Salesforce.com stock: buy or sell
Jul 29th, 2021
Salesforce.com stock brief
- Salesforce.com closed on Wednesday at $243.96 after scarcely moving a 0.18% breaking a streak of 3 sessions in negative.
- The stock is configuring an uptrend pattern since last March, when it bottomed at $201.51. This rally marked a 21.07% gain
- Salesforce.com, inc. develops enterprise cloud computing solutions with a focus on customer relationship management worldwide.
Should I buy Salesforce.com stock?
All successful traders recommend adhering to a trading strategy and not make decisions based on subjective opinions, rumors or feelings. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best
Is $CRM stock a buy?
In the current situation of Salesforce.com there is just one buy setup eligible:
Uptrend buy setup
Salesforce.com stock continues to trend higher since last March and has marked a gorgeous 21.07% gain. Price marked a local bottom in this uptrend at $234.31 on July 19, and since then it bounced up a 4.12%. Breaking out over $253.50 - it's last top - will be a good entry point if Salesforce.com resumes the uptrend. If you decide to enter this trade, the suggested stop loss is at $228.15
|Buy setup||Buy point||Stop loss||Risk|
|Uptrend buy setup||$253.50||$228.15||10.00%|
Should I sell Salesforce.com stock?
When you are a novel trader and you own a stock with some profit, it's really hard to decide the good moment to sell and get your benefits. Similarly to when we have to buy shares, deciding when is appropiate time to sell is not a fickle decision, and we must follow our own trading strategy. Our trading system selects very simple strategies to guide us on when is a good moment to sell our shares. Be aware that these strategies are not intended for shorting Salesforce.com stock
A guiding principle is that you should not hold a trade that generates higher than expected losses at the time of the buy. The timing to sell shares should always be ruled by the stop-loss (automatic or manual)
Is it time to sell Salesforce.com stock?
In the current situation of Salesforce.com there is not any eligible sell setup, so Salesforce.com stock holders with operations in green can keep their positions
In the last month we couldn't find any rating for Salesforce.com
Salesforce.com stock analysis
Salesforce.com stock started an uptrend last March, and gained an amazing 21.07%. During this uptrend, the price gave some entry points on the breakouts. Latest low was on July 19, when price bounced at $234.31. Like in all uptrends, price needs to rest and currently price is consolidating the gains in a range between $253.50 and $234.31
Supports and resistances
The current resistance levels are:
The current support levels are:
Since the price broke down the lower band on July 19, the price rebounded by 4.12%
Relative strength index
When the stays for so long below 70 and above 30, without any indication of overvaluation and undervaluation, the indicator turns out to be of little use, and we are currently in one of these situations.
Salesforce.com stock price history
Salesforce.com started trading priced at an adjusted price1 of $3.75 on Jun 2004. Since then, CRM stock has risen by 6,405.60%, with an average of 376.80% per year. An investment of thousand dollars on the IPO would have a value of $65,056.00 nowadays.
1: Adjusted price after possible price splits or reverse-splits
Price target for Salesforce.com stock
How much a stock will be priced tomorrow or next week is quite unpredictable. Banks and financial organisations post their analysis forecasting how a stock will performance in the future.
Along with buy or sell recommendations, financial institutions publish their price estimates based on the stock price action and the company fundamental data. Most of these estimates follow the publication of new financial data by the company, and usually. If you are a small investor you should not buy or sell based on these predictions.
We don't have any target price published in the previous 4 weeks for Salesforce.com.
Earnings and financials
Salesforce.com ($CRM) had the quarterly investors call and posted the report last May. Salesforce.com surpassed consensus earnings estimates and posted of $1.21, that is a 37.50% surprise versus the initial estimates of $0.88. On the other hand, reported sales of $6.0 billion were in line with market forecasts.This compares to Earnings of $0.70 per share a year ago, so reported EPS means an increase of 72.86%. Looking at turnover, figures exploded a 22.57% compared to $48.7B same quarter last year.
Salesforce.com ($CRM) is posting Q2 financial report late next August. Analysts predict of $0.91, that is a 24.79% lower than previous quarter.
Disclaimer:The viewpoints expressed in this post are personal and should not be followed as recommendations for you to buy or sell shares. The author of this text does not know the specific situations of the reader, his or her financial statements or his or her own best interests at any given time. All users should speak with their financial advisor before buying or selling any securities Thoughts are published for general educational purposes only
|Wednesday, July 28th, 2021|
|Day range||$243 - $246.08|
|Average true range||$5.98|
|50d mov avg||$239.27|
|100d mov avg||$229.53|
|200d mov avg||$232.51|
|Earnings date||August 23rd, 2021|