Salesforce vs Domo Which Is More Attractive?

Salesforce and Domo are two prominent companies in the tech industry, each offering unique solutions for businesses. Salesforce is a leading customer relationship management (CRM) software provider, while Domo specializes in cloud-based business intelligence and data visualization tools. Both companies have seen significant growth in their stock prices in recent years, with Salesforce being a more established player in the market. However, Domo has been gaining momentum with its innovative products and services, making it an attractive option for investors looking to capitalize on the growing demand for data-driven solutions.

Salesforce or Domo?

When comparing Salesforce and Domo, 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 Salesforce and Domo.

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. Salesforce has a dividend yield of 0.34%, while Domo has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Salesforce reports a 5-year dividend growth of 0.00% year and a payout ratio of 14.69%. On the other hand, Domo reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

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 Salesforce P/E ratio at 43.43 and Domo's P/E ratio at -3.44. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Salesforce P/B ratio is 5.83 while Domo's P/B ratio is -1.67.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Salesforce has seen a 5-year revenue growth of 1.16%, while Domo's is 1.08%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Salesforce's ROE at 13.35% and Domo's ROE at 50.69%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $352.52 for Salesforce and $7.33 for Domo. Over the past year, Salesforce's prices ranged from $212.00 to $369.00, with a yearly change of 74.06%. Domo's prices fluctuated between $6.11 and $12.23, with a yearly change of 100.15%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.