Salesforce (NYSE:CRM) Trading Up 0.1% – Should You Buy?

Shares of Salesforce, Inc. (NYSE:CRM) were up 0.1% during trading on Wednesday . The company traded as high as $289.70 and last traded at $287.68. Approximately 1,552,535 shares traded hands during trading, a decline of 77% from the average daily volume of 6,749,666 shares. The stock had previously closed at $287.34.

Wall Street Analyst Weigh In

Several research firms have weighed in on CRM. Northland Securities reiterated an “outperform” rating and issued a $440.00 price target (up from $400.00) on shares of Salesforce in a research report on Wednesday, December 4th. UBS Group raised their target price on Salesforce from $275.00 to $360.00 and gave the stock a “neutral” rating in a report on Friday, November 22nd. Canaccord Genuity Group cut their price target on Salesforce from $415.00 to $400.00 and set a “buy” rating for the company in a report on Thursday, February 27th. Royal Bank of Canada raised their price objective on Salesforce from $300.00 to $420.00 and gave the stock an “outperform” rating in a research note on Wednesday, December 4th. Finally, Piper Sandler cut their price objective on Salesforce from $405.00 to $400.00 and set an “overweight” rating for the company in a research note on Thursday, February 27th. Two analysts have rated the stock with a sell rating, five have given a hold rating, thirty-two have assigned a buy rating and four have given a strong buy rating to the company’s stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $365.32.

Salesforce Stock Performance

The company has a current ratio of 1.11, a quick ratio of 1.11 and a debt-to-equity ratio of 0.14. The stock has a market capitalization of $278.02 billion, a PE ratio of 47.90, a PEG ratio of 2.58 and a beta of 1.31. The business’s 50 day moving average is $326.96 and its 200 day moving average is $308.33.

Salesforce (NYSE:CRM) last released its earnings results on Tuesday, December 3rd. The CRM provider reported $2.41 EPS for the quarter, missing analysts’ consensus estimates of $2.44 by ($0.03). Salesforce had a net margin of 15.96% and a return on equity of 12.34%. The business had revenue of $9.44 billion for the quarter, compared to the consensus estimate of $9.35 billion. During the same period in the prior year, the company posted $1.62 EPS. The company’s quarterly revenue was up 8.3% compared to the same quarter last year. On average, equities research analysts predict that Salesforce, Inc. will post 7.46 earnings per share for the current fiscal year.

Salesforce Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, January 9th. Shareholders of record on Wednesday, December 18th were given a $0.40 dividend. This represents a $1.60 annualized dividend and a yield of 0.55%. The ex-dividend date was Wednesday, December 18th. Salesforce’s dividend payout ratio (DPR) is presently 25.16%.

Insiders Place Their Bets

In other news, insider Parker Harris sold 942 shares of the business’s stock in a transaction dated Monday, December 23rd. The shares were sold at an average price of $339.78, for a total value of $320,072.76. Following the completion of the sale, the insider now owns 120,333 shares in the company, valued at approximately $40,886,746.74. The trade was a 0.78 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CFO Amy E. Weaver sold 6,221 shares of the stock in a transaction that occurred on Monday, March 3rd. The shares were sold at an average price of $301.00, for a total transaction of $1,872,521.00. Following the transaction, the chief financial officer now owns 46,750 shares in the company, valued at approximately $14,071,750. This represents a 11.74 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 1,108,793 shares of company stock worth $383,156,227 over the last quarter. Company insiders own 3.20% of the company’s stock.

Institutional Trading of Salesforce

Several hedge funds and other institutional investors have recently bought and sold shares of CRM. Castle Rock Wealth Management LLC grew its stake in Salesforce by 114.2% in the fourth quarter. Castle Rock Wealth Management LLC now owns 5,265 shares of the CRM provider’s stock valued at $1,719,000 after purchasing an additional 2,807 shares during the last quarter. Probity Advisors Inc. boosted its holdings in shares of Salesforce by 2.7% in the 4th quarter. Probity Advisors Inc. now owns 3,249 shares of the CRM provider’s stock valued at $1,086,000 after buying an additional 86 shares in the last quarter. Dogwood Wealth Management LLC purchased a new position in shares of Salesforce in the 4th quarter worth approximately $752,000. Siemens Fonds Invest GmbH raised its stake in shares of Salesforce by 4.0% during the 4th quarter. Siemens Fonds Invest GmbH now owns 23,012 shares of the CRM provider’s stock worth $7,726,000 after acquiring an additional 882 shares in the last quarter. Finally, Park Square Financial Group LLC purchased a new stake in Salesforce during the fourth quarter valued at approximately $190,000. Institutional investors own 80.43% of the company’s stock.

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.