Salesforce.com (CRM)

[behappyalways]

Salesforce To Fire 10% Of Workers As It Warns About "Economic Downturn"
https://www.zerohedge.com/markets/sales ... c-downturn

[winston]

not vested

Salesforce.com Inc (CRM US) - Blow-out quarter results and better guidance likely changes the narrative

Salesforce.com (Salesforce) is a global leader in customer relationship management (CRM) software, enabling companies to improve their relationships and interactions with their customers.

It has surpassed USD10b in annual revenue in FY18, reaching this milestone faster than any other enterprise software company in history.

It exists in a large total addressable market (TAM) and its growth is powered by the digital transformation of companies of various sizes and industries.

Salesforce possesses a highly scalable model arising from its multi-tenanted technology architecture and is looking to capitalize on growth opportunities overseas.

Salesforce’s suite of products also presents multiple cross-selling and upselling opportunities as it deepens its relationships with its existing customers.

Beginning 4QFY23, the company has embarked on an aggressive transformation, pivoting from focusing on sales growth to earnings growth going forward.

We believe in light of the current macro environment, investors will view the 180-degree turnaround in focus to profitability by the company favourably. Therefore, we turn more positive on Salesforce, and adjust our FV from USD200 to USD240. BUY.

Source: OCBC

[winston]

not vested

Salesforce Inc - Stock Analyst Research
Target Price* 242.00
Recommendation ACCUMULATE

Salesforce Inc - Profit outlook raised

2Q24 revenue was in line with our expectations, while earnings exceeded expectations.

1H24 revenue/PATMI was at 49%/55% of our FY24e forecasts.

In 2Q24, PATMI spiked by 19-fold YoY driven by higher operating leverage.

For FY24e, Salesforce boosted its revenue outlook to US$34.75bn from the prev. US$34.6bn as it benefits from AI-related demand and a recent price hike of 9% across its cloud products.

The company also raised its GAAP EPS outlook to US$3.51 from US$2.68 led by cost containment efforts.

We maintain ACCUMULATE with a raised DCF target price of US$242.00 (prev. US$226.00), with a WACC of 7% and terminal growth of 4%.

We increase our FY24e revenue/PATMI estimates by 1%/30% to reflect benefits from the price hike and lower expenses.

We believe Salesforce is well-positioned to benefit from cloud-based digital transformation trends as companies look to form a more holistic view of their customer data to provide better customer experiences.

Source: Phillips

https://www.poems.com.sg/stock-research/CRM/

[winston]

not vested

Salesforce on Wednesday delivered upbeat guidance and posted better-than-expected fourth-quarter earnings as a step up in enterprise spending bolstered performance, paving the way for the cloud software maker to roll out its first quarterly dividend and upgrade its stock buyback plan.

For the three months ended Jan. 31, Salesforce reported adjusted earnings of US$2.29 per diluted share, up from US$1.68 a year earlier, on revenue of US$9.29 billion, up from US$8.38 billion a year earlier.

That topped Wall Street estimates of US$2.27 on revenue of US$9.22 billion.

Current remaining performance obligation, or cPRO, a bookings metric, jumped 12% to US$27.6 billion at the end of Q4 year-on-year.

Looking ahead, the company guided Q1 adjusted EPS of US$2.37 to US$2.39 on revenue of US$9.12 billion to US$9.17 billion, topping estimates of US$2.20 on revenue of US$9.14 billion.

For the full-year the company sees adjusted EPS of US$9.68 to US$9.76 on revenue of US$37.7 billion to US$38.0 billion.

The company initiated its first ever quarterly dividend of US$0.40 a share, and increased its share buyback plan by US$10 billion.

Source: Phillips