Salesforce Inc.

CRM
Financial Analysis · Updated May 12, 2026 · Coverage 2026-Q2
Latest Q Revenue
$11.2B
Q4 FY2026 · +12.1% YoY
TTM ROIC
16.1%
FY2026 · NOPAT (Non-GAAP) / Invested Capital (Equity + Debt, goodwill-inclusive) · WACC ~9.5% · Moat spread +7pp
DCF Fair Value
$342
Base case · WACC 9.5% · Terminal 3% · +91% vs. current price
Margin Profile
Gross 77%
Operating 21.3%
FCF 34.7%
FY2026
Net Cash
$3.0B
Cash $13.0B · Debt $10.0B · FY2026 (Jan 31, 2026)
Diluted Shares
923M
May 2026

Business Overview


ticker: CRM step: 01 generated: 2026-05-11 source: quick-research

Salesforce, Inc. (CRM) — Business Overview

Business Description

Salesforce is the world's #1 customer relationship management (CRM) software company, providing cloud-based applications for sales, service, marketing, commerce, and analytics. In 2025, Salesforce executed its most significant rebrand in company history: the legacy "Cloud" product family (Sales Cloud, Service Cloud, etc.) became "Agentforce" branded — Agentforce Sales, Agentforce Service, Agentforce Marketing — positioning autonomous AI agents at the center of every workflow. Marc Benioff has been CEO since founding in 1999.

Revenue Model

  • Subscription & Support (~95% of revenue): Annual recurring SaaS contracts across cloud products
  • Professional Services (~5%): Implementation consulting + training
  • AI monetization shifting from per-seat to per-conversation / consumption model via Agentforce — the most consequential pricing change since the company was founded

Products & Services

Agentforce Platform (Rebranded 2025)
  • Agentforce Sales (formerly Sales Cloud): CRM, opportunity/account management, pipeline
  • Agentforce Service (formerly Service Cloud): Customer support, Einstein Bots, omnichannel
  • Agentforce Marketing (formerly Marketing Cloud): Marketing automation, journey orchestration
  • Agentforce Commerce (formerly Commerce Cloud): E-commerce platform
  • Agentforce Field Service: Service workforce management
Platform & Data Layer
  • Data Cloud / Data 360: Unified customer data platform (CDP)
  • Tableau: Analytics (acquired 2019 for $15.7B)
  • MuleSoft: Integration platform (acquired 2018 for $6.5B)
  • Slack: Workplace collaboration (acquired 2021 for $27.7B)
  • Heroku, AppExchange, Salesforce Platform (Lightning, Apex)
Recent Acquisitions
  • Informatica (2025) — data management
  • Qualified (announced 2026) — sales engagement / pipeline generation AI

Customer Base & Go-to-Market

  • Customers: 150,000+ customers globally, including ~90% of Fortune 500
  • Verticals: Financial services, healthcare, retail, government, manufacturing
  • Segments: SMB through enterprise; bulk of revenue from large enterprise
  • Geographic mix: ~70% Americas, ~20% EMEA, ~10% APAC
  • AppExchange: Largest enterprise SaaS marketplace with 7,000+ ISV apps

Competitive Position

Salesforce is the dominant horizontal CRM platform with #1 market share in sales, service, and marketing automation. Moats: (1) data gravity — 30+ years of customer data flowing through Salesforce, (2) ecosystem (AppExchange, ~150,000 implementation partners), (3) platform extensibility (Apex/Lightning developer base), (4) Data Cloud + Tableau + MuleSoft + Slack create a multi-product expand opportunity inside each account. Faces accelerating competition from Microsoft Dynamics 365 (bundled with Azure), HubSpot (mid-market), AI-native vendors pricing 30-60% below Salesforce seats, and from generative AI directly bypassing CRM screens.

Key Facts

  • Founded: 1999 (Marc Benioff, Parker Harris)
  • Headquarters: San Francisco, CA
  • Employees: ~73,000
  • Exchange: NYSE
  • Sector / Industry: Technology / Application Software
  • Market Cap: ~$270B (May 2026)
  • CEO: Marc Benioff (Chairman + CEO)
  • Co-founder & CTO: Parker Harris
  • FY end: late January

Financial Snapshot


ticker: CRM step: 04 generated: 2026-05-11 source: quick-research

Salesforce, Inc. (CRM) — Financial Snapshot

Note: Salesforce's fiscal year ends late January. "FY2026" = fiscal year ended Jan 31, 2026.

Income Statement Summary

Metric FY2024 FY2025 FY2026 YoY
Revenue $34.9B $37.9B $41.5B +9.6%
Subscription & Support $32.5B $35.7B ~$39B +9%
GAAP Operating Margin 14.4% 19.0% 21.3% +2.3pp
Non-GAAP Operating Margin 30.5% 33.0% 35.5% +2.5pp
Non-GAAP EPS (diluted) $8.22 $10.20 $11.50 +13%
GAAP Net Income $4.1B $6.2B $8.0B +29%

Q4 FY2026 Highlights (most recent annual close)

Metric Q4 FY26 YoY
Revenue $10.8B +9%
Subscription & Support $10.7B +13%
Non-GAAP Operating Margin ~36%
EPS (non-GAAP) $3.81 beat $3.05 estimate

RPO (Remaining Performance Obligations)

Metric FY26 Year-End YoY
Total RPO $72B +14%
Current RPO (cRPO) $35.1B +16%
Q3 FY26 cRPO $29.4B +11%

Agentforce + Data 360 ARR

Metric Value YoY
Agentforce + Data 360 Combined ARR (Q4 FY26) $2.9B +200%
Agentforce ARR $800M +169%
Total paid Agentforce deals 29,000+ +50% QoQ
Tokens processed ~20T
Agentic Work Units delivered 2.4B+

Cash Flow & Balance Sheet (FY2026)

Metric Value
Operating Cash Flow ~$13B
Free Cash Flow ~$12B
Cash & Investments ~$13B
Total Debt ~$10B
Buybacks FY26 ~$10B (largest ever buyback program in 2025)
Buyback authorization $30B remaining

Key Ratios (approximate, May 2026)

  • P/E (forward): ~24x | EV/Sales: ~6.5x | FCF Yield: ~4.5%
  • Net Cash Position: ~$3B
  • Rule of 40: ~45 (9.6% growth + 35.5% non-GAAP margin)

Growth Profile

Salesforce is balancing slowing core subscription growth (high-single-digit) with explosive Agentforce growth (+169% ARR YoY). Q4 FY26 EPS beat ($3.81 vs $3.05 est) and 36% non-GAAP operating margin show disciplined execution. The pivot to consumption-based AI pricing (per-conversation, per-Agentic-Work-Unit) is the most important strategic change since the company's founding — it transforms Salesforce from per-seat licensor to per-outcome agentic platform.

Forward Estimates

  • FY2027E Revenue: ~$45B (+8-10%)
  • FY2027E Non-GAAP EPS: ~$13.00 (+13%)
  • FY2028E EPS: ~$15+ (consensus, assumes Agentforce momentum)
  • Long-term non-GAAP operating margin target: 40%+

Capital Return

  • 2025 was the launch of Salesforce's largest-ever buyback program; $10B repurchased FY26
  • Quarterly dividend $0.42/share annual (~$1.6B paid)
  • Total return: ~5% combined yield via buybacks + dividend

Deeper Financial Analysis

The fundamental tier adds 9 additional research dimensions for $CRM.

Revenue Breakdown
Segment revenue, geographic mix, product-line contribution margins, and cohort dynamics.
Financial Trends
Quarter-over-quarter momentum, leading indicators, and inflection point analysis.
Balance Sheet
Debt structure, liquidity runway, dilution risk, and working capital dynamics.
Capital Allocation
Buyback cadence, M&A appetite, dividend policy, and reinvestment priorities.
Returns on Capital (ROIC)
Multi-year ROIC vs. WACC, marginal returns on reinvestment, sales-to-invested-capital efficiency, and moat spread.
GET /api/v1/research/CRM/fundamental$1.00 · Bearer token required
Markdown: /stocks/crm/financials/md · → thesis · → memo