salesforce.com, inc. (CRM): Has Microsoft Corporation (MSFT) Become the Perfect Stock?

Even Microsoft’s core business isn’t as healthy as it used to be. The much-anticipated new Windows 8 operating system has emerged to lackluster sales, as hardware manufacturers haven’t taken advantage of its full capacity, opting instead to focus on the faster-growth opportunities in smartphones and tablets. Some analysts believe that Microsoft Corporation (NASDAQ:MSFT)’s moves to get into the tablet market have alienated the companies that would typically rush to release new PCs with Windows 8, as Hewlett-Packard Company (NYSE:HPQ) has opted to launch an Android-based tablet and a Chromebook so far this year.

Meanwhile, Microsoft appears to be adapting to the cloud with its Office software, as the company’s divisional president in charge of Office said the package could eventually be sold entirely through subscriptions rather than in full-blown permanent licenses. salesforce.com, inc. (NYSE:CRM) has had substantial success with its own subscription model, and subscriptions would remove the uncertainty that Microsoft Corporation (NASDAQ:MSFT) suffers in predicting when users will pay for upgrades.

For Microsoft to improve, it needs to find a blockbuster product that will bring about accelerating revenue growth. So far, that product seems far away, making it unlikely that Microsoft will reach perfection in the near future.

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The article Has Microsoft Become the Perfect Stock? originally appeared on Fool.com and is written by Dan Caplinger.

Fool contributor Dan Caplinger has no position in any stocks mentioned. The Motley Fool recommends salesforce.com and owns shares of Microsoft.

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