We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
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) Declines More Than Market: Some Information for Investors
Read MoreHide Full Article
In the latest close session, Salesforce.com (CRM - Free Report) was down 1.06% at $267.39. This move lagged the S&P 500's daily loss of 0.3%. Elsewhere, the Dow lost 0.46%, while the tech-heavy Nasdaq lost 0.38%.
Coming into today, shares of the customer-management software developer had lost 0.89% in the past month. In that same time, the Computer and Technology sector gained 4.85%, while the S&P 500 gained 3.64%.
Investors will be eagerly watching for the performance of Salesforce.com in its upcoming earnings disclosure. The company is expected to report EPS of $2.77, up 8.2% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $10.13 billion, up 8.66% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $11.3 per share and revenue of $41.17 billion, which would represent changes of +10.78% and +8.64%, respectively, from the prior year.
Any recent changes to analyst estimates for Salesforce.com should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical 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. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Salesforce.com is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, Salesforce.com is holding a Forward P/E ratio of 23.92. Its industry sports an average Forward P/E of 26.68, so one might conclude that Salesforce.com is trading at a discount comparatively.
Also, we should mention that CRM has a PEG ratio of 1.85. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Computer - Software industry was having an average PEG ratio of 2.33.
The Computer - Software industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 46, placing it within the top 19% of over 250 industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Salesforce.com (CRM) Declines More Than Market: Some Information for Investors
In the latest close session, Salesforce.com (CRM - Free Report) was down 1.06% at $267.39. This move lagged the S&P 500's daily loss of 0.3%. Elsewhere, the Dow lost 0.46%, while the tech-heavy Nasdaq lost 0.38%.
Coming into today, shares of the customer-management software developer had lost 0.89% in the past month. In that same time, the Computer and Technology sector gained 4.85%, while the S&P 500 gained 3.64%.
Investors will be eagerly watching for the performance of Salesforce.com in its upcoming earnings disclosure. The company is expected to report EPS of $2.77, up 8.2% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $10.13 billion, up 8.66% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $11.3 per share and revenue of $41.17 billion, which would represent changes of +10.78% and +8.64%, respectively, from the prior year.
Any recent changes to analyst estimates for Salesforce.com should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical 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. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Salesforce.com is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, Salesforce.com is holding a Forward P/E ratio of 23.92. Its industry sports an average Forward P/E of 26.68, so one might conclude that Salesforce.com is trading at a discount comparatively.
Also, we should mention that CRM has a PEG ratio of 1.85. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Computer - Software industry was having an average PEG ratio of 2.33.
The Computer - Software industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 46, placing it within the top 19% of over 250 industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.