Financial Survey: Salesforce (NYSE:CRM) & Rand Worldwide (OTCMKTS:RWWI)

Salesforce (NYSE:CRM) and Rand Worldwide (OTCMKTS:RWWI) are both computer and technology companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, earnings, risk, institutional ownership, valuation, analyst recommendations and dividends.

Institutional and Insider Ownership

80.4% of Salesforce shares are held by institutional investors. Comparatively, 0.0% of Rand Worldwide shares are held by institutional investors. 3.0% of Salesforce shares are held by insiders. Comparatively, 59.2% of Rand Worldwide shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Salesforce and Rand Worldwide, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Salesforce	1	11	26	1	2.69
Rand Worldwide	0	0	0	0	0.00

Salesforce presently has a consensus target price of $279.18, suggesting a potential upside of 53.29%. Given Salesforce’s stronger consensus rating and higher probable upside, research analysts plainly believe Salesforce is more favorable than Rand Worldwide.

Earnings and Valuation

This table compares Salesforce and Rand Worldwide”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Salesforce	$41.53 billion	4.05	$7.46 billion	$7.81	23.32
Rand Worldwide	$178.84 million	2.94	$46.59 million	$1.21	12.91

Salesforce has higher revenue and earnings than Rand Worldwide. Rand Worldwide is trading at a lower price-to-earnings ratio than Salesforce, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Salesforce has a beta of 1.29, meaning that its share price is 29% more volatile than the S&P 500. Comparatively, Rand Worldwide has a beta of 0.12, meaning that its share price is 88% less volatile than the S&P 500.

Profitability

This table compares Salesforce and Rand Worldwide’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Salesforce	17.96%	15.38%	9.19%
Rand Worldwide	28.30%	83.67%	25.85%

Summary

Salesforce beats Rand Worldwide on 11 of the 15 factors compared between the two stocks.

About Salesforce

Salesforce, Inc. provides Customer Relationship Management (CRM) technology that brings companies and customers together worldwide. The company's service includes sales to store data, monitor leads and progress, forecast opportunities, gain insights through analytics and artificial intelligence, and deliver quotes, contracts, and invoices; and service that enables companies to deliver trusted and highly personalized customer support at scale. In addition, its platform offering comprise a flexible platform that enables companies of various sizes, locations, and industries to build business workflow and apps with customer; online learning platform that allows anyone to learn in-demand Salesforce skills; and Slack, an intelligent productivity platform. The company's marketing services enables companies to plan, personalize, automate, and optimize customer marketing journey, connecting interaction, and connected products; and commerce services, which empowers shopping experience across various customer touchpoint, such as mobile, web, social, and stores and provides click-to-code tools that offers customers to build and deploy solutions. Further, its analytics offering includes Tableau, an end-to-end analytics solution for range of enterprise use cases and intelligent analytics with AI models, spot trends, predict outcomes, creates summaries, timely recommendations, and take action from any device; and integration service including MuleSoft, which provides building blocks to deliver end-to-end and connected experiences. Additionally, the company provides data cloud, a hyperscale data engine native to Salesforce; vertical services to meet the needs of customers in industries, such as financial services, healthcare and life sciences, manufacturing and automotive and government; and offers salesforce starter for small and medium-sized businesses. Salesforce, Inc. was incorporated in 1999 and is headquartered in San Francisco, California.

About Rand Worldwide

Rand Worldwide, Inc. provides design automation and data management solutions primarily in the United States and Canada. It operates in five divisions: IMAGINiT Technologies, Rand Simulation, Facilities Management, ASCENT, and Rand 3D. The IMAGINiT Technologies division resells Autodesk solutions and system integration, and consulting services to customers in the manufacturing, infrastructure, building, and media and entertainment industries; resells Twinmotion visualization software, which provides design professionals to transform architectural models and designs into photorealistic images and immersive videos; offers a range of 3D laser scanning equipment and related software to help architectural, engineering, and construction firms; and sells its own proprietary software products and related services. The Rand Simulation division offers Ansys engineering simulation software to help organizations incorporate engineering simulation technology into the product development process; and provides simulation consulting services to enable organizations to achieve cost savings and design improvements through simulation technology. The Facilities Management division provides ARCHIBUS products for facilities management software for space planning, strategic planning, and lease/property administration; and offers various training, consulting, and support services for the ARCHIBUS products. The ASCENT division provides professional training materials and knowledge products for engineering software tools. The Rand 3D division offers training solutions for Dassault Systèmes and PTC products, including Pro/ENGINEER, CREO, and Windchill. Rand Worldwide, Inc. is based in Baltimore, Maryland.