We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Salesforce.com (CRM) Stock Sinks As Market Gains: What You Should Know
Read MoreHide Full Article
Salesforce.com (CRM - Free Report) closed the most recent trading day at $244.27, moving -0.63% from the previous trading session. This change lagged the S&P 500's 0.13% gain on the day.
Coming into today, shares of the customer-management software developer had gained 4.07% in the past month. In that same time, the Computer and Technology sector gained 6.68%, while the S&P 500 gained 2.16%.
Investors will be hoping for strength from CRM as it approaches its next earnings release. In that report, analysts expect CRM to post earnings of $0.91 per share. This would mark a year-over-year decline of 36.81%. Our most recent consensus estimate is calling for quarterly revenue of $6.23 billion, up 20.96% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.80 per share and revenue of $25.9 billion. These totals would mark changes of -22.76% and +21.89%, respectively, from last year.
It is also important to note the 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. CRM currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, CRM is holding a Forward P/E ratio of 64.69. For comparison, its industry has an average Forward P/E of 38.69, which means CRM is trading at a premium to the group.
Also, we should mention that CRM has a PEG ratio of 3.51. 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. CRM's industry had an average PEG ratio of 2.64 as of yesterday's close.
The Computer - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 114, putting it in the top 45% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
To follow CRM in the coming trading sessions, be sure to utilize Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Salesforce.com (CRM) Stock Sinks As Market Gains: What You Should Know
Salesforce.com (CRM - Free Report) closed the most recent trading day at $244.27, moving -0.63% from the previous trading session. This change lagged the S&P 500's 0.13% gain on the day.
Coming into today, shares of the customer-management software developer had gained 4.07% in the past month. In that same time, the Computer and Technology sector gained 6.68%, while the S&P 500 gained 2.16%.
Investors will be hoping for strength from CRM as it approaches its next earnings release. In that report, analysts expect CRM to post earnings of $0.91 per share. This would mark a year-over-year decline of 36.81%. Our most recent consensus estimate is calling for quarterly revenue of $6.23 billion, up 20.96% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.80 per share and revenue of $25.9 billion. These totals would mark changes of -22.76% and +21.89%, respectively, from last year.
It is also important to note the 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. CRM currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, CRM is holding a Forward P/E ratio of 64.69. For comparison, its industry has an average Forward P/E of 38.69, which means CRM is trading at a premium to the group.
Also, we should mention that CRM has a PEG ratio of 3.51. 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. CRM's industry had an average PEG ratio of 2.64 as of yesterday's close.
The Computer - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 114, putting it in the top 45% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
To follow CRM in the coming trading sessions, be sure to utilize Zacks.com.