InvestMoat

Microsoft vs Salesforce

Is it even close?

Microsoft wins, 81 to 66, on all three scores.

MSFT · Software

Microsoft Corp.

…

AccumulateFull analysis

CRM · Software

Salesforce Inc.

…

Speculative BuyFull analysis

MSFT

CRM

Composite
81
(higher)
66
Moat
90
(higher)
65
Growth
79
(higher)
70
Valuation
69
(higher)
65

MSFT

CRM

Bear
$390
$150
Base
$575
$250
Bull
$700
$350
Upside to base
—
—

MSFT

CRM

Revenue CAGR, 3–5 yr
15–17%
9-12%

MSFT

CRM

Proprietary Data
Strong (higher)
Intact
Regulatory Lock-In
Intact
Intact
Network Effects
Strong (higher)
Intact
Transaction Embedding
Strong (higher)
Intact
System of Record
Strong
Strong
Scale Economics
Strong (higher)
N/A
Brand & Pricing Power
N/A
N/A

MSFT

CRM

Learned Interfaces
Intact (higher)
Weakened
Business Logic
Intact (higher)
Weakened
Public Data Access
N/A
N/A
Talent Scarcity
N/A
Weakened (higher)
Bundling
Strong (higher)
Weakened

Shaded cells mark the higher score or stronger moat on each row. Valuation and composite use the live price when it is available, the same as each stock page.

Which is the better stock, Microsoft or Salesforce?

Microsoft wins, 81 to 66, on all three scores. Our rating: Microsoft Accumulate, Salesforce Speculative Buy.

Does Microsoft or Salesforce have the wider moat?

Microsoft scores 90 on moat to Salesforce's 65. Microsoft is rated stronger on bundling, proprietary data and network effects.

Which is growing faster, Microsoft or Salesforce?

Microsoft scores 79 on growth to Salesforce's 70. We expect Microsoft to grow 15–17% a year, Salesforce 9–12%.

Is Microsoft or Salesforce cheaper right now?

Microsoft scores 69 on valuation to Salesforce's 65. In our base case, Microsoft has more upside: +5% vs −1%.

Scores in the answers use the price each valuation was last struck at; the table above updates with the live price. Not investment advice.