $11,345M, +10.8%, of which $456M was Informatica — so Q2 ORGANIC growth was ~6.4% ((11,345-456)/10,236), my arithmetic, not a Salesforce figure. That organic number is the one to hold the forecast against.
Base EBIT marginSalesforce FY2026 10-K (accession 0001108524-26-000060): GAAP income from operations $8,331M / revenue $41,525M = 20.06%. GAAP, NOT the 34.1% non-GAAP margin Salesforce headlines: the gap is acquired-intangible amortization $1,687M (4.1%), stock-based compensation $3,480M (8.4%) and restructuring/acquisition costs $658M (1.6%), per the reconciliation in the 2026-09-16 Investor Day deck. All three stay in. The ~$2.6B of H1 FY2027 gains on strategic investments (Anthropic stake) and interest are below this line and excluded. CROSS-CHECK: H1 FY2027 GAAP operating margin 20.8% ($4,678M / $22,478M) vs 21.3% a year earlier; Q2 alone 20.5% vs 22.8% — the decline is Informatica amortization ($522M in Q2 vs $380M) and restructuring ($94M vs $4M).	20.1%	Salesforce FY2026 10-K (accession 0001108524-26-000060): GAAP income from operations $8,331M / revenue $41,525M = 20.06%. GAAP, NOT the 34.1% non-GAAP margin Salesforce headlines: the gap is acquired-intangible amortization $1,687M (4.1%), stock-based compensation $3,480M (8.4%) and restructuring/acquisition costs $658M (1.6%), per the reconciliation in the 2026-09-16 Investor Day deck. All three stay in. The ~$2.6B of H1 FY2027 gains on strategic investments (Anthropic stake) and interest are below this line and excluded. CROSS-CHECK: H1 FY2027 GAAP operating margin 20.8% ($4,678M / $22,478M) vs 21.3% a year earlier; Q2 alone 20.5% vs 22.8% — the decline is Informatica amortization ($522M in Q2 vs $380M) and restructuring ($94M vs $4M).
Forecast revenue growthESTIMATEAssumption — TickerWorth's 5-year explicit forecast	11% → 8% → 8% → 8% → 7%	ESTIMATEAssumption — TickerWorth's 5-year explicit forecast
Risk-free rateUS 10Y Treasury constant maturity (FRED DGS10): 5.24% on 2026-10-01, the latest published observation. Shared by every model in this tracker.	5.2%	US 10Y Treasury constant maturity (FRED DGS10): 5.24% on 2026-10-01, the latest published observation. Shared by every model in this tracker.
BetaYahoo Finance / yfinance published beta (5Y monthly): Published 5Y-monthly beta 1.202, used as published (house rule). Not normalized: Salesforce's capital structure changed sharply in March 2026 ($25B of new notes funding a $25B accelerated buyback, debt from $14.4B to $39.3B), which in principle RAISES equity beta, and a 60-month regression barely sees it. So the published figure is if anything low, and using it is mildly generous. Each 0.1 of beta is worth roughly $9-10/share.	1.20	Yahoo Finance / yfinance published beta (5Y monthly): Published 5Y-monthly beta 1.202, used as published (house rule). Not normalized: Salesforce's capital structure changed sharply in March 2026 ($25B of new notes funding a $25B accelerated buyback, debt from $14.4B to $39.3B), which in principle RAISES equity beta, and a 60-month regression barely sees it. So the published figure is if anything low, and using it is mildly generous. Each 0.1 of beta is worth roughly $9-10/share.
Terminal growthESTIMATEAssumption — house default: House default 2.5% (roughly long-run nominal GDP), kept for comparability. Salesforce's last forecast year grows 7%, so the step down to 2.5% is a real fade assumption; 3.0% would add roughly $9/share; 2.0% would take off ~$8. Must remain < WACC (~10.1%).	2.5%	ESTIMATEAssumption — house default: House default 2.5% (roughly long-run nominal GDP), kept for comparability. Salesforce's last forecast year grows 7%, so the step down to 2.5% is a real fade assumption; 3.0% would add roughly $9/share; 2.0% would take off ~$8. Must remain < WACC (~10.1%).
Diluted sharesSalesforce Q2 FY2027 10-Q, Note 11 'Net Income Per Share' (accession 0001108524-26-000190, filed 2026-08-27): Q2 FY2027 weighted-average diluted shares 821M (basic 820M + 1M of employee awards); was 962M a year earlier — the $25B ASR delivered ~103M shares in March and Salesforce bought 11M more in the open market in Q1. TWO OFFSETTING DISTORTIONS, both flagged: (1) the remaining ~20% of the ASR has been PAID FOR but not yet delivered (settlement expected October 2026) — handled in net_debt, not here; (2) Q2's low share price (~$165-185) made 40M employee awards anti-dilutive; at today's price ~5M more would count, roughly what Q2 FY2026's 6M dilution suggests. Net, 821M is a fair figure. 10-Q cover: ~823M outstanding at 2026-08-20.	821M	Salesforce Q2 FY2027 10-Q, Note 11 'Net Income Per Share' (accession 0001108524-26-000190, filed 2026-08-27): Q2 FY2027 weighted-average diluted shares 821M (basic 820M + 1M of employee awards); was 962M a year earlier — the $25B ASR delivered ~103M shares in March and Salesforce bought 11M more in the open market in Q1. TWO OFFSETTING DISTORTIONS, both flagged: (1) the remaining ~20% of the ASR has been PAID FOR but not yet delivered (settlement expected October 2026) — handled in net_debt, not here; (2) Q2's low share price (~$165-185) made 40M employee awards anti-dilutive; at today's price ~5M more would count, roughly what Q2 FY2026's 6M dilution suggests. Net, 821M is a fair figure. 10-Q cover: ~823M outstanding at 2026-08-20.
Market priceDelayed quote · as of 2026-10-19 13:55 UTC	$238.03	Delayed quote · as of 2026-10-19 13:55 UTC

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What does Salesforce, Inc. do?

What does it do?

Salesforce, Inc. provides customer relationship management technology services that connect companies and customers together in the United States, Europe, and the Asia Pacific. It operates in the Software - Application industry (Technology sector), headquartered in United States. The company employs roughly 83,334 people.

How does it make money?

The business turns $43.9B in annual revenue into profit. Out of every $100 of sales, about $21 is left as operating profit (operating margin of 21.4%), after a 77% gross margin on the products/services it sells. After all costs, taxes and interest, 22.0% of revenue becomes bottom-line net profit.

Is it financially healthy?

Financially it looks stretched: carries moderate debt (1.1× equity), may struggle to cover its short-term bills (0.8× current ratio), and is currently profitable.

Who at CRM filed insider trades?

Recent insider filings for Salesforce, Inc.
Date	Insider	Relationship	What happened	Value	Filing
22 Sept 2026	Harris Parker	Director, Co-Founder	Option exercise	—	Form 4 for Harris Parker (opens sec.gov in a new tab)
22 Sept 2026	Harris Parker	Director, Co-Founder	Shares withheld (tax)	$146,966.40	Form 4 for Harris Parker (opens sec.gov in a new tab)
22 Sept 2026	Harris Parker	Director, Co-Founder	Option exercise	—	Form 4 for Harris Parker (opens sec.gov in a new tab)
22 Sept 2026	Harris Parker	Director, Co-Founder	Shares withheld (tax)	$147,199.68	Form 4 for Harris Parker (opens sec.gov in a new tab)
22 Sept 2026	Washington Robin L	Director, President and COFO	Option exercise	—	Form 4 for Washington Robin L (opens sec.gov in a new tab)
22 Sept 2026	Washington Robin L	Director, President and COFO	Shares withheld (tax)	$211,818.24	Form 4 for Washington Robin L (opens sec.gov in a new tab)

A disclosure, not a signal to trade. Source: SEC EDGAR (Form 4). Older filings and the 90-day buying-and-selling read are part of Pro. See plans

Common questions

What is CRM's intrinsic value?
TickerWorth's blended fair value for Salesforce, Inc. (CRM) is $165.03 per share, versus a market price of $238.03 (priced within our range of $105.46 – $241.76).
Is CRM overvalued or undervalued?
Priced within our range of $105.46 – $241.76 at $238.03. We don't call CRM overvalued or undervalued from a range. This is an educational estimate, not advice.
What discount rate is used for CRM?
A WACC of 10.1% and a terminal growth rate of 2.5%.
Is Salesforce stock undervalued?
TickerWorth's fair value for Salesforce, Inc. (CRM) is $165.03 against a market price of $238.03. Our read: Priced within our range of $105.46 – $241.76. This is a model estimate, not investment advice.
Salesforce (CRM) DCF valuation and fair value
Our fair value for Salesforce, Inc. (CRM) is $165.03, built on a 10.1% discount rate (WACC) and 2.5% terminal growth. It blends our discounted-cash-flow model with other valuation lenses. Every assumption is listed on this page with its source.
What growth is priced into Salesforce stock?
Today's price implies revenue growth of 19.3% a year for 5 years; our model assumes 8.7% a year on average over the same horizon. This is a reverse DCF: it holds our cash-flow model's other inputs and solves for the revenue growth that makes the model equal today's price of $238.03. A model estimate, not investment advice.
Salesforce (CRM) insider trading
The most recent insider filing (SEC Form 4) for Salesforce, Inc. (CRM): Harris Parker, Director, Co-Founder, option exercise on 2026-09-22. The latest filings are listed on this page. A disclosure, not a signal to trade.