Salesforce (NYSE:CRM) Stock Price Down 1.7% – Here’s What Happened

Salesforce, Inc. (NYSE:CRM)’s share price fell 1.7% on Wednesday . The stock traded as low as $351.82 and last traded at $353.74. 2,303,895 shares were traded during trading, a decline of 62% from the average session volume of 6,043,129 shares. The stock had previously closed at $359.95.

Wall Street Analyst Weigh In

Several research firms recently issued reports on CRM. Erste Group Bank raised shares of Salesforce from a “hold” rating to a “buy” rating in a research report on Tuesday, November 19th. Wedbush reissued an “outperform” rating and issued a $425.00 target price on shares of Salesforce in a report on Wednesday, December 18th. Needham & Company LLC boosted their price target on Salesforce from $375.00 to $400.00 and gave the company a “buy” rating in a research note on Wednesday, January 8th. Northland Securities reiterated an “outperform” rating and issued a $440.00 price target (up from $400.00) on shares of Salesforce in a research report on Wednesday, December 4th. Finally, Guggenheim cut Salesforce from a “neutral” rating to a “sell” rating and set a $247.00 price objective for the company. in a report on Monday, January 6th. One investment analyst has rated the stock with a sell rating, six have issued a hold rating, thirty-one have issued a buy rating and four have issued a strong buy rating to the company. According to MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $377.63.

Salesforce Stock Down 0.5 %

The business’s 50-day moving average is $338.68 and its two-hundred day moving average is $296.75. The firm has a market capitalization of $327.10 billion, a price-to-earnings ratio of 56.22, a P/E/G ratio of 3.20 and a beta of 1.30. The company has a debt-to-equity ratio of 0.14, a quick ratio of 1.11 and a current ratio of 1.11.

Salesforce (NYSE:CRM) last posted its earnings results on Tuesday, December 3rd. The CRM provider reported $2.41 earnings per share for the quarter, missing the consensus estimate of $2.44 by ($0.03). Salesforce had a return on equity of 12.34% and a net margin of 15.96%. The firm had revenue of $9.44 billion during the quarter, compared to analyst estimates of $9.35 billion. During the same quarter last year, the business posted $1.62 earnings per share. The company’s revenue for the quarter was up 8.3% on a year-over-year basis. On average, equities analysts anticipate that Salesforce, Inc. will post 7.48 earnings per share for the current year.

Salesforce Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, January 9th. Stockholders of record on Wednesday, December 18th were given a dividend of $0.40 per share. This represents a $1.60 dividend on an annualized basis and a dividend yield of 0.47%. The ex-dividend date was Wednesday, December 18th. Salesforce’s dividend payout ratio is currently 26.32%.

Insider Activity at Salesforce

In other news, CFO Amy E. Weaver sold 6,221 shares of Salesforce stock in a transaction that occurred on Tuesday, December 24th. The shares were sold at an average price of $343.00, for a total value of $2,133,803.00. Following the sale, the chief financial officer now directly owns 53,861 shares in the company, valued at $18,474,323. This trade represents a 10.35 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CAO Sundeep G. Reddy sold 436 shares of the stock in a transaction on Thursday, January 23rd. The stock was sold at an average price of $332.28, for a total transaction of $144,874.08. Following the transaction, the chief accounting officer now owns 7,057 shares of the company’s stock, valued at $2,344,899.96. The trade was a 5.82 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 1,108,669 shares of company stock worth $383,286,905. 3.20% of the stock is owned by company insiders.

Institutional Investors Weigh In On Salesforce

Several institutional investors and hedge funds have recently added to or reduced their stakes in CRM. Bank of Jackson Hole Trust bought a new stake in Salesforce during the fourth quarter worth about $208,000. Klingman & Associates LLC lifted its stake in Salesforce by 2.8% in the fourth quarter. Klingman & Associates LLC now owns 2,855 shares of the CRM provider’s stock valued at $955,000 after acquiring an additional 77 shares during the last quarter. Prossimo Advisors LLC raised its holdings in shares of Salesforce by 1.0% in the 4th quarter. Prossimo Advisors LLC now owns 3,366 shares of the CRM provider’s stock valued at $1,125,000 after purchasing an additional 32 shares during the period. Callahan Advisors LLC lifted its stake in Salesforce by 1.3% in the 4th quarter. Callahan Advisors LLC now owns 30,366 shares of the CRM provider’s stock valued at $10,152,000 after purchasing an additional 377 shares during the last quarter. Finally, Davidson Investment Advisors grew its holdings in Salesforce by 1.4% during the fourth quarter. Davidson Investment Advisors now owns 83,139 shares of the CRM provider’s stock worth $27,796,000 after purchasing an additional 1,146 shares during the period. 80.43% of the stock is owned by 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.