Packaged Software Stocks are Among the Highest Rated Stocks
The software industry has performed extremely well over the last couple of years. Many of the stocks are among the highest rated when it comes to strong fundamentals and the price performance reflects that.
Looking through a bunch of weekly charts recently, there were two software companies that really jumped out at me. Intuit (INTU) and Salesforce.com (CRM) both jumped out, but for different reasons. Intuit was overbought and has pulled back a little over the last few weeks after it hit the upper rail of a trend channel. The pullback has been just enough to move the stock out of overbought territory based on the weekly stochastic indicators and the 10-week RSI.
The chart for Salesforce got my attention for the opposite reason. The stock peaked in August and has been falling since then. The weekly stochastic indicators recently reached oversold territory for the first time in a number of years. I also couldn’t help but notice that the indicators have just made a bullish crossover.
If we look at the fundamental and technical indicators on the Tickeron Screener, both companies do well on the technical side with both getting four bullish signals. Intuit does have one bearish signal and Salesforce has two bearish signals. Both stocks have received bullish signals in the MACD indicators and the Momentum Indicator and all of the signals have come within the last three days.
On the fundamental side, Intuit gets three positive readings and no negative readings. Salesforce gets two positive readings and three negative readings. Despite having more negative readings than positive readings, Salesforce gets positive readings in two categories that I value greatly—the Profit vs. Risk Rating and the SMR Rating. Intuit gets positive readings in both of those categories as well and it gets another positive reading from its Valuation Rating.
The companies are scheduled to report earnings toward the end of February and beginning of March. Salesforce’s earnings are expected to grow by 13.6% compared to the same quarter one year ago while revenue is expected to jump 17%. Intuit’s EPS is expected to increase by 10.3% and its revenue is expected to grow by 15.2%. The earnings and revenue growth have been big drivers in the rallies for these stocks over the last few years. As it stands now, analysts expect their growth to continue.
Here is the complete comparison between Salesforce and Intuit from Tickeron.
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Harry Richardson — Algorithmic Trader & Strategy Developer Harry is an algorithmic trader specializing in impulse and breakout trading strategies across cryptocurrency and equity markets. With more than 10 years of experience in developing automated trading systems, he focuses on building structured algorithms designed to capture momentum while maintaining strict risk control. His approach combines quantitative analysis, real-market execution, and continuous performance monitoring. Vitalii prioritizes risk management, drawdown control, and strategy stability over short-term optimization, ensuring algorithms are adaptable to changing market conditions. He has developed and tested hundreds of automated strategies, working extensively with live trading environments, forward testing, and portfolio-level algorithm management. His work centers on transforming trading ideas into fully operational, scalable automated systems.
CRM sees its Stochastic Oscillator recovers from oversold territory
On October 01, 2026, the Stochastic Oscillator for CRM moved out of oversold territory and this could be a bullish sign for the stock. Traders may want to buy the stock or buy call options. Tickeron's A.I.dvisor looked at 57 instances where the indicator left the oversold zone. In 41 of the 57 cases the stock moved higher in the following days. This puts the odds of a move higher at over 72%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The 50-day moving average for CRM moved above the 200-day moving average on September 15, 2026. This could be a long-term bullish signal for the stock as the stock shifts to an upward trend.
Following a +5.05% 3-day Advance, the price is estimated to grow further. Considering data from situations where CRM advanced for three days, in 226 of 327 cases, the price rose further within the following month. The odds of a continued upward trend are 69%.
Bearish Trend Analysis
The 10-day RSI Indicator for CRM moved out of overbought territory on September 08, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 30 similar instances where the indicator moved out of overbought territory. In 18 of the 30 cases, the stock moved lower in the following days. This puts the odds of a move lower at 60%.
The Momentum Indicator moved below the 0 level on September 15, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on CRM as a result. In 56 of 83 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 67%.
The Moving Average Convergence Divergence Histogram (MACD) for CRM turned negative on September 10, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 46 similar instances when the indicator turned negative. In 30 of the 46 cases the stock turned lower in the days that followed. This puts the odds of success at 65%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where CRM declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 67%.
The Aroon Indicator for CRM entered a downward trend on October 06, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron Valuation Rating of 16 (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (4.873) is normal, around the industry mean (51.693). P/E Ratio (20.812) is within average values for comparable stocks, (82.636). Projected Growth (PEG Ratio) (0.759) is also within normal values, averaging (3.135). Dividend Yield (0.008) settles around the average of (0.011) among similar stocks. P/S Ratio (5.107) is also within normal values, averaging (70.184).
The Tickeron Price Growth Rating for this company is 42 (best 1 - 100 worst), indicating steady price growth. CRM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is 48 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Seasonality Score of 85 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron PE Growth Rating for this company is 86 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 100 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. CRM’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 94, placing this stock worse than average.
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Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
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General Information
a developer of on-demand customer relationship management software technology
Industry PackagedSoftware
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