salesforce.com (CRM) Lifted to Strong-Buy at Zacks Investment Research

salesforce.com (NYSE:CRM) was upgraded by Zacks Investment Research from a “hold” rating to a “strong-buy” rating in a report issued on Tuesday. The brokerage currently has a $145.00 target price on the CRM provider’s stock. Zacks Investment Research‘s target price would indicate a potential upside of 15.50% from the company’s current price.

According to Zacks, “Salesforce has achieved the $10-billion mark in revenues faster than any other enterprise software company. The company’s diverse cloud offerings and strong spending on digital marketing remain the catalysts. Additionally, strategic acquisitions and the resultant synergies are anticipated to prove conducive to growth over the long run. Furthermore, the company’s move of utilizing other data center operators like Amazon and Alphabet’s geographical reach to expand its international business is commendable and will help it in achieving its targeted $20 billion sales mark in next few years as well. The stock has outperformed the industry in the last one year. Nonetheless, stiff competition and an increase in investments for international expansions and data centers could negatively impact near-term profitability.”

CRM has been the topic of several other reports. Jefferies Group upgraded shares of salesforce.com from a “hold” rating to a “buy” rating and lowered their price target for the company from $97.00 to $84.00 in a research note on Thursday, February 15th. Barclays lifted their price target on shares of salesforce.com from $130.00 to $140.00 and gave the company an “overweight” rating in a research note on Wednesday, March 21st. Credit Suisse Group lifted their price target on shares of salesforce.com from $135.00 to $150.00 and gave the company an “outperform” rating in a research note on Friday, May 4th. UBS set a $144.00 price target on shares of salesforce.com and gave the company a “buy” rating in a research note on Wednesday, March 21st. Finally, Citigroup lifted their price target on shares of salesforce.com from $130.00 to $140.00 and gave the company a “buy” rating in a research note on Thursday, March 1st. Five research analysts have rated the stock with a hold rating, forty-six have issued a buy rating and one has assigned a strong buy rating to the stock. The stock currently has an average rating of “Buy” and a consensus price target of $126.72.

CRM stock traded down $0.83 during midday trading on Tuesday, hitting $125.54. The company’s stock had a trading volume of 72,998 shares, compared to its average volume of 4,171,765. The company has a current ratio of 0.92, a quick ratio of 0.92 and a debt-to-equity ratio of 0.07. salesforce.com has a twelve month low of $83.55 and a twelve month high of $131.00. The firm has a market capitalization of $92.84 billion, a P/E ratio of 278.98, a PEG ratio of 5.36 and a beta of 1.24.

salesforce.com (NYSE:CRM) last issued its quarterly earnings results on Wednesday, February 28th. The CRM provider reported $0.35 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.34 by $0.01. salesforce.com had a net margin of 1.22% and a return on equity of 3.86%. The firm had revenue of $2.85 billion for the quarter, compared to analyst estimates of $2.81 billion. During the same period in the previous year, the business earned $0.28 EPS. The company’s revenue was up 24.3% compared to the same quarter last year. equities research analysts forecast that salesforce.com will post 0.98 EPS for the current fiscal year.

In related news, Vice Chairman Keith Block sold 10,000 shares of the company’s stock in a transaction that occurred on Thursday, March 22nd. The shares were sold at an average price of $120.01, for a total transaction of $1,200,100.00. Following the completion of the transaction, the insider now directly owns 29,618 shares in the company, valued at approximately $3,554,456.18. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, Chairman Marc Benioff sold 15,000 shares of the company’s stock in a transaction that occurred on Wednesday, May 16th. The stock was sold at an average price of $128.31, for a total transaction of $1,924,650.00. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 443,139 shares of company stock valued at $53,912,633. 6.00% of the stock is owned by corporate insiders.

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. TIAA CREF Investment Management LLC increased its position in salesforce.com by 7.0% in the 4th quarter. TIAA CREF Investment Management LLC now owns 9,865,725 shares of the CRM provider’s stock valued at $1,008,573,000 after acquiring an additional 645,099 shares during the period. Massachusetts Financial Services Co. MA increased its position in salesforce.com by 3.6% in the 1st quarter. Massachusetts Financial Services Co. MA now owns 6,572,224 shares of the CRM provider’s stock valued at $764,350,000 after acquiring an additional 226,056 shares during the period. Baillie Gifford & Co. increased its position in salesforce.com by 4.9% in the 1st quarter. Baillie Gifford & Co. now owns 6,046,347 shares of the CRM provider’s stock valued at $703,190,000 after acquiring an additional 280,110 shares during the period. Brown Advisory Inc. increased its position in salesforce.com by 2.4% in the 4th quarter. Brown Advisory Inc. now owns 4,756,094 shares of the CRM provider’s stock valued at $486,216,000 after acquiring an additional 112,839 shares during the period. Finally, Tybourne Capital Management HK Ltd. increased its position in salesforce.com by 27.8% in the 4th quarter. Tybourne Capital Management HK Ltd. now owns 4,346,500 shares of the CRM provider’s stock valued at $444,343,000 after acquiring an additional 945,000 shares during the period. Hedge funds and other institutional investors own 85.07% of the company’s stock.

About salesforce.com

salesforce.com, inc. develops enterprise cloud computing solutions with a focus on customer relationship management. The company offers Sales Cloud to store data, monitor leads and progress, forecast opportunities, and gain insights through analytics and relationship intelligence, as well as deliver quotes, contracts, and invoices.

Get a free copy of the Zacks research report on salesforce.com (CRM)

For more information about research offerings from Zacks Investment Research, visit Zacks.com

Analyst Recommendations for salesforce.com (NYSE:CRM)

Receive News & Ratings for salesforce.com Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for salesforce.com and related companies with MarketBeat.com's FREE daily email newsletter.

Comments

Leave a Reply


share news on Facebook
tweet this investment news
share on linkedin
share on StockTwits
share on Google Plus
share on reddit