CRMBULLISH

FCF Yield

7.1%

Higher than 87% of Technology sector peers

Updated 11h ago

Sector Performance

87th percentile

CRM

7.1%

Sector Median

3.0%

Sector Avg

2.1%

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Deep Analysis

# FCF Yield Analysis: Salesforce, Inc. (CRM)

Salesforce is generating $7.1 in free cash flow for every $100 of market value, meaning investors receive substantial cash returns relative to the company's stock price. This FCF yield is more than double the technology sector median of 3.1%, placing CRM in the 86th percentile of sector peers. The metric has remained flat at 7.1% across the last seven quarters, demonstrating consistent cash generation without volatility. This stable, above-average cash yield suggests the stock offers attractive returns relative to its valuation, particularly for investors prioritizing cash generation over growth metrics. The combination of elevated FCF yield and sector-leading performance indicates the market may be undervaluing the company's cash-generating ability relative to peers.

Frequently Asked Questions

What does the FCF Yield tell investors about CRM?

One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.

How is the FCF Yield calculated?

FCF Yield is calculated as: Free Cash Flow / Market Cap.

How does CRM's FCF Yield compare to its sector?

CRM's FCF Yield of 7.1% compares to a Technology sector median of 3.0%, placing it in the 87th percentile.

Who are CRM's closest peers by FCF Yield?

The closest Technology peers by FCF Yield include: APP (1.7%), MDB (1.7%), AVGO (1.6%), IAC (1.5%), DDOG (1.4%).

The Formula

Free Cash Flow / Market Cap

Why It Matters

One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.

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CRM

7.1%

Sector Median

3.0%

Sector Avg

2.1%

How CRM's FCF Yield compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.