Salesforce beat the fiscal fourth quarter earnings estimates, but fell shy of expectations on guidance for the next quarter.
At 70 cents per share for the three months ending January, the cloud computing/software company’s adjusted earnings overshot analysts’ expectation of 55 cents per share (based on Refinitiv data). The earnings -per-share was more than double the year-ago quarter’s figure.
Revenue for the quarter increased +26% from the year-ago quarter to touch $3.60 billion, exceeding analysts’ estimate of $3.56 billion (based on Refinitiv data). Subscription and support revenues also climbed +26% year-over-year to $3.38 billion in the quarter.
Despite the better-than-expected results for the latest quarter, what probably led to Salesforce shares slumping during Monday’s extended trading was its forecast of 60 cents to 61 cents earnings-per-share on a revenue range of $3.67 billion to $3.68 for the fiscal first quarter – figures that are lower than the 63 cents earnings per share on $3.70 billion revenue that analysts had anticipated ((based on Refinitiv data).
Nevertheless, the company’s guidance for the full fiscal year 2020 is in line with analysts’ expectations. It projects adjusted earnings of $2.74 to $2.76 per share, while analysts’ expect $2.75 per share for the year. Revenue forecast of $15.95 billion to $16.05 billion is a range covering analysts’ prediction of $15.99 billion.
Salesforce stock was down -3.3% in after-hours trading Monday, following the earnings release. It had already dropped -3.66% during the main trading session that day.
The RSI Oscillator for CRM moved out of oversold territory on February 24, 2026. This could be a sign that the stock is shifting from a downward trend to an upward trend. Traders may want to buy the stock or call options. The A.I.dvisor looked at 32 similar instances when the indicator left oversold territory. In of the 32 cases the stock moved higher. This puts the odds of a move higher at .
The Momentum Indicator moved above the 0 level on February 26, 2026. You may want to consider a long position or call options on CRM as a result. In of 82 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for CRM just turned positive on February 20, 2026. Looking at past instances where CRM's MACD turned positive, the stock continued to rise in of 47 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where CRM advanced for three days, in of 336 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 6 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where CRM declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
CRM broke above its upper Bollinger Band on February 26, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Aroon Indicator for CRM entered a downward trend on March 04, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (3.155) is normal, around the industry mean (10.736). P/E Ratio (25.912) is within average values for comparable stocks, (74.862). Projected Growth (PEG Ratio) (0.954) is also within normal values, averaging (1.944). Dividend Yield (0.008) settles around the average of (0.033) among similar stocks. P/S Ratio (4.653) is also within normal values, averaging (53.889).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. CRM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. CRM’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 96, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a developer of on-demand customer relationship management software technology
Industry PackagedSoftware