Salesforce stock: buy or sell?

CRM stock price: $155.95 0.89% At close on May 20th, 2019

Updated on:
May 20th, 2019

4

The cloud CRM company closed today at $155.95 and grew a tiny 0.89%.

Salesforce.com, inc. develops enterprise cloud computing solutions with a focus on customer relationship management. The company offers Sales Cloud to store data, monitor leads and progress, forecast opportunities, gain insights through relationship intelligence, and collaborate around sales on desktop and mobile devices, as well as solutions for partner relationship management.

Should I buy Salesforce stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Following a trading plan helps to make decisions easier, quicker and with less hesitations. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.

None of our preferred buy setups matches with Salesforce.com stock situation right now, hence this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This is not a selling recommendation at all, just it's not the best moment to buy if you follow any of these trading strategies.

Is Salesforce.com stock a buy?

Financial institutions and banks publish stock ratings everyday. At Stocks2.com, we detected 15 ratings published for CRM stock in the last month.

The general sentiment of these ratings is bullish for CRM stock, with 12 positive ratings.
Is CRM a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-4-17JPMorgan Chase & Co.n/aBuy
2019-3-6JMP Securitiesn/aBuy
2019-3-6CitigroupBuyBuy
2019-3-6Canaccord Genuityn/aBuy
2019-3-5Wells Fargo & Con/aOutperform
2019-3-5WedbushOutperformOutperform
2019-3-5SunTrust Banksn/aBuy
2019-3-5Societe Generalen/aBuy
2019-3-5Sanford C. Bernsteinn/aNeutral
2019-3-5Robert W. BairdOutperformOutperform
2019-3-5Raymond JamesStrong-BuyStrong-Buy
2019-3-5Raymond JamesStrong-BuyStrong-Buy
2019-3-5Nomuran/aBuy
2019-3-5MacquarieOutperformOutperform
2019-3-5JPMorgan Chase & Co.n/aBuy

Salesforce stock analysis

Daily outlook

Salesforce.com grew a tiny 0.89% and closed at $155.95.

The cloud CRM company closed today at $155.95 and grew a tiny 0.89%. Since SMA100d and SMA200d crossed up on March, CRM price slid a -3.06%. On April 29th, CRM hit a new all time high, pushing higher than on March tops. Check different trading setups that use ATHs as triggers. Since last January when CRM stock price broke up the SMA200d line, it gained $25.55 (19.59%).

CRM stock chart (daily)

Weekly outlook

Benioff's company closed this week at $155.95 and gained a slightly fine 0.89%. Late April CRM rocketed an astounding 6.01% in just one week.

Not so far away is the last price record Benioff's company marked late April. Since SMA20w and SMA40w crossed up by mid March, CRM price slid a -3.44%. Early January CRM price bounced up over the SMA of 40 weeks that acted as support stopping new slides.

CRM stock chart (weekly)

Salesforce stock price history

Salesforce stock went public on June 23rd, 2004 with a price of $3.751. Since then, CRM stock surged a 4,058.70%, with a yearly average of 289.90%. If you had invested $1,000 in Salesforce stock in 2004, it would worth $40,587.00 today.

1: Adjusted price after possible price splits or reverse-splits.

Salesforce stock historical price chart

CRM stock reached all-time highs on April/29 with a price of $167.56.

Salesforce stock price target is $183.40

Nobody can reliably foresee how stock prices may evolve in the future. However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. You should not follow the analysts' CRM stock price predictions in the hope that they will be met as they may be wrong and not met. For the last month we found 15 price forecasts for CRM stock:
CRM stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-4-17JPMorgan Chase & Co.Set Price Targetn/a$180.00-
2019-3-6JMP SecuritiesReiteratesn/a$178.00-
2019-3-6CitigroupRaises Target$183.00$185.001.1%
2019-3-6Canaccord GenuityRaises Target$165.00$175.006.1%
2019-3-5Wells Fargo & CoReiterates$175.00$185.005.7%
2019-3-5WedbushReiterates$174.00$192.0010.3%
2019-3-5SunTrust BanksRaises Targetn/a$183.00-
2019-3-5Societe GeneraleSet Price Targetn/a$186.00-
2019-3-5Sanford C. BernsteinSet Price Targetn/a$160.00-
2019-3-5Robert W. BairdRaises Target$165.00$175.006.1%
2019-3-5Raymond JamesReiterates$165.00$200.0021.2%
2019-3-5Raymond JamesRaises Target$165.00$200.0021.2%
2019-3-5NomuraSet Price Targetn/a$184.00-
2019-3-5MacquarieRaises Target$174.00$188.008%
2019-3-5JPMorgan Chase & Co.Set Price Targetn/a$180.00-
(in average)$170.80$183.407.0%
The price forecast for Salesforce.com stock is $183.40, moving in a range between $200.00 and $160.00. In average, analysts' outlook on CRM price target is positive, increasing the prediction by a 7.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

The cloud CRM company presented extraordinary results for 2019-Q1 on March. Salesforce.com boosted Earnings per Share (EPS) by 60.90%, beating experts of $0.23. Salesforce.com posted $0.37.
CRM earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a-0.01n/a
2017-Q3-n/a0.02n/a
2017-Q42017-11-210.370.395.4%
2018-Q12018-02-280.110.1536.4%
2018-Q22018-05-290.180.52188.9%
2018-Q32018-08-290.120.35191.7%
2018-Q42018-11-270.150.2673.3%
2019-Q12019-03-040.230.3760.9%
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

In 2019, Salesforce.com annual turnover boosted an outstanding 26.74% to $13,282.00 million dollars from $10,480.00 marked in 2018. When comparing 2019 vs 2018, improving that, profit margin (that is, the net income divided by revenues) soared a 7.14% to 8.36%.

CRM annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2014$4,070 M-$-232.18 M-5.7%-
2014$5,370 M31.94%$-262.69 M-4.9%13.14%
2015$5,374 M0.07%$-262.69 M-4.9%0.00%
2015$6,670 M24.13%$-47.43 M-0.7%-81.94%
2016$6,667 M-0.04%$-47.43 M-0.7%-0.01%
2016$8,390 M25.84%$180 M2.1%-478.76%
2017$8,392 M0.02%$180 M2.1%0.00%
2017$10,480 M24.88%$127 M1.2%-29.03%
2018$10,480 M0.00%$127 M1.2%0.00%
2019$13,282 M26.74%$1,110 M8.4%770.74%

Quarterly financial results

Salesforce.com reported $3,603.00 M in sales for 2019-Q1, a 6.22% up compared to previous quarter. Reported quarter income marked $362.00 million with a profit margin of 10.05%. Profit margin jumped a 6.95% compared to previous quarter when profit margin was 3.10%. When comparing sales to same quarter last year, Salesforce.com sales marked an amazing increase and skyrocketed a 28.45%. Looking back to recent quarterly results, Salesforce.com posted 7 positive quarters in a row.
CRM quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$2,390 M-$-9 M-0.4%-
2017-Q3$2,560 M7.11%$18 M0.7%-292.62%
2017-Q4$2,680 M4.68%$51 M1.9%189.71%
2018-Q1$2,805 M4.67%$-27 M-0.9%-151.61%
2018-Q2$3,006 M7.17%$344 M11.4%-1,397.04%
2018-Q3$3,281 M9.15%$299 M9.1%-13.08%
2018-Q4$3,392 M3.38%$105 M3.1%-64.88%
2019-Q1$3,603 M6.22%$362 M10.0%244.76%

Salesforce.com ownership

When you are planning to invest in a stock, it's always worth to review its ownership structure.

Salesforce.com shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 4.59% of all shares.

Bearish positions for CRM stock account 0.00%, no big difference from last month.

The following table compares ownership indicators for other stocks related to Salesforce.com:

CRMADBEBVSNINTUMSFT
Market cap$120.8 B$136.6 B$6.0 M$63.1 B$966.8 B
Total shares774.8 M488.0 M5.1 M259.1 M7,660.0 M
Float shares735.8 M486.4 M2.3 M249.1 M7,560.0 M
  - Institutional holdings (%)84.8%88.9%5.3%90.0%74.7%
  - Insider holdings (%)4.6%0.3%60.7%4.0%1.4%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

Salesforce summary

Monday, May 20th, 2019
Open$152.47
Close$155.95
Day range$151.70 - $156.06
Previous close$154.57
Session gain0.89%
Average true range$5.01
50d mov avg$159.76
100d mov avg$155.76
200d mov avg$149.43
Daily patternlt01a
Weekly pattern

Salesforce.com performance

Performance as an absolute value is never valid if it's not benchmarked against competitors or related stocks in the industry. For Salesforce.com, the benchmark is made against Adobe, BroadVision, Intuit, Microsoft, Oracle, and Symantec.
Stock3m6m12m
CRMSalesforce.com-3.32%27.80%21.87%
ADBEAdobe7.86%17.15%17.54%
BVSNBroadVision-16.20%-25.63%-44.65%
INTUIntuit-2.71%24.18%24.66%
MSFTMicrosoft14.16%23.44%30.41%
ORCLOracle2.68%11.10%16.03%
SAP17.17%25.67%11.30%
SYMCSymantec-14.30%-13.78%-9.37%

Salesforce.com competitors

One check before trading any stock is to review a list of its competitors, in this case for Salesforce.com. We chose 7 companies as Salesforce.com competitors as they are in the same industry or have similar market objectives.

Latest Salesforce stock news