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HUBS vs CRM
Revenue, margins, valuation, and 5-year total return — side by side.
Software - Application
HUBS vs CRM — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | ||
|---|---|---|
| Industry | Software - Application | Software - Application |
| Market Cap | $12.67B | $179.88B |
| Revenue (TTM) | $3.13B | $41.52B |
| Net Income (TTM) | $46M | $7.46B |
| Gross Margin | 83.8% | 77.7% |
| Operating Margin | 0.2% | 21.5% |
| Forward P/E | 19.8x | 15.9x |
| Total Debt | $485M | $6.74B |
| Cash & Equiv. | $882M | $7.33B |
HUBS vs CRM — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| HubSpot, Inc. (HUBS) | 100 | 123.1 | +23.1% |
| Salesforce, Inc. (CRM) | 100 | 107.0 | +7.0% |
Price return only. Dividends and distributions are not included.
Quick Verdict: HUBS vs CRM
Each card shows where this stock fits in a portfolio — not just who wins on paper.
HUBS is the clearest fit if your priority is growth exposure and long-term compounding.
- Rev growth 19.2%, EPS growth 8.6%, 3Y rev CAGR 21.8%
- 463.2% 10Y total return vs CRM's 158.4%
- 19.2% revenue growth vs CRM's 9.6%
CRM carries the broadest edge in this set and is the clearest fit for income & stability and sleep-well-at-night.
- Dividend streak 2 yrs, beta 0.82, yield 0.9%
- Lower volatility, beta 0.82, Low D/E 11.4%, current ratio 0.76x
- Beta 0.82, yield 0.9%, current ratio 0.76x
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | 19.2% revenue growth vs CRM's 9.6% | |
| Value | Lower P/E (15.9x vs 19.8x) | |
| Quality / Margins | 18.0% margin vs HUBS's 1.5% | |
| Stability / Safety | Beta 0.82 vs HUBS's 1.18, lower leverage | |
| Dividends | 0.9% yield; 2-year raise streak; the other pay no meaningful dividend | |
| Momentum (1Y) | -30.8% vs HUBS's -61.5% | |
| Efficiency (ROA) | 6.6% ROA vs HUBS's 1.2%, ROIC 10.9% vs 0.4% |
HUBS vs CRM — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
HUBS vs CRM — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
Income & Cash Flow (Last 12 Months)
Evenly matched — HUBS and CRM each lead in 3 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
CRM is the larger business by revenue, generating $41.5B annually — 13.3x HUBS's $3.1B. CRM is the more profitable business, keeping 18.0% of every revenue dollar as net income compared to HUBS's 1.5%. On growth, HUBS holds the edge at +20.4% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | ||
|---|---|---|
| RevenueTrailing 12 months | $3.1B | $41.5B |
| EBITDAEarnings before interest/tax | $139M | $11.4B |
| Net IncomeAfter-tax profit | $46M | $7.5B |
| Free Cash FlowCash after capex | $677M | $14.4B |
| Gross MarginGross profit ÷ Revenue | +83.8% | +77.7% |
| Operating MarginEBIT ÷ Revenue | +0.2% | +21.5% |
| Net MarginNet income ÷ Revenue | +1.5% | +18.0% |
| FCF MarginFCF ÷ Revenue | +21.6% | +34.7% |
| Rev. Growth (YoY)Latest quarter vs prior year | +20.4% | +12.1% |
| EPS Growth (YoY)Latest quarter vs prior year | +10.6% | +18.3% |
Valuation Metrics
CRM leads this category, winning 5 of 6 comparable metrics.
Valuation Metrics
At 24.0x trailing earnings, CRM trades at a 92% valuation discount to HUBS's 286.1x P/E. On an enterprise value basis, CRM's 20.1x EV/EBITDA is more attractive than HUBS's 69.8x.
| Metric | ||
|---|---|---|
| Market CapShares × price | $12.7B | $179.9B |
| Enterprise ValueMkt cap + debt − cash | $12.3B | $179.3B |
| Trailing P/EPrice ÷ TTM EPS | 286.14x | 23.97x |
| Forward P/EPrice ÷ next-FY EPS est. | 19.75x | 15.88x |
| PEG RatioP/E ÷ EPS growth rate | — | 1.96x |
| EV / EBITDAEnterprise value multiple | 69.76x | 20.11x |
| Price / SalesMarket cap ÷ Revenue | 4.05x | 4.33x |
| Price / BookPrice ÷ Book value/share | 6.34x | 3.02x |
| Price / FCFMarket cap ÷ FCF | 17.90x | 12.49x |
Profitability & Efficiency
CRM leads this category, winning 7 of 9 comparable metrics.
Profitability & Efficiency
CRM delivers a 12.6% return on equity — every $100 of shareholder capital generates $13 in annual profit, vs $2 for HUBS. CRM carries lower financial leverage with a 0.11x debt-to-equity ratio, signaling a more conservative balance sheet compared to HUBS's 0.23x. On the Piotroski fundamental quality scale (0–9), CRM scores 8/9 vs HUBS's 6/9, reflecting strong financial health.
| Metric | ||
|---|---|---|
| ROE (TTM)Return on equity | +2.3% | +12.6% |
| ROA (TTM)Return on assets | +1.2% | +6.6% |
| ROICReturn on invested capital | +0.4% | +10.9% |
| ROCEReturn on capital employed | +0.5% | +11.9% |
| Piotroski ScoreFundamental quality 0–9 | 6 | 8 |
| Debt / EquityFinancial leverage | 0.23x | 0.11x |
| Net DebtTotal debt minus cash | -$397M | -$590M |
| Cash & Equiv.Liquid assets | $882M | $7.3B |
| Total DebtShort + long-term debt | $485M | $6.7B |
| Interest CoverageEBIT ÷ Interest expense | 65.51x | 44.14x |
Total Returns (Dividends Reinvested)
CRM leads this category, winning 5 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in CRM five years ago would be worth $8,853 today (with dividends reinvested), compared to $4,892 for HUBS. Over the past 12 months, CRM leads with a -30.8% total return vs HUBS's -61.5%. The 3-year compound annual growth rate (CAGR) favors CRM at -1.2% vs HUBS's -17.9% — a key indicator of consistent wealth creation.
| Metric | ||
|---|---|---|
| YTD ReturnYear-to-date | -35.6% | -26.1% |
| 1-Year ReturnPast 12 months | -61.5% | -30.8% |
| 3-Year ReturnCumulative with dividends | -44.6% | -3.5% |
| 5-Year ReturnCumulative with dividends | -51.1% | -11.5% |
| 10-Year ReturnCumulative with dividends | +463.2% | +158.4% |
| CAGR (3Y)Annualised 3-year return | -17.9% | -1.2% |
Risk & Volatility
CRM leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
CRM is the less volatile stock with a 0.82 beta — it tends to amplify market swings less than HUBS's 1.18 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. CRM currently trades 63.2% from its 52-week high vs HUBS's 36.1% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | ||
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 1.18x | 0.82x |
| 52-Week HighHighest price in past year | $682.57 | $296.05 |
| 52-Week LowLowest price in past year | $187.45 | $163.52 |
| % of 52W HighCurrent price vs 52-week peak | +36.1% | +63.2% |
| RSI (14)Momentum oscillator 0–100 | 58.4 | 52.6 |
| Avg Volume (50D)Average daily shares traded | 1.4M | 12.7M |
Analyst Outlook
Insufficient data to determine a leader in this category.
Analyst Outlook
Wall Street rates HUBS as "Buy" and CRM as "Buy". Consensus price targets imply 53.5% upside for CRM (target: $287) vs 46.7% for HUBS (target: $361). CRM is the only dividend payer here at 0.89% yield — a key consideration for income-focused portfolios.
| Metric | ||
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Buy |
| Price TargetConsensus 12-month target | $360.89 | $287.00 |
| # AnalystsCovering analysts | 47 | 97 |
| Dividend YieldAnnual dividend ÷ price | — | +0.9% |
| Dividend StreakConsecutive years of raises | — | 2 |
| Dividend / ShareAnnual DPS | — | $1.66 |
| Buyback YieldShare repurchases ÷ mkt cap | +3.9% | +7.0% |
CRM leads in 4 of 6 categories — strongest in Valuation Metrics and Profitability & Efficiency. 1 category is tied.
HUBS vs CRM: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is HUBS or CRM a better buy right now?
For growth investors, HubSpot, Inc.
(HUBS) is the stronger pick with 19. 2% revenue growth year-over-year, versus 9. 6% for Salesforce, Inc. (CRM). Salesforce, Inc. (CRM) offers the better valuation at 24. 0x trailing P/E (15. 9x forward), making it the more compelling value choice. Analysts rate HubSpot, Inc. (HUBS) a "Buy" — based on 47 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — HUBS or CRM?
On trailing P/E, Salesforce, Inc.
(CRM) is the cheapest at 24. 0x versus HubSpot, Inc. at 286. 1x. On forward P/E, Salesforce, Inc. is actually cheaper at 15. 9x.
03Which is the better long-term investment — HUBS or CRM?
Over the past 5 years, Salesforce, Inc.
(CRM) delivered a total return of -11. 5%, compared to -51. 1% for HubSpot, Inc. (HUBS). Over 10 years, the gap is even starker: HUBS returned +463. 2% versus CRM's +158. 4%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — HUBS or CRM?
By beta (market sensitivity over 5 years), Salesforce, Inc.
(CRM) is the lower-risk stock at 0. 82β versus HubSpot, Inc. 's 1. 18β — meaning HUBS is approximately 45% more volatile than CRM relative to the S&P 500. On balance sheet safety, Salesforce, Inc. (CRM) carries a lower debt/equity ratio of 11% versus 23% for HubSpot, Inc. — giving it more financial flexibility in a downturn.
05Which is growing faster — HUBS or CRM?
By revenue growth (latest reported year), HubSpot, Inc.
(HUBS) is pulling ahead at 19. 2% versus 9. 6% for Salesforce, Inc. (CRM). On earnings-per-share growth, the picture is similar: HubSpot, Inc. grew EPS 863. 0% year-over-year, compared to 22. 6% for Salesforce, Inc.. Over a 3-year CAGR, HUBS leads at 21. 8% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — HUBS or CRM?
Salesforce, Inc.
(CRM) is the more profitable company, earning 18. 0% net margin versus 1. 5% for HubSpot, Inc. — meaning it keeps 18. 0% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: CRM leads at 21. 5% versus 0. 4% for HUBS. At the gross margin level — before operating expenses — HUBS leads at 83. 8%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is HUBS or CRM more undervalued right now?
On forward earnings alone, Salesforce, Inc.
(CRM) trades at 15. 9x forward P/E versus 19. 8x for HubSpot, Inc. — 3. 9x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for CRM: 53. 5% to $287. 00.
08Which pays a better dividend — HUBS or CRM?
In this comparison, CRM (0.
9% yield) pays a dividend. HUBS does not pay a meaningful dividend and should not be held primarily for income.
09Is HUBS or CRM better for a retirement portfolio?
For long-horizon retirement investors, Salesforce, Inc.
(CRM) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 82), 0. 9% yield, +158. 4% 10Y return). Both have compounded well over 10 years (CRM: +158. 4%, HUBS: +463. 2%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between HUBS and CRM?
Both stocks operate in the Technology sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
In terms of investment character: HUBS is a mid-cap high-growth stock; CRM is a mid-cap quality compounder stock. CRM pays a dividend while HUBS does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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