CRM vs HD: Which Is the Better Buy?
Side-by-side comparison of Salesforce, Inc. and The Home Depot, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-16.
Salesforce, Inc. · Technology
$181.22
+161.6% upside to fair value
High Conviction
Grade A-
VS
The Home Depot, Inc. · Consumer Cyclical
$337.34
+12.1% upside to fair value
Med Conviction
Grade B
QuantHub Verdict
CRM has more upside to fair value
(+161.6%).
CRM trades at a lower forward P/E
(22.7x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
CRM |
HD |
| Current Price |
$181.22 |
$337.34 |
| Fair Value Estimate |
$474.00 |
$378.00 |
| Upside to Fair Value |
+161.6%
|
+12.1%
|
| Market Cap |
$169.8B |
$336.0B |
| Forward P/E |
22.7x
|
23.0x
|
| EV / EBITDA |
—
|
18.1x
|
| Price / Sales |
4.1x
|
2.3x
|
| Price / FCF |
11.8x
|
29.7x
|
| Revenue Growth YoY |
+9.2%
|
+3.2%
|
| Gross Margin |
77.7%
|
33.3%
|
| Operating Margin |
21.5%
|
12.7%
|
| Return on Equity |
12.4%
|
110.5%
|
| Dividend Yield |
— |
2.44% |
| FCF Yield |
8.5%
|
3.37%
|
| Analyst Consensus |
Strong Buy
|
Buy
|
Investment Thesis
Salesforce is the leading global provider of CRM software, offering a strong competitive moat through market dominance and high switching costs, complemented by acquisitions like Slack and Tableau, with excellent margins above 77% gross and robust free cash flow of $15.16 per share. Despite decelerating revenue growth at 9.2% YoY and negative earnings growth of -6.9%, the business remains high-qu…
Home Depot remains the world's largest home improvement retailer with 2,350+ stores, dominant 52% market share, and a rapidly growing Pro contractor segment bolstered by the SRS Distribution acquisition. The stock has declined 21% from its $427 high to $337, but now trades at 2.28x P/S, near the 5-year median of 2.31x, and 26.5x P/E which is above the 5-year median of 23.5x. EPS declined 4.6% in …
Accumulation Zones
| Metric |
CRM |
HD |
| Zone Low |
$356.00 |
$285.00 |
| Zone High |
$403.00 |
$320.00 |
| In Buy Zone? |
Yes
|
No
|