Salesforce (NYSE:CRM) Releases FY25 Earnings Guidance

Salesforce (NYSE:CRM) updated its FY25 earnings guidance on Wednesday. The company provided earnings per share (EPS) guidance of $10.03-$10.11 for the period, compared to the consensus estimate of $9.89. The company issued revenue guidance of $37.7-$38.0 billion, compared to the consensus revenue estimate of $37.79 billion. Salesforce also updated its Q3 guidance to $2.42-$2.44 EPS.

Wall Street Analysts Forecast Growth

A number of brokerages have recently issued reports on CRM. JPMorgan Chase & Co. dropped their price objective on shares of Salesforce from $310.00 to $300.00 and set an overweight rating for the company in a research note on Thursday, May 30th. Evercore ISI restated an outperform rating and issued a $300.00 price objective on shares of Salesforce in a research note on Monday. Canaccord Genuity Group dropped their price objective on shares of Salesforce from $350.00 to $300.00 and set a buy rating for the company in a research note on Thursday, May 30th. Royal Bank of Canada restated an outperform rating and issued a $350.00 price objective on shares of Salesforce in a research note on Friday, May 24th. Finally, Oppenheimer dropped their price objective on shares of Salesforce from $325.00 to $280.00 and set an outperform rating for the company in a research note on Thursday, May 30th. One analyst has rated the stock with a sell rating, nine have issued a hold rating, twenty-five have assigned a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of Moderate Buy and a consensus price target of $292.38.

Salesforce Stock Down 2.0 %

CRM traded down $5.30 during trading on Wednesday, reaching $258.90. 10,347,628 shares of the stock were exchanged, compared to its average volume of 6,561,822. The company has a debt-to-equity ratio of 0.14, a quick ratio of 1.11 and a current ratio of 1.11. The stock’s 50 day moving average price is $252.79 and its two-hundred day moving average price is $271.82. Salesforce has a twelve month low of $193.68 and a twelve month high of $318.71. The stock has a market cap of $250.87 billion, a P/E ratio of 46.76, a price-to-earnings-growth ratio of 2.22 and a beta of 1.29.

Salesforce (NYSE:CRM) last released its quarterly earnings data on Wednesday, May 29th. The CRM provider reported $2.44 EPS for the quarter, topping analysts’ consensus estimates of $2.38 by $0.06. Salesforce had a net margin of 15.30% and a return on equity of 11.57%. The firm had revenue of $9.13 billion during the quarter, compared to analysts’ expectations of $9.15 billion. During the same period in the previous year, the business posted $1.15 earnings per share. The company’s revenue for the quarter was up 10.7% compared to the same quarter last year. Equities analysts expect that Salesforce will post 7.47 EPS for the current year.

Salesforce Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, July 25th. Stockholders of record on Tuesday, July 9th were given a $0.40 dividend. The ex-dividend date of this dividend was Tuesday, July 9th. This represents a $1.60 dividend on an annualized basis and a dividend yield of 0.62%. Salesforce’s payout ratio is presently 28.78%.

Insider Activity

In related news, CEO Marc Benioff sold 15,000 shares of the firm’s stock in a transaction that occurred on Thursday, May 30th. The shares were sold at an average price of $216.66, for a total value of $3,249,900.00. Following the completion of the transaction, the chief executive officer now owns 12,407,327 shares in the company, valued at approximately $2,688,171,467.82. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. In other Salesforce news, CAO Sundeep G. Reddy sold 413 shares of the firm’s stock in a transaction that occurred on Tuesday, July 23rd. The shares were sold at an average price of $255.78, for a total transaction of $105,637.14. Following the completion of the transaction, the chief accounting officer now owns 6,431 shares in the company, valued at approximately $1,644,921.18. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, CEO Marc Benioff sold 15,000 shares of the firm’s stock in a transaction that occurred on Thursday, May 30th. The stock was sold at an average price of $216.66, for a total transaction of $3,249,900.00. Following the transaction, the chief executive officer now owns 12,407,327 shares of the company’s stock, valued at approximately $2,688,171,467.82. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 123,764 shares of company stock valued at $30,102,367. 3.20% of the stock is owned by company insiders.

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.