TD Cowen has recently raised Salesforce Inc (CRM) stock to Buy rating, as announced on January 17, 2025, according to Finviz. Earlier, on January 6, 2025, Guggenheim had reduced the stock from a Neutral to Sell, setting a price target of $247. KeyBanc Capital Markets also raised Overweight rating with a price target of $440. Additionally, Macquarie initiated Neutral rating on December 12, 2024, with a target price of $370. BMO Capital Markets analysts, in their report published on December 4, 2024, also reiterated Outperform rating and set a price target of $385 for Salesforce Inc’s stock. Analyst ratings are significant because they provide insights into stock performance expectations, influencing investor decisions and market sentiment.
Salesforce Inc (CRM) Stock Trading Recap
On Friday, Salesforce Inc (CRM) stock saw a decline, ending the day at $326.54 which represents a decrease of $-3.31 or -1.00% from the prior close of $329.85. The stock opened at $328.03 and touched a low of $322.62 during the day, reaching a high of $328.5. The volume of shares traded was 5.87 million falling short of the average volume of 6.59 million.
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CRM Stock Performance and Moving Averages
In recent trading, Salesforce Inc (CRM) stock price has shown some volatility, fluctuating 0.22% over the last five trades and 1.68% over the past 30 trades. This represents a notable shift from earlier in the year. Over the last six months, the stock has risen by 27.89%, and it has plunged by -4.28% in the previous three months. Currently, CRM is trading at -2.83%, -3.51%, and 13.34% relative to its 20-Day, 50-Day, and 200-Day Simple Moving Averages, respectively.
As of the latest trading close, CRM, a Technology sector stock, is trading -11.51% below its 52-week high but remains 54.03% above its 52-week low. The Average True Range (ATR) (14 days) of 9.61 highlights the stock’s average volatility, providing insight into how much the price typically fluctuates. This measure is crucial for understanding potential price swings and assessing overall market risk.
Salesforce Inc’s Profitability and Valuation Ratios
Salesforce Inc’s profitability metrics reveal financial health. The company currently boasts an operating margin of 19.75% and a profit margin of 15.96%, with a gross margin of 27.89%. The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability.
In terms of valuation, Salesforce Inc’s market capitalization stands at $312.50 billion. Market cap represents the total value of all outstanding shares and is a key indicator of a company’s market value. The stock’s price-to-earnings (P/E) ratio is 53.72, assessing the company’s valuation relative to its earnings. The forward P/E ratio, which uses projected earnings for the next financial year, is 29.1. Additionally, the Price-to-Sales Ratio is 8.4, reflecting the market’s valuation of the company’s sales, while the Price-to-Book Ratio is 5.33, comparing the market value to the company’s book value.
Understanding Insider Trading
Investors often prefer to invest in shares held by company insiders, as management is typically more aligned with the company’s success and shareholder interests. Currently, insiders own just 2.60% of Salesforce Inc (CRM)’s shares, while financial institutions hold 81.53%.
Notable insider trades include Reddy Sundeep G., EVP & Chief Accounting Officer at Salesforce Inc (CRM), who sold 500 shares on Feb 03 ’25, at $335.94 each, totaling $0.17 million. On Feb 03 ’25, Weaver Amy E, President and CFO, sold 6221 shares for $335.94 each, amounting to $2.09 million. Additionally, on Jan 23 ’25, Weaver Amy E sold 897 shares at $332.28 each, generating $0.30 million.
