Cloud-based software company Salesforce exceeded analysts’ expectations on first-quarter earnings.
The company’s adjusted earnings came in at $1.21 a share, well above the 88 cents per share expected by analysts polled by Refinitiv.
Revenue for the quarter climbed +23% year-over-year to $5.96 billion, vs. $5.89 billion as expected by analysts, according to Refinitiv.
Revenue generated by Salesforce’s core Sales Cloud product was up +11% year-over-year.
The Platform and Other segment that includes the MuleSoft and Tableau products, (Salesforce’s top segment for subscription and support revenue) grew +28%.
For the fiscal second-quarter, Salesforce expects 91 cents to 92 cents in adjusted earnings per share, compared to analysts’ forecast of 86 cents. The company projects revenue to be between o $6.22 billion to $6.23 billion, higher than analysts’ estimate of $6.15 billion.
For the full 2022 fiscal year, Salesforce projects adjusted earnings in the range of $3.79 to $3.81 per share – higher than analysts’ expectation of $3.43 . While Salesforce predicts revenue $25.9 billion to $26.0 billion (22% growth), analysts polled by Refinitiv expect $25.76 billion in revenue.
CRM's Aroon Indicator triggered a bullish signal on December 13, 2024. Tickeron's A.I.dvisor detected that the AroonUp green line is above 70 while the AroonDown red line is below 30. When the up indicator moves above 70 and the down indicator remains below 30, it is a sign that the stock could be setting up for a bullish move. Traders may want to buy the stock or look to buy calls options. A.I.dvisor looked at 297 similar instances where the Aroon Indicator showed a similar pattern. In of the 297 cases, the stock moved higher in the days that followed. This puts the odds of a move higher at .
The Stochastic Oscillator demonstrated that the ticker has stayed in the oversold zone for 1 day, which means it's wise to expect a price bounce in the near future.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where CRM advanced for three days, in of 346 cases, the price rose further within the following month. The odds of a continued upward trend are .
The 10-day RSI Indicator for CRM moved out of overbought territory on December 09, 2024. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 43 similar instances where the indicator moved out of overbought territory. In of the 43 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Momentum Indicator moved below the 0 level on December 18, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on CRM as a result. In of 90 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for CRM turned negative on December 13, 2024. 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 of the 45 cases the stock turned lower in the days that followed. This puts the odds of success at .
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 December 04, 2024. 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 Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding 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 Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 87, placing this stock better than average.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued 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 (4.916) is normal, around the industry mean (31.167). P/E Ratio (71.967) is within average values for comparable stocks, (160.989). Projected Growth (PEG Ratio) (1.620) is also within normal values, averaging (2.755). Dividend Yield (0.001) settles around the average of (0.084) among similar stocks. P/S Ratio (8.532) is also within normal values, averaging (58.315).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating slightly better than average sales and a considerably 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 Seasonality Score of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
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 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