Salesforce (NYSE:CRM) Releases FY 2025 Earnings Guidance

Salesforce (NYSE:CRM) updated its FY 2025 earnings guidance on Tuesday. The company provided earnings per share (EPS) guidance of 9.980-10.030 for the period, compared to the consensus estimate of 10.110. The company issued revenue guidance of $37.8 billion-$38.0 billion, compared to the consensus revenue estimate of $37.9 billion. Salesforce also updated its Q4 guidance to $2.57-2.62 EPS.

Salesforce Stock Performance

Shares of CRM stock traded up $0.42 during trading hours on Tuesday, reaching $331.43. 10,241,484 shares of the company’s stock were exchanged, compared to its average volume of 6,306,356. The company has a market cap of $316.85 billion, a P/E ratio of 57.45, a price-to-earnings-growth ratio of 2.99 and a beta of 1.30. The company’s 50 day moving average is $302.12 and its two-hundred day moving average is $270.49. Salesforce has a 1 year low of $212.00 and a 1 year high of $348.86. The company has a debt-to-equity ratio of 0.15, a current ratio of 1.04 and a quick ratio of 1.04.

Salesforce (NYSE:CRM) last issued its earnings results on Tuesday, December 3rd. The CRM provider reported $2.41 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.44 by ($0.03). The business had revenue of $9.44 billion for the quarter, compared to analysts’ expectations of $9.35 billion. Salesforce had a return on equity of 12.01% and a net margin of 15.44%. The business’s quarterly revenue was up 8.3% on a year-over-year basis. During the same period last year, the company posted $1.62 earnings per share. Equities research analysts anticipate that Salesforce will post 7.54 EPS for the current fiscal year.

Salesforce Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, October 8th. Investors of record on Wednesday, September 18th were paid a $0.40 dividend. This represents a $1.60 annualized dividend and a yield of 0.48%. The ex-dividend date was Wednesday, September 18th. Salesforce’s payout ratio is currently 27.83%.

Analyst Ratings Changes

CRM has been the subject of several research analyst reports. BNP Paribas raised Salesforce to a “strong-buy” rating in a research note on Thursday, August 29th. JMP Securities reissued a “market outperform” rating and set a $450.00 price target on shares of Salesforce in a research report on Tuesday. Northland Securities raised Salesforce from a “market perform” rating to an “outperform” rating and raised their price target for the stock from $270.00 to $400.00 in a research report on Wednesday, October 2nd. Stifel Nicolaus raised their price target on Salesforce from $320.00 to $350.00 and gave the stock a “buy” rating in a research report on Monday, October 28th. Finally, Morgan Stanley raised their price target on Salesforce from $320.00 to $330.00 and gave the stock an “overweight” rating in a research report on Thursday, August 29th. Seven analysts have rated the stock with a hold rating, twenty-nine have assigned a buy rating and four have given a strong buy rating to the stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $345.31.

Insider Activity

In other news, CAO Sundeep G. Reddy sold 413 shares of the company’s stock in a transaction on Wednesday, October 23rd. The shares were sold at an average price of $285.29, for a total value of $117,824.77. Following the transaction, the chief accounting officer now directly owns 7,006 shares of the company’s stock, valued at approximately $1,998,741.74. This represents a 5.57 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, insider Sabastian Niles sold 2,484 shares of the company’s stock in a transaction on Wednesday, September 11th. The stock was sold at an average price of $244.81, for a total transaction of $608,108.04. Following the completion of the transaction, the insider now directly owns 828 shares in the company, valued at $202,702.68. This trade represents a 75.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 140,982 shares of company stock worth $41,591,457. 3.20% of the stock is currently owned by corporate insiders.

Salesforce Company Profile

Salesforce, Inc provides Customer Relationship Management (CRM) technology that brings companies and customers together worldwide. The company's service includes sales to store data, monitor leads and progress, forecast opportunities, gain insights through analytics and artificial intelligence, and deliver quotes, contracts, and invoices; and service that enables companies to deliver trusted and highly personalized customer support at scale.