Charlie Bottle

Salesforce.com Worth Half Its Current Price

PenName Dave, thank you. I'm very aware of their fiancials and looked at it from several angles. The company has negative working capital given that it receives ahead of providing the service (on quarterly or annual basis), as result of their growth this increased their operating profit. Given that I'm anticiapting a stagnating to decreasing sales this will disappear or even reverse. So lookin at EV/EBITDA multiple would be better to look at (right now it is about 20X compared ot 7X for MSFT). Still the company has recurring capex which I think it is not fair to exclude so I prefer to look at Earnings and P/E. Ben Graham was right.