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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 the most recent trading day at $151.72, moving -1.57% from the previous trading session. This change lagged the S&P 500's daily loss of 0.05%. At the same time, the Dow added 0.17%, and the tech-heavy Nasdaq lost 0.01%.
Prior to today's trading, shares of the customer-management software developer had gained 4.81% over the past month. This has lagged the Computer and Technology sector's gain of 21.05% and the S&P 500's gain of 21.82% in that time.
Investors will be hoping for strength from CRM as it approaches its next earnings release. The company is expected to report EPS of $0.69, down 25.81% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $4.86 billion, up 29.93% from the year-ago period.
CRM's full-year Zacks Consensus Estimates are calling for earnings of $3.11 per share and revenue of $20.83 billion. These results would represent year-over-year changes of +4.01% and +21.8%, respectively.
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 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. 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. Over the past month, the Zacks Consensus EPS estimate has moved 2.74% lower. CRM is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that CRM has a Forward P/E ratio of 49.62 right now. This represents a premium compared to its industry's average Forward P/E of 28.32.
Also, we should mention that CRM has a PEG ratio of 2.76. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Computer - Software was holding an average PEG ratio of 2.58 at yesterday's closing price.
The Computer - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 48, putting it in the top 19% 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 the most recent trading day at $151.72, moving -1.57% from the previous trading session. This change lagged the S&P 500's daily loss of 0.05%. At the same time, the Dow added 0.17%, and the tech-heavy Nasdaq lost 0.01%.
Prior to today's trading, shares of the customer-management software developer had gained 4.81% over the past month. This has lagged the Computer and Technology sector's gain of 21.05% and the S&P 500's gain of 21.82% in that time.
Investors will be hoping for strength from CRM as it approaches its next earnings release. The company is expected to report EPS of $0.69, down 25.81% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $4.86 billion, up 29.93% from the year-ago period.
CRM's full-year Zacks Consensus Estimates are calling for earnings of $3.11 per share and revenue of $20.83 billion. These results would represent year-over-year changes of +4.01% and +21.8%, respectively.
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 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. 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. Over the past month, the Zacks Consensus EPS estimate has moved 2.74% lower. CRM is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that CRM has a Forward P/E ratio of 49.62 right now. This represents a premium compared to its industry's average Forward P/E of 28.32.
Also, we should mention that CRM has a PEG ratio of 2.76. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Computer - Software was holding an average PEG ratio of 2.58 at yesterday's closing price.
The Computer - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 48, putting it in the top 19% 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.