Salesforce (NYSE:CRM - Get Free Report ) and Trend Micro (OTCMKTS:TMICY – Get Free Report ) are both Computer and Technology companies, but which is the better business? We compare the two businesses based on institutional holdings, analyst recommendations, earnings, valuation, profitability, risk and dividend strength.
Analysts’ comments
Here’s a breakdown of current valuations and target prices for Salesforce and Trend Micro, provided by MarketBeat.com.
| Sell rating | Ratings on hold | Purchase Rating | Strong Buy Rating | Evaluation score | |
| Salesforce | 1 | 9 | twenty four | 1 | 2.71 |
| Trend Micro | 0 | 0 | 0 | 0 | N/A |
Salesforce’s current consensus price target is $292.79, suggesting an upside potential of 22.08%. Given Salesforce’s higher upside potential, equities research analysts clearly consider it a better buy than Trend Micro.
Profitability
This table compares the net profit margins, return on equity, and return on assets of Salesforce and Trend Micro.
| Net income | Return on Equity | Return on Assets | |
| Salesforce | 15.30% | 11.57% | 7.18% |
| Trend Micro | 5.92% | 9.97% | 4.16% |
Insider and Institutional Ownership
80.4% of Salesforce’s shares are held by institutional investors. In comparison, 0.0% of Trend Micro’s shares are held by institutional investors. 3.2% of Salesforce’s shares are held by company insiders. A high level of institutional ownership suggests that hedge funds, large asset managers, and endowments believe the stock will outperform the market in the long term.
Revenue and Ratings
This table compares revenue, earnings per share, and valuation for Salesforce and Trend Micro.
| Earnings | Price/Sales Ratio | Net income | Earnings per Share | Price Earnings Ratio | |
| Salesforce | $34.86 billion | 6.67 | $4.14 billion | $5.56 | 43.14 |
| Trend Micro | $1.77 billion | 3.20 | $76.2 million | $0.77 | 52.27 |
Salesforce has higher revenues and profits than Trend Micro. Salesforce’s price-to-earnings ratio is lower than Trend Micro’s, making Salesforce the more affordable of the two stocks at the moment.
Volatility and Risk
Salesforce has a beta of 1.25, which means its stock price is 25% more volatile than the S&P 500. In comparison, Trend Micro’s beta is 0.61, which means its stock price is 39% less volatile than the S&P 500.
Dividends
Salesforce pays an annual dividend of $0.40 per share and has a dividend yield of 0.2%. Trend Micro pays an annual dividend of $4.11 per share and has a dividend yield of 10.2%. Salesforce pays out 7.2% of its profits as dividends. Trend Micro pays out 533.8% of its profits as dividends, suggesting that they may not have enough profits to cover their dividend payments in the future.
summary
Salesforce outperforms Trend Micro on 14 of the 16 factors comparing the two stocks.
About Salesforce
(Get your free report)
Salesforce, Inc. provides customer relationship management (CRM) technology that connects businesses and customers around the world. The company’s services include sales, which stores data, monitors leads and progress, predicts opportunities, gains insights through analytics and artificial intelligence, and delivers quotes, contracts, and invoices; and services that enable companies to provide reliable, highly personalized customer support at scale. In addition, the company’s platform offerings consist of a flexible platform that enables companies of different sizes, locations, and industries to build customer and business workflows and apps, an online learning platform that enables anyone to learn in-demand Salesforce skills, and Slack, an intelligent productivity platform. The company’s marketing services enable companies to plan, personalize, automate, and optimize customer marketing journeys, connected interactions, and connected products. It also offers commerce services, which power shopping experiences across various customer touchpoints, including mobile, web, social, and in-store, and provide click-to-code tools that enable customers to build and deploy solutions. In addition, the company’s analytics services include Tableau, an end-to-end analytics solution for a variety of enterprise use cases; Tableau Analytics, which uses AI models to intelligently analyze, spot trends, predict outcomes, create summaries, make timely recommendations, and take action from any device; and integration services, including MuleSoft, which provides the building blocks for end-to-end connected experiences. In addition, the company offers Data Cloud, Salesforce’s unique hyperscale data engine; vertical services that meet the needs of customers in industries such as financial services, healthcare, life sciences, manufacturing, automotive, and government; and Salesforce Starter for small and medium-sized businesses. Salesforce, Inc. was founded in 1999 and is headquartered in San Francisco, California.
About Trend Micro
(Get your free report)
Trend Micro Inc. develops and sells computer security-related software and related services in Japan and overseas. The company offers platforms such as VisionOne Platform, Attack Surface Management, Extended Detection and Response (XDR), Cloud Security, Endpoint Security, Network Security, Email Security, OT/ICS Security, and Threat Intelligence. It also offers service packages, managed XDR, incident response, and support services. In addition, the company also serves the 5G network, medical, manufacturing, oil and gas, power, and automotive industries. The company was founded in 1965 and is headquartered in Tokyo.
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