Salesforce vs Yext

Salesforce and Yext are both leading companies in the technology sector, with a focus on providing cutting-edge solutions in customer relationship management (CRM) and digital knowledge management respectively. While Salesforce has established itself as a market leader in CRM software, Yext has made a name for itself with its innovative technology for managing business listings across various online platforms. Both companies have shown steady growth in their stock prices, but analysts have differing opinions on which stock is a better investment for long-term growth.

Salesforce or Yext?

When comparing Salesforce and Yext, 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 Yext.

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 0.42%, while Yext 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 13.71%. On the other hand, Yext 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 49.36 and Yext's P/E ratio at -132.91. 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 4.82 while Yext's P/B ratio is 5.43.

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 Yext's is 0.48%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Salesforce's ROE at 9.58% and Yext's ROE at -4.42%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $288.00 for Salesforce and $6.79 for Yext. Over the past year, Salesforce's prices ranged from $193.68 to $318.71, with a yearly change of 64.55%. Yext's prices fluctuated between $4.29 and $7.53, with a yearly change of 75.52%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.