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Compare Stocks › CRM vs SYY

Salesforce, Inc. (CRM) vs Sysco Corporation (SYY): 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%. SYY is overvalued at $79, with an intrinsic value of $63 and a margin of safety of -25%. Of the two, CRM has the wider margin of safety.

CRM
Salesforce, Inc.
$151.78
VS
SYY
Sysco Corporation
$78.70

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.
SYY
  • ★Sysco Corporation has maintained ROIC above 10% for 4 consecutive years, suggesting solid business economics.
  • ★Sysco Corporation scores 90/100 on the Economic Moat Score (Wide Moat), with revenue predictability as the strongest competitive dimension.
  • ★Free cash flow has grown at a 11.5% CAGR over the past 4 years, demonstrating strong earnings power growth.

Risks

CRM
    SYY
    • ⚠Gross margin of 18.5% is low, suggesting a competitive or commodity-like market with limited pricing power.
    • ⚠High leverage (5.88x net debt/equity) combined with thin interest coverage (-1.0x) poses financial risk.

    Key Valuation Metrics

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    CRM
    SYY
    Valuation
    $16.55B
    Free Cash Flow
    $1.87B
    13.32%
    FCF Yield
    4.96%
    17.57
    Trailing P/E
    21.86
    9.77
    Forward P/E
    15.89
    Quality & Moat
    9.61%
    ROIC
    13.98%
    16.91%
    ROE
    81.89%
    77.64%
    Gross Margin
    18.54%
    0.77
    PEG Ratio
    1.53
    Balance Sheet Safety
    0.90
    Net Debt / Equity
    5.88
    N/A
    Interest Coverage
    N/A
    2.38
    Net Debt / EBITDA
    2.96
    1.09%
    Dividend Yield
    2.77%
    CRM: 8Ties: 1SYY: 3
    CRMSYY

    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.

    SYY

    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
    SYY
    $-1.45
    created per $1 retained over 3 years
    Market Cap Declined
    Σ Retained
    $2.55B
    Δ Market Cap
    $-3.70B
    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
    SYY
    24.5% Overvalued
    Price is 24.5% above estimated fair value
    Current Price: $78.70
    Fair Value: $63.21
    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.

    SYY

    What growth rate is the market pricing in at $79?

    +11.0%
    Market-Implied Owner Earnings Growth
    Standard FCF implies +12.0%

    The market implies +11.0% Owner Earnings growth, roughly in line with history — reasonably priced.

    Standard FCF implies +12.0%, reflecting ongoing 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.
    SYY
    90/100
    Wide Moat
    70+ Wide · 40-69 Narrow · <40 None

    Wide moat with strength across all dimensions. Revenue Predictability is the standout factor.

    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.
    SYY
    -2.60
    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.
    SYY
    Insiders 0.2%Institutions 89.8%Retail & Other 10.0%
    No. of Institutional Holders2,041
    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
    SYY
    1
    Buys (3M)
    1
    Buys (12M)
    Total value (12M): $1.00M
    HINSHAW JOHN M
    Director
    $1.00M
    @ $75.17 · 2026-05-26
    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
    SYY
    0
    Sells (3M)
    8
    Sells (12M)
    Total value (12M): $8.13M
    TALTON SHEILA G
    Director
    $232,455
    @ $82.99 · 2026-02-02
    PHILLIPS RONALD L
    Officer
    $453,681
    @ $81.00 · 2026-01-27
    PHILLIPS RONALD L
    Officer
    $77,841
    @ $81.00 · 2025-09-11
    PHILLIPS RONALD L
    Officer
    $595,431
    @ $81.00 · 2025-09-02
    PHILLIPS RONALD L
    Officer
    $509,166
    @ $81.00 · 2025-08-13
    GUTIERREZ VICTORIA L
    Officer
    $10,807
    @ $80.65 · 2025-08-11
    PHILLIPS RONALD L
    Officer
    $3.05M
    @ $81.00 · 2025-07-23
    BERTRAND GREG D
    Officer
    $3.20M
    @ $80.00 · 2025-07-22
    TALTON SHEILA G
    Director
    $25,228
    @ $70.87 · 2025-05-01
    BERTRAND GREG D
    Officer
    $3.70M
    @ $77.00 · 2025-01-02
    BERTRAND GREG D
    Officer
    $1.75M
    @ $80.00 · 2024-12-04
    MCFADDEN EVE MANTELL
    General Counsel
    $519,920
    @ $80.00 · 2024-12-04
    TALTON SHEILA G
    Director
    $216,427
    @ $74.63 · 2024-11-19
    MCFADDEN EVE MANTELL
    General Counsel
    $303,104
    @ $75.10 · 2024-11-01
    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

    Learn more →
    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.
    SYY
    FearGreed
    😐Neutral(55/100)

    "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)
    SYY
    ⚪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 (55)
    View CRM Full AnalysisView SYY Full Analysis

    Frequently Asked Questions: CRM vs SYY

    Is Salesforce, Inc. or Sysco Corporation 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 SYY's -24.5% margin of safety (intrinsic $63 vs. $79).

    Which stock has a wider economic moat, Salesforce, Inc. or Sysco Corporation?▼

    SYY scores 90/100 (Wide moat), while CRM scores 58/100 (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. SYY scores 5.0 (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 Sysco Corporation?▼

    Salesforce, Inc. (CRM) generates a 13.3% free cash flow yield, compared to Sysco Corporation's 5.0%. 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 Sysco Corporation?▼

    SYY earns 14.0% ROIC versus CRM's 9.6%. 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 Sysco Corporation's?▼

    CRM's dividend earns a safety score of 88/100 (Very Safe), compared to SYY's 69/100 (Safe). CRM has raised its dividend for 1 consecutive years.

    CRM vs SYY: Which Is the Better Buy in 2026? | SafetyMargin.io