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Salesforce.com (CRM) Stock Sinks As Market Gains: What You Should Know
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Salesforce.com (CRM - Free Report) closed at $248.44 in the latest trading session, marking a -0.72% move from the prior day. This change lagged the S&P 500's 0.34% gain on the day.
Prior to today's trading, shares of the customer-management software developer had gained 5.85% over the past month. This has lagged the Computer and Technology sector's gain of 5.91% and outpaced the S&P 500's gain of 2.71% in that time.
Wall Street will be looking for positivity from CRM as it approaches its next earnings report date. 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.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.80 per share and revenue of $25.9 billion, which would represent changes of -22.76% and +21.89%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for CRM. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. CRM is currently a Zacks Rank #3 (Hold).
Looking at its valuation, CRM is holding a Forward P/E ratio of 65.86. This valuation marks a premium compared to its industry's average Forward P/E of 43.27.
Investors should also note that CRM has a PEG ratio of 3.57 right now. 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 industry currently had an average PEG ratio of 2.6 as of yesterday's close.
The Computer - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 101, which puts it in the top 40% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Salesforce.com (CRM) Stock Sinks As Market Gains: What You Should Know
Salesforce.com (CRM - Free Report) closed at $248.44 in the latest trading session, marking a -0.72% move from the prior day. This change lagged the S&P 500's 0.34% gain on the day.
Prior to today's trading, shares of the customer-management software developer had gained 5.85% over the past month. This has lagged the Computer and Technology sector's gain of 5.91% and outpaced the S&P 500's gain of 2.71% in that time.
Wall Street will be looking for positivity from CRM as it approaches its next earnings report date. 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.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.80 per share and revenue of $25.9 billion, which would represent changes of -22.76% and +21.89%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for CRM. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. CRM is currently a Zacks Rank #3 (Hold).
Looking at its valuation, CRM is holding a Forward P/E ratio of 65.86. This valuation marks a premium compared to its industry's average Forward P/E of 43.27.
Investors should also note that CRM has a PEG ratio of 3.57 right now. 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 industry currently had an average PEG ratio of 2.6 as of yesterday's close.
The Computer - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 101, which puts it in the top 40% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.