Salesforce stock: buy or sell?

CRM stock price: $157.09 -1.60% At close on July 16th, 2019

Updated on:
July 16th, 2019

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Salesforce.com closed today at $157.09 and slightly fell a fatal -1.60%.

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. That's why is so important to define your own trading strategy that matches with your character as inversor. 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, therefore 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 doesn't mean CRM will fall in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems.

Is Salesforce.com stock a buy?

Everyday, hundreds of stock ratings are published by financial analysts to indicate a particular stock's attractiveness. At Stocks2.com, we gathered 15 ratings published for CRM stock in the last 30 days.

The general sentiment of these ratings is bullish for CRM stock, with 14 positive ratings.
Is CRM a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-6-6Credit Suisse Groupn/aOutperform
2019-6-5UBS Groupn/aBuy
2019-6-5Royal Bank of Canadan/aBuy
2019-6-5Credit Suisse Groupn/aBuy
2019-6-5Bank of American/aBuy
2019-6-3JPMorgan Chase & Co.n/aBuy
2019-6-17Royal Bank of Canadan/aBuy
2019-6-11UBS Groupn/aBuy
2019-6-11SunTrust BanksPositiveBuy
2019-6-11Sanford C. Bernsteinn/aNeutral
2019-6-11Royal Bank of Canadan/aBuy
2019-6-11Barclaysn/aBuy
2019-5-20Bank of American/aBuy
2019-4-17JPMorgan Chase & Co.n/aBuy
2019-3-6JMP Securitiesn/aBuy

Salesforce stock analysis

Daily outlook

Salesforce.com ended today at $157.09 and slightly fell a fatal -1.60%.

Benioff's company shares slightly fell -1.60% to $157.09 today. Since price and SMA200d lines crossed up on June 27th, CRM climbed $8.05 (5.40%). Since SMA100d and SMA200d crossed up on March, CRM price slid a -2.36%. CRM broke out again over $155.75 after a 2.61% correction started on July/3. On April, CRM hit new all time highs, pushing higher previous ATH of $166.99 recorded on March. New ATHs are usual entry points for many trading setups as there aren't higher resistences.

CRM stock chart (daily)

Weekly outlook

Salesforce.com ended this week at $157.09 and depreciated a disappointing -0.63%. By mid June CRM plunged a frightening -7.51% in just one week. Early June CRM climbed an astounding 6.11% in just one week.

Salesforce.com stock just marked a top under its last top. Athought it's not something to really worring right now, investors should be alerted as this could be a warning for future complications. You should be expectant to Benioff's company price to not slide under , as this would complicate possible price recovery in the short and mid-term. Not so far away is the last price record Salesforce.com marked late April. By mid June CRM price bounced up over the SMA of 40 weeks that acted as support stopping new slides. Since SMA20w and SMA40w crossed up by mid March, CRM price slid a -2.74%.

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 4,089.10%, with a yearly average of 272.60%. If you had invested right after CRM's IPO a $1,000 in Salesforce stock in 2004, it would worth $40,891.00 today.

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

Salesforce stock historical price chart

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

Salesforce stock price target is $184.30

How much a stock will be priced tomorrow or next week is quite unpredictable However, many stock price predictions are published every day by banks, financial institutions and independent analysts. 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 14 price predictions for Benioff's company stock:
CRM stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-6-5UBS GroupSet Price Targetn/a$190.00-
2019-6-5Royal Bank of CanadaSet Price Targetn/a$183.00-
2019-6-5Credit Suisse GroupSet Price Targetn/a$175.00-
2019-6-5Bank of AmericaReiteratesn/a$200.00-
2019-6-3JPMorgan Chase & Co.Set Price Targetn/a$180.00-
2019-6-17Royal Bank of CanadaSet Price Targetn/a$181.00-
2019-6-11UBS GroupSet Price Targetn/a$190.00-
2019-6-11SunTrust BanksRaises Targetn/a$189.00-
2019-6-11Sanford C. BernsteinSet Price Targetn/a$169.00-
2019-6-11Royal Bank of CanadaSet Price Targetn/a$183.00-
2019-6-11BarclaysSet Price Targetn/a$182.00-
2019-5-20Bank of AmericaReiteratesn/a$200.00-
2019-4-17JPMorgan Chase & Co.Set Price Targetn/a$180.00-
2019-3-6JMP SecuritiesReiteratesn/a$178.00-
(in average)$0.00$184.300.0%
The price prediction for Salesforce.com stock is $184.30, moving in a range between $200.00 and $169.00. In average, analysts' outlook on CRM price forecast is stable from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

Salesforce.com presented extraordinary results for 2019-Q1 on March. Salesforce.com skyrocketed Earnings per Share (EPS) by 60.90%, beating experts estimates 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 skyrocketed an outstanding 26.74% to $13,282.00 M dollars from $10,480.00 marked in 2018. Improving that, its income margin (compared to sales) escalated to 8.36%, that is $1,110.00 million.

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 million in sales for 2019-Q1, a 6.22% improvement compared to previous quarter. Reported quarter earnings marked $362.00 M with a profit margin of 10.05%. Profit margin rose 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 a dazzling growth and rocketed a 28.45%. Looking back to recent quarterly results, Salesforce.com posted 7 negative 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 buy shares of a stock, it's always worth to overview 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$121.7 B$150.7 B$7.1 M$72.8 B$1,050.0 B
Total shares774.8 M488.0 M5.1 M259.2 M7,660.0 M
Float shares740.8 M483.9 M2.3 M249.6 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

Tuesday, July 16th, 2019
Open$159.96
Close$157.09
Day range$156.81 - $161.61
Previous close$159.65
Session gain-1.60%
Average true range$2.59
50d mov avg$154.65
100d mov avg$157.53
200d mov avg$150.14
Daily patternlb01c
Weekly pattern lt01a

Salesforce.com performance

To better understand Salesforce.com performance you must becnhmark its gains with other related stocks in same sector or industry. We chose Adobe, BroadVision, Intuit, Microsoft, Oracle, and Symantec as the bechmarking frame for Salesforce.com stock.
Stock3m6m12m
CRMSalesforce.com0.71%3.00%6.96%
ADBEAdobe14.11%24.75%19.89%
BVSNBroadVision19.49%8.46%-32.86%
INTUIntuit9.16%31.80%31.52%
MSFTMicrosoft11.52%28.28%31.09%
ORCLOracle7.94%19.98%22.79%
SAP21.24%29.52%17.66%
SYMCSymantec-6.01%14.37%9.28%

Salesforce.com competitors

We picked a few stocks to conform a list of Salesforce.com competitors to examine if you are interested in investing in CRM:

Latest Salesforce stock news