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Compare Stocks › CRM vs LH

Salesforce, Inc. (CRM) vs Labcorp Holdings Inc. (LH): Which Is the Better Buy in 2026?

As of 2026-06-19, CRM is undervalued at $152, with a DCF intrinsic value of $274 and a margin of safety of 45%. LH is overvalued at $256, with an intrinsic value of $222 and a margin of safety of -15%. Of the two, CRM has the wider margin of safety.

CRM
Salesforce, Inc.
$151.78
VS
LH
Labcorp Holdings Inc.
$255.82

Rewards

CRM
  • ★Gross margin of 77.6% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
  • ★Free cash flow has grown at a 31.6% CAGR over the past 4 years, demonstrating strong earnings power growth.
  • ★Each dollar of retained earnings has created $5.53 of earning power — management is an exceptional capital allocator.
LH

    Risks

    CRM
      LH
      • ⚠FCF yield of 5.4% suggests reasonable valuation assuming continued moderate growth.
      • ⚠Insiders have sold $2.4M worth of stock in the past 3 months — significant insider liquidation.
      • ⚠Free cash flow has declined at a 7.6% CAGR over the past 4 years — a concerning trend.

      Key Valuation Metrics

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      CRM
      LH
      Valuation
      $16.55B
      Free Cash Flow
      $1.14B
      13.32%
      FCF Yield
      5.45%
      17.57
      Trailing P/E
      22.68
      9.77
      Forward P/E
      13.16
      Quality & Moat
      9.61%
      ROIC
      7.62%
      16.91%
      ROE
      11.05%
      77.64%
      Gross Margin
      28.83%
      0.77
      PEG Ratio
      1.12
      Balance Sheet Safety
      0.90
      Net Debt / Equity
      0.72
      N/A
      Interest Coverage
      N/A
      2.38
      Net Debt / EBITDA
      2.80
      1.09%
      Dividend Yield
      1.09%
      CRM: 9Ties: 2LH: 1
      CRMLH

      Historical Fundamentals

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      CRM

      Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

      LH

      Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

      Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

      $1 Retained Earnings Test

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      CRM
      $-7.99
      created per $1 retained over 3 years
      Market Cap Declined
      Σ Retained
      $14.67B
      Δ Market Cap
      $-117.14B
      Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
      > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
      LH
      $2.13
      created per $1 retained over 3 years
      Exceptional Value Creator
      Σ Retained
      $1.30B
      Δ Market Cap
      +$2.78B
      Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
      > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

      Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
      > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

      Discounted Cash Flow (DCF) Analysis

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      CRM
      44.5% Margin of Safety
      Price is 44.5% below estimated fair value
      Current Price: $151.78
      Fair Value: $273.71
      Strongly undervalued
      Undervalued
      Fairly valued
      Overvalued
      Strongly overvalued
      LH
      15.1% Overvalued
      Price is 15.1% above estimated fair value
      Current Price: $255.82
      Fair Value: $222.29
      Strongly undervalued
      Undervalued
      Fairly valued
      Overvalued
      Strongly overvalued

      Reverse DCF — Market-Implied Growth

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      CRM

      What growth rate is the market pricing in at $152?

      +3.6%
      Market-Implied Owner Earnings Growth
      Standard FCF implies -2.8%

      The market implies +3.6% Owner Earnings growth, below historical trends — potential opportunity.

      Standard FCF implies a more demanding -2.8%, reflecting heavy growth investment expected to generate future returns.

      LH

      What growth rate is the market pricing in at $256?

      +10.4%
      Market-Implied Owner Earnings Growth
      Standard FCF implies +10.1%

      The market implies +10.4% Owner Earnings growth, above historical trends.

      Standard FCF implies a demanding +10.1%, reflecting heavy growth investment.

      Economic Moat Score

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      CRM
      58/100
      Narrow Moat
      70+ Wide · 40-69 Narrow · <40 None

      Narrow moat with revenue predictability as the key competitive advantage. Improving roic consistency would strengthen the moat.

      Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
      LH
      52/100
      Narrow Moat
      70+ Wide · 40-69 Narrow · <40 None

      Narrow moat with revenue predictability as the key competitive advantage. Improving roic consistency would strengthen the moat.

      Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.

      Forensic Accounting

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      CRM
      -2.73
      Unlikely Manipulator
      Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

      M-Score Trend

      Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
      LH
      -2.55
      Unlikely Manipulator
      Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

      M-Score Trend

      Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

      Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

      Ownership Breakdown

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      CRM
      Insiders 3.0%Institutions 94.3%Retail & Other 2.8%
      No. of Institutional Holders3,722
      High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
      LH
      Insiders 0.4%Institutions 101.2%
      No. of Institutional Holders1,417
      High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

      High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

      Insider Buying Activity

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      CRM
      0
      Buys (3M)
      5
      Buys (12M)
      Total value (12M): $27.38M
      ALBER LAURA
      Director
      $500,266
      @ $194.58 · 2026-03-19
      KIRK DAVID BLAIR
      Director
      $500,178
      @ $194.62 · 2026-03-18
      KIRK DAVID BLAIR
      Director
      $500,722
      @ $258.64 · 2025-12-17
      MORFIT G MASON
      Director and Beneficial Owner of more than 10% of a Class of Security
      $25.02M
      @ $260.58 · 2025-12-05
      KIRK DAVID BLAIR
      Director
      $865,827
      @ $254.66 · 2025-09-09
      Open market purchases · includes direct & indirect ownership · excludes option exercises
      LH
      0
      Buys (3M)
      0
      Buys (12M)
      No open market insider purchases found.
      Open market purchases · includes direct & indirect ownership · excludes option exercises

      Open market purchases · includes direct & indirect ownership · excludes option exercises.

      Insider Selling Activity

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      CRM
      0
      Sells (3M)
      15
      Sells (12M)
      Total value (12M): $40.30M
      KROES NEELIE
      Director
      $929,276
      @ $238.70 · 2026-01-14
      HARRIS G PARKER
      Officer and Director
      $31.61M
      @ $234.70 · 2025-12-02
      BENIOFF MARC RUSSELL
      Chief Executive Officer
      $575,140
      @ $255.62 · 2025-10-23
      BENIOFF MARC RUSSELL
      Chief Executive Officer
      $590,102
      @ $262.27 · 2025-10-21
      BENIOFF MARC RUSSELL
      Chief Executive Officer
      $567,631
      @ $252.28 · 2025-10-20
      BENIOFF MARC RUSSELL
      Chief Executive Officer
      $550,430
      @ $244.64 · 2025-10-17
      BENIOFF MARC RUSSELL
      Chief Executive Officer
      $558,810
      @ $248.36 · 2025-10-16
      BENIOFF MARC RUSSELL
      Chief Executive Officer
      $536,322
      @ $238.37 · 2025-10-15
      BENIOFF MARC RUSSELL
      Chief Executive Officer
      $548,796
      @ $243.91 · 2025-10-14
      BENIOFF MARC RUSSELL
      Chief Executive Officer
      $1.10M
      @ $244.75 · 2025-10-13
      BENIOFF MARC RUSSELL
      Chief Executive Officer
      $547,344
      @ $243.26 · 2025-10-09
      BENIOFF MARC RUSSELL
      Chief Executive Officer
      $539,533
      @ $239.79 · 2025-10-08
      BENIOFF MARC RUSSELL
      Chief Executive Officer
      $555,001
      @ $246.67 · 2025-09-23
      BENIOFF MARC RUSSELL
      Chief Executive Officer
      $552,798
      @ $245.69 · 2025-09-19
      BENIOFF MARC RUSSELL
      Chief Executive Officer
      $545,384
      @ $242.39 · 2025-09-15
      Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
      LH
      4
      Sells (3M)
      20
      Sells (12M)
      Total value (12M): $14.70M
      KYLE KATHRYN W
      Officer
      $201,084
      @ $263.89 · 2026-06-08
      SCHECHTER ADAM H
      Chief Executive Officer
      $1.50M
      @ $254.50 · 2026-05-11
      MELTZER JONATHAN C
      Officer
      $224,055
      @ $267.05 · 2026-03-27
      WILKINSON PETER J
      Officer
      $436,093
      @ $267.05 · 2026-03-27
      SCHECHTER ADAM H
      Chief Executive Officer
      $2.44M
      @ $279.96 · 2026-03-03
      VAN DER VAART SANDRA DILLARD
      Officer
      $156,000
      @ $285.19 · 2026-02-27
      CAVENEY BRIAN J
      Officer
      $429,458
      @ $286.31 · 2026-02-24
      WILKINSON PETER J
      Officer
      $185,108
      @ $277.94 · 2026-02-19
      MELTZER JONATHAN C
      Officer
      $25,267
      @ $290.43 · 2026-02-12
      SCHECHTER ADAM H
      Chief Executive Officer
      $1.50M
      @ $284.38 · 2026-02-11
      MELTZER JONATHAN C
      Officer
      $25,188
      @ $276.79 · 2026-02-10
      MELTZER JONATHAN C
      Officer
      $24,247
      @ $275.53 · 2026-02-09
      SCHECHTER ADAM H
      Chief Executive Officer
      $1.51M
      @ $262.75 · 2025-11-11
      PARHAM RICHELLE P
      Director
      $1.78M
      @ $254.28 · 2025-10-31
      VAN DER VAART SANDRA DILLARD
      Officer
      $1.06M
      @ $271.42 · 2025-08-13
      SCHECHTER ADAM H
      Chief Executive Officer
      $1.51M
      @ $266.78 · 2025-08-11
      GILLILAND DWIGHT GARY
      Director
      $529,900
      @ $264.95 · 2025-07-30
      WILKINSON PETER J
      Officer
      $52,727
      @ $261.02 · 2025-07-29
      ANDERSON KERRII B
      Director
      $980,000
      @ $280.00 · 2025-07-24
      ANDERSON KERRII B
      Director
      $132,500
      @ $265.00 · 2025-07-01
      ANDERSON KERRII B
      Director
      $130,000
      @ $260.00 · 2025-06-11
      CAVENEY BRIAN J
      Officer
      $494,000
      @ $247.00 · 2025-06-03
      SCHECHTER ADAM H
      Chief Executive Officer
      $1.52M
      @ $248.73 · 2025-05-12
      VAN DER VAART SANDRA DILLARD
      Officer
      $452,884
      @ $238.36 · 2025-05-01
      WILKINSON PETER J
      Officer
      $200,838
      @ $242.27 · 2025-05-01
      SCHROEDER MARK S
      Chief Operating Officer
      $610,450
      @ $231.67 · 2025-03-28
      SUMMY AMY B
      Officer
      $175,606
      @ $231.67 · 2025-03-28
      ANDERSON KERRII B
      Director
      $127,817
      @ $255.63 · 2025-03-05
      SCHROEDER MARK S
      President
      $1.33M
      @ $249.23 · 2025-02-28
      VAN DER VAART SANDRA DILLARD
      Officer
      $330,208
      @ $251.30 · 2025-02-25
      SUMMY AMY B
      Officer
      $56,590
      @ $250.40 · 2025-02-24
      WILKINSON PETER J
      Officer
      $347,739
      @ $246.10 · 2025-02-18
      SCHECHTER ADAM H
      Chief Executive Officer
      $1.50M
      @ $244.62 · 2025-02-11
      ANDERSON KERRII B
      Director
      $235,000
      @ $235.00 · 2025-01-07
      EISENBERG GLENN A
      Officer
      $2.82M
      @ $240.43 · 2024-12-02
      GILLILAND DWIGHT GARY
      Director
      $241,000
      @ $241.00 · 2024-12-02
      SUMMY AMY B
      Officer
      $877,142
      @ $238.94 · 2024-11-22
      VAN DER VAART SANDRA DILLARD
      Officer
      $239,419
      @ $239.42 · 2024-11-21
      SCHECHTER ADAM H
      Chief Executive Officer
      $1.51M
      @ $243.47 · 2024-11-11
      ANDERSON KERRII B
      Director
      $230,000
      @ $230.00 · 2024-10-24
      VAN DER VAART SANDRA DILLARD
      Officer
      $454,100
      @ $227.05 · 2024-08-19
      EISENBERG GLENN A
      Chief Financial Officer
      $3.36M
      @ $223.99 · 2024-08-15
      ANDERSON KERRII B
      Director
      $225,000
      @ $225.00 · 2024-08-08
      BERBERIAN LANCE V
      Chief Technology Officer
      $2.77M
      @ $229.10 · 2024-08-05
      Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

      Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

      🎭 Mr. Market's Mood

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      CRM
      FearGreed
      🥶Extreme Fear(18/100)

      "Mr. Market is panicking — potential buying opportunity if fundamentals are strong"

      Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
      LH
      FearGreed
      😐Neutral(48/100)

      "Market is pricing this stock without strong emotion in either direction"

      Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

      Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

      ⚖️ Buffett Signal

      Learn more →
      CRM
      ⚪Awaiting DCF Data

      The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

      DCF Margin of Safety: N/AMr. Market's Mood: Extreme Fear (18)
      LH
      ⚪Awaiting DCF Data

      The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

      DCF Margin of Safety: N/AMr. Market's Mood: Neutral (48)
      View CRM Full AnalysisView LH Full Analysis

      Frequently Asked Questions: CRM vs LH

      Is Salesforce, Inc. or Labcorp Holdings Inc. more undervalued in 2026?▼

      Based on our discounted cash flow model, CRM trades at a 44.5% margin of safety (intrinsic value $274 vs. price $152), compared to LH's -15.1% margin of safety (intrinsic $222 vs. $256).

      Which stock has a wider economic moat, Salesforce, Inc. or Labcorp Holdings Inc.?▼

      CRM scores 58/100 (Narrow moat), while LH scores 52/100 (Narrow moat). The moat score measures competitive advantage durability across ROIC consistency, margin stability, revenue predictability, and reinvestment efficiency.

      Is Salesforce, Inc. in financial distress?▼

      CRM's Altman Z-Score of 2.4 places it in the Grey zone, signaling elevated bankruptcy risk. LH scores 3.0 (Safe zone). The Altman Z-Score is a five-factor model that predicts insolvency within two years; scores below 1.81 indicate significant distress.

      Which company has better free cash flow, Salesforce, Inc. or Labcorp Holdings Inc.?▼

      Salesforce, Inc. (CRM) generates a 13.3% free cash flow yield, compared to Labcorp Holdings Inc.'s 5.4%. A higher FCF yield means the business converts more of its market value into cash that can be returned to shareholders or reinvested.

      Which stock has higher return on invested capital, Salesforce, Inc. or Labcorp Holdings Inc.?▼

      CRM earns 9.6% ROIC versus LH's 7.6%. A higher ROIC means the company generates more profit per dollar of capital employed, a hallmark of durable competitive advantage in Buffett-style analysis.

      Which dividend is safer, Salesforce, Inc.'s or Labcorp Holdings Inc.'s?▼

      LH's dividend earns a safety score of 88/100 (Very Safe), compared to CRM's 88/100 (Very Safe). LH has raised its dividend for 1 consecutive years.