Is Salesforce, Inc. overvalued or undervalued?

As of 17 October 2025, Salesforce, Inc. has moved from a very attractive to an attractive valuation grade. The company appears to be overvalued based on its current metrics, including a P/E ratio of 38, an EV to EBITDA ratio of 19.62, and a Price to Book Value of 4.33. In comparison to its peers, Microsoft Corp. has a lower P/E of 36.17 and a more favorable EV to EBITDA of 22.50, while Adobe, Inc. shows a more attractive P/E of 29.80.
Salesforce's recent stock performance has lagged behind the S&P 500, with a year-to-date return of -27.29% compared to the index's 13.30%. This underperformance reinforces the notion that the stock may be overvalued relative to its peers and the broader market.