Salesforce.com (CRM - Free Report) closed the most recent trading day at $152.68, moving +0.36% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.01%. At the same time, the Dow lost 0.09%, and the tech-heavy Nasdaq gained 0.26%.
Coming into today, shares of the customer-management software developer had gained 7.79% in the past month. In that same time, the Computer and Technology sector gained 5.38%, while the S&P 500 gained 3.23%.
CRM will be looking to display strength as it nears its next earnings release, which is expected to be November 20, 2018. On that day, CRM is projected to report earnings of $0.51 per share, which would represent year-over-year growth of 30.77%. Meanwhile, our latest consensus estimate is calling for revenue of $3.36 billion, up 25.44% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.38 per share and revenue of $13.16 billion, which would represent changes of +76.3% and +25.6%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for CRM. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. 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.
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, the Zacks Consensus EPS estimate remained stagnant. CRM is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, CRM is holding a Forward P/E ratio of 150.74. This represents a premium compared to its industry's average Forward P/E of 42.86.
Meanwhile, CRM's PEG ratio is currently 6.03. 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 3.03 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 49, which puts it in the top 19% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.