CRM vs MRK: Which Is the Better Buy?

Side-by-side comparison of Salesforce, Inc. and Merck & Co., Inc. β€” fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-07-08.
Salesforce, Inc. Β· Technology
$169.52
+45.0% upside to fair value
Grade A High Quality
VS
Merck & Co., Inc. Β· Healthcare
$113.87
-12.1% upside to fair value
Grade D High Quality
QuantHub Verdict
CRM has more upside to fair value (+45.0%). CRM trades at a lower forward P/E (19.6x). These are model outputs β€” not personalized investment advice. See all research β†’
Valuation & Fundamentals
Metric CRM MRK
Current Price $169.52 $113.87
Fair Value Estimate $245.80 $100.14
Upside to Fair Value +45.0% -12.1%
Market Cap $138.8B $281.2B
Forward P/E 19.6x 32.0x
EV / EBITDA 12.3x 17.3x
Price / Sales 3.2x 4.3x
Price / FCF 9.5x 19.9x
Revenue Growth YoY +13.3% +4.3%
Gross Margin 77.6% 75.9%
Operating Margin 21.9% 27.6%
Return on Equity 14.9% 17.9%
Dividend Yield 0% 0%
FCF Yield 10.56% 5.02%
Analyst Consensus Buy Hold
Investment Thesis
CRM β€” Salesforce, Inc.
Salesforce, Inc. is a leading provider of cloud-based software applications primarily focused on customer relationship management (CRM). The company exhibits high business quality with a durable competitive moat supported by strong gross margins of 77.6%, solid operating margin of 21.9%, and a robust return on equity of 14.9%. Recent quarterly revenue growth of 13.3% and earnings growth of 36.7% …
MRK β€” Merck & Co., Inc.
Merck & Co., Inc. is a leading global healthcare company specializing in pharmaceuticals, vaccines, and animal health products. Its business quality is high, supported by a durable competitive moat anchored in the dominant global position of Keytruda in PD-1/PD-L1 oncology, a strong vaccines portfolio including Gardasil, and scale in R&D and manufacturing. The company benefits from a seasoned lea…
Accumulation Zones
Metric CRM MRK
Zone Low $184.35 $75.11
Zone High $208.93 $85.12
In Buy Zone? Yes No
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