Salesforce (CRM, $219.66) gets cautious tone from analysts
Following Salesforce full-fiscal year 2021 guidance that fell short of analysts’ expectations, some analysts lowered their price target or seemed cautious on the software company’s shares.
Piper Sandler analyst Brent Bracelin cut his one-year price target to $240 from $242, while maintaining neutral rating. He sees fiscal 2022 as a “year of digestion” with little to no improvement in margins amid Salesforce integration of Slack.
Wedbush Securities' analyst Dan Ives held his $300 price target and outperform rating. But he noted dilution from the Slack deal and "this M&A poker move" impact on Salesforce's margin profile – still Ives thinks “this was the right move at the right time for CRM."
BMO analyst Keith Bachman also lowered his one-year price target to $280 from $285, on expectations that improvements in fiscal 2022 and bookings guidance might turn out to be conservative, given a better demand environment. He maintained his outperform rating.
CRM's Stochastic Oscillator is sitting in oversold zone for 5 days
The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an uptrend is expected.
Current price $164.18 crossed the resistance line at $184.06 and is trading between $184.06 resistance and $150.74 support lines. Throughout the month of 04/13/22 - 05/16/22, the price experienced a -16% Downtrend, while the week of 05/09/22 - 05/16/22 shows a +0.36% Uptrend.
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where CRM's RSI Indicator exited the oversold zone, 14 of 23 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 61%.
Following a +4.46% 3-day Advance, the price is estimated to grow further. Considering data from situations where CRM advanced for three days, in 238 of 344 cases, the price rose further within the following month. The odds of a continued upward trend are 69%.
The Moving Average Convergence Divergence Histogram (MACD) for CRM turned negative on May 06, 2022. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 45 similar instances when the indicator turned negative. In 22 of the 45 cases the stock turned lower in the days that followed. This puts the odds of success at 49%.
The 10-day Moving Average for CRM crossed bearishly below the 50-day moving average on April 11, 2022. This indicates that the trend has shifted lower and could be considered a sell signal. In 7 of 15 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 47%.
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 50 of 62 cases within the following month. The odds of a continued downward trend are 50%.
The Aroon Indicator for CRM entered a downward trend on May 16, 2022. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Tickeron has a positive outlook on this ticker and predicts a further increase by more than 4.00% within the next month with a likelihood of 67%. During the last month, the daily ratio of advancing to declining volumes was 1 to 1.32.
The Tickeron PE Growth Rating for this company is 3 (best 1 - 100 worst), pointing to outstanding 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 49 (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 88, placing this stock slightly better than average.
The Tickeron Price Growth Rating for this company is 64 (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 Valuation Rating of 75 (best 1 - 100 worst) indicates that the company is slightly overvalued 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 (2.854) is normal, around the industry mean (16.471). P/E Ratio (112.360) is within average values for comparable stocks, (154.393). Projected Growth (PEG Ratio) (1.783) is also within normal values, averaging (4.591). Dividend Yield (0.000) settles around the average of (0.027) among similar stocks. P/S Ratio (6.135) is also within normal values, averaging (124.500).
The Tickeron SMR rating for this company is 88 (best 1 - 100 worst), indicating weak sales and an unprofitable 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.
Packaged software comprises multiple software programs bundled together and sold as a group. For example, Microsoft Office includes multiple applications such as Excel, Word, and PowerPoint. In some cases, buying a bundled product is cheaper than purchasing each item individually[s20] . Microsoft Corporation, Oracle Corp. and Adobe are some major American packaged software makers.
The average market capitalization across the Packaged Software Industry is 6.2B. The market cap for tickers in the group ranges from 580 to 2T. MSFT holds the highest valuation in this group at 2T. The lowest valued company is NANN at 580.
The average weekly price growth across all stocks in the Packaged Software Industry was -0.92%. For the same Industry, the average monthly price growth was -15.48%, and the average quarterly price growth was -24.67%. LAAB experienced the highest price growth at 126%, while SGNI experienced the biggest fall at -97.03%.
- 5/5/22 4:57 AM: Salesforce (CRM, $185.48) was a top weekly gainer, with a +6.18% jump
- 4/6/22 8:51 AM: Salesforce (CRM, $210.14) was a top loser this week, declining -5.04%
- 3/18/22 7:14 AM: salesforce.com (CRM, $210.41) was a top weekly gainer, with a +5.13% jump
The average weekly volume growth across all stocks in the Packaged Software Industry was 19.51%. For the same stocks of the Industry, the average monthly volume growth was 113.57% and the average quarterly volume growth was 41.15%
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
Stocks in the group have a Negative Outlook today, backed by the MA200MA50 Indicator. Tickeron has a negative outlook on this group and predicts a further decline by more than 4.00% within the next month with a likelihood of 56%. During the last month, the daily ratio of advancing to declining volumes was 1 to 1.11.
144 stocks in the group of tickers confirmed the negative outlook based on the Aroon indicator with average odds of 76%.
The most notable companies in this group are Microsoft Corp (NASDAQ:MSFT), Adobe (NASDAQ:ADBE), Oracle Corp (NYSE:ORCL), Salesforce (NYSE:CRM), Intuit (NASDAQ:INTU), Uber Technologies (NYSE:UBER), Atlassian Corp (NASDAQ:TEAM), Autodesk (NASDAQ:ADSK), CrowdStrike Holdings (NASDAQ:CRWD), Datadog (NASDAQ:DDOG).
The average market capitalization across the group is 21.9B. The market cap for tickers in the group ranges from 0 to 2T. MSFT holds the highest valuation in this group at 2T. The lowest valued company is WORK at 0.
- 5/14/22 4:23 AM: Microsoft (MSFT, $261.12) saw a $101.8B market cap decrease this week
- 5/6/22 5:04 AM: Microsoft (MSFT, $277.35) saw a $91.8B market cap decrease this week
- 5/3/22 8:18 AM: Microsoft (MSFT, $284.47), market cap jumped by $52.0B
The average weekly price growth across all stocks in the group was 1.64%. For the same group, the average monthly price growth was -17.24%, and the average quarterly price growth was -41.61%. KBNT experienced the highest price growth at 37.12%, while CTK experienced the biggest fall at -32.06%.
- 5/14/22 4:24 AM: SailPoint Technologies Holdings (SAIL, $60.3) was a top loser this week, declining -5.05%
- 5/14/22 4:23 AM: Bumble (BMBL, $25.54) was a top weekly gainer, with a +16.57% jump
- 5/14/22 4:23 AM: Lightspeed Commerce (LSPD, $21.37) was a top weekly gainer, with a +8.7% jump
The average weekly volume growth across all stocks in the group was -55.49%. For the same stocks of the group, the average monthly volume growth was -9.13% and the average quarterly volume growth was -14.54%
- 5/11/22 7:39 AM: The volume for Materialise stock increased for one day, resulting in a record-breaking daily growth of 233% of the 65-Day Volume Moving Average
- 5/11/22 7:39 AM: The volume for GTY Technology Holdings stock increased for a consecutive 5 days, with an average daily gain of 335%
- 5/10/22 5:30 AM: The volume for GTY Technology Holdings stock increased for a consecutive 5 days, with an average daily gain of 375%
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows