Salesforce (NYSE:CRM) Trading Down 0.7% After Insider Selling

Shares of Salesforce, Inc. (NYSE:CRM) fell 0.7% during mid-day trading on Monday following insider selling activity. The company traded as low as $240.23 and last traded at $243.33. 1,473,260 shares traded hands during mid-day trading, a decline of 79% from the average session volume of 6,866,411 shares. The stock had previously closed at $245.06.

Specifically, insider Parker Harris sold 4,200 shares of the company’s stock in a transaction dated Tuesday, April 9th. The stock was sold at an average price of $301.75, for a total value of $1,267,350.00. Following the completion of the transaction, the insider now owns 105,837 shares of the company’s stock, valued at $31,936,314.75. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. In other news, Director G Mason Morfit bought 428,000 shares of the firm’s stock in a transaction that occurred on Monday, June 3rd. The shares were bought at an average cost of $233.17 per share, for a total transaction of $99,796,760.00. Following the completion of the transaction, the director now owns 3,914,309 shares of the company’s stock, valued at $912,699,429.53. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Parker Harris sold 4,200 shares of the business’s stock in a transaction dated Tuesday, April 9th. The stock was sold at an average price of $301.75, for a total value of $1,267,350.00. Following the completion of the sale, the insider now owns 105,837 shares in the company, valued at $31,936,314.75. The disclosure for this sale can be found here. Insiders sold a total of 541,787 shares of company stock valued at $149,773,683 over the last 90 days. Company insiders own 3.20% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of equities research analysts have issued reports on the company. Macquarie decreased their price objective on Salesforce from $330.00 to $275.00 and set an “outperform” rating on the stock in a research report on Friday, May 31st. Mizuho decreased their price objective on Salesforce from $345.00 to $300.00 and set a “buy” rating on the stock in a research report on Thursday, May 30th. Wells Fargo & Company decreased their price objective on Salesforce from $300.00 to $250.00 and set an “equal weight” rating on the stock in a research report on Thursday, May 30th. Wolfe Research reaffirmed an “outperform” rating and set a $365.00 target price on shares of Salesforce in a research note on Tuesday, April 16th. Finally, Canaccord Genuity Group cut their target price on Salesforce from $350.00 to $300.00 and set a “buy” rating on the stock in a research note on Thursday, May 30th. One analyst has rated the stock with a sell rating, nine have given a hold rating, twenty-five have assigned a buy rating and one has issued a strong buy rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $292.79.

Salesforce Stock Performance

The company has a debt-to-equity ratio of 0.14, a current ratio of 1.11 and a quick ratio of 1.11. The stock has a market cap of $235.61 billion, a price-to-earnings ratio of 43.73, a P/E/G ratio of 2.12 and a beta of 1.25. The stock’s 50-day moving average is $261.10 and its 200 day moving average is $276.56.

Salesforce (NYSE:CRM) last posted its quarterly earnings results on Wednesday, May 29th. The CRM provider reported $2.44 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.38 by $0.06. Salesforce had a net margin of 15.30% and a return on equity of 11.57%. The company had revenue of $9.13 billion during the quarter, compared to the consensus estimate of $9.15 billion. During the same period last year, the firm earned $1.15 EPS. The company’s revenue for the quarter was up 10.7% on a year-over-year basis. As a group, analysts predict that Salesforce, Inc. will post 7.47 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. Bear Mountain Capital Inc. acquired a new position in shares of Salesforce in the 4th quarter valued at $26,000. Signature Resources Capital Management LLC acquired a new position in shares of Salesforce during the 4th quarter valued at $26,000. Ruedi Wealth Management Inc. lifted its holdings in shares of Salesforce by 186.7% during the 1st quarter. Ruedi Wealth Management Inc. now owns 86 shares of the CRM provider’s stock valued at $26,000 after acquiring an additional 56 shares in the last quarter. Kathleen S. Wright Associates Inc. acquired a new position in shares of Salesforce during the 4th quarter valued at $31,000. Finally, Pacifica Partners Inc. lifted its holdings in shares of Salesforce by 333.3% during the 4th quarter. Pacifica Partners Inc. now owns 130 shares of the CRM provider’s stock valued at $33,000 after acquiring an additional 100 shares in the last quarter. 80.43% of the stock is owned by hedge funds and other institutional investors.

About Salesforce

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.