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Salesforce.com (CRM) Dips More Than Broader Markets: What You Should Know
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Salesforce.com (CRM - Free Report) closed at $247.66 in the latest trading session, marking a -0.37% move from the prior day. This change lagged the S&P 500's daily loss of 0.03%. Meanwhile, the Dow gained 0.29%, and the Nasdaq, a tech-heavy index, lost 0.58%.
Heading into today, shares of the customer-management software developer had gained 12.78% over the past month, outpacing the Computer and Technology sector's gain of 11.29% and the S&P 500's gain of 4.45% in that time.
CRM will be looking to display strength as it nears its next earnings release, which is expected to be February 25, 2021. The company is expected to report EPS of $0.75, up 13.64% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $5.68 billion, up 17.01% from the year-ago period.
Investors might also notice recent changes to analyst estimates for CRM. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. CRM is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that CRM has a Forward P/E ratio of 70.84 right now. For comparison, its industry has an average Forward P/E of 38.68, which means CRM is trading at a premium to the group.
Meanwhile, CRM's PEG ratio is currently 5.06. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Computer - Software was holding an average PEG ratio of 3.11 at yesterday's closing price.
The Computer - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 216, which puts it in the bottom 16% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Salesforce.com (CRM) Dips More Than Broader Markets: What You Should Know
Salesforce.com (CRM - Free Report) closed at $247.66 in the latest trading session, marking a -0.37% move from the prior day. This change lagged the S&P 500's daily loss of 0.03%. Meanwhile, the Dow gained 0.29%, and the Nasdaq, a tech-heavy index, lost 0.58%.
Heading into today, shares of the customer-management software developer had gained 12.78% over the past month, outpacing the Computer and Technology sector's gain of 11.29% and the S&P 500's gain of 4.45% in that time.
CRM will be looking to display strength as it nears its next earnings release, which is expected to be February 25, 2021. The company is expected to report EPS of $0.75, up 13.64% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $5.68 billion, up 17.01% from the year-ago period.
Investors might also notice recent changes to analyst estimates for CRM. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. CRM is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that CRM has a Forward P/E ratio of 70.84 right now. For comparison, its industry has an average Forward P/E of 38.68, which means CRM is trading at a premium to the group.
Meanwhile, CRM's PEG ratio is currently 5.06. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Computer - Software was holding an average PEG ratio of 3.11 at yesterday's closing price.
The Computer - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 216, which puts it in the bottom 16% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.