Oracle vs Salesforce

Oracle and Salesforce are two major players in the world of cloud computing and enterprise software. Both companies have experienced significant growth in recent years, with their stocks performing well in the market. Oracle, established in 1977, is known for its database management systems and enterprise software solutions. On the other hand, Salesforce, founded in 1999, is a leading provider of customer relationship management (CRM) software. Investors often compare the stocks of these two companies to determine which one offers better long-term growth potential and profitability.

Oracle

Salesforce

Stock Price
Day Low$175.51
Day High$177.19
Year Low$99.26
Year High$178.61
Yearly Change79.94%
Revenue
Revenue Per Share$19.49
5 Year Revenue Growth0.92%
10 Year Revenue Growth1.41%
Profit
Gross Profit Margin0.70%
Operating Profit Margin0.30%
Net Profit Margin0.20%
Stock Price
Day Low$288.26
Day High$292.45
Year Low$193.68
Year High$318.71
Yearly Change64.55%
Revenue
Revenue Per Share$37.83
5 Year Revenue Growth1.16%
10 Year Revenue Growth4.84%
Profit
Gross Profit Margin0.72%
Operating Profit Margin0.19%
Net Profit Margin0.15%

Oracle

Salesforce

Financial Ratios
P/E ratio44.30
PEG ratio-15.65
P/B ratio43.15
ROE146.49%
Payout ratio40.11%
Current ratio0.72
Quick ratio0.72
Cash ratio0.33
Dividend
Dividend Yield1.14%
5 Year Dividend Yield14.87%
10 Year Dividend Yield20.27%
Oracle Dividend History
Financial Ratios
P/E ratio49.92
PEG ratio-1.93
P/B ratio4.88
ROE9.58%
Payout ratio13.71%
Current ratio0.95
Quick ratio0.95
Cash ratio0.29
Dividend
Dividend Yield0.41%
5 Year Dividend Yield0.00%
10 Year Dividend Yield0.00%
Salesforce Dividend History

Oracle or Salesforce?

When comparing Oracle and Salesforce, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Oracle and Salesforce.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Oracle has a dividend yield of 1.14%, while Salesforce has a dividend yield of 0.41%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Oracle reports a 5-year dividend growth of 14.87% year and a payout ratio of 40.11%. On the other hand, Salesforce reports a 5-year dividend growth of 0.00% year and a payout ratio of 13.71%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Oracle P/E ratio at 44.30 and Salesforce's P/E ratio at 49.92. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Oracle P/B ratio is 43.15 while Salesforce's P/B ratio is 4.88.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Oracle has seen a 5-year revenue growth of 0.92%, while Salesforce's is 1.16%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Oracle's ROE at 146.49% and Salesforce's ROE at 9.58%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $175.51 for Oracle and $288.26 for Salesforce. Over the past year, Oracle's prices ranged from $99.26 to $178.61, with a yearly change of 79.94%. Salesforce's prices fluctuated between $193.68 and $318.71, with a yearly change of 64.55%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.

Comparision