Salesforce (NYSE:CRM) Trading Down 5.6% on Insider Selling

Salesforce, Inc. (NYSE:CRM)’s stock price was down 5.6% during trading on Monday after an insider sold shares in the company. The stock traded as low as $277.13 and last traded at $277.82. Approximately 5,571,831 shares were traded during trading, an increase of 1% from the average daily volume of 5,511,680 shares. The stock had previously closed at $294.32.

Specifically, COO Brian Millham sold 293,965 shares of the business’s stock in a transaction that occurred on Friday, January 19th. The stock was sold at an average price of $280.00, for a total value of $82,310,200.00. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. In other news, CAO Sundeep G. Reddy sold 216 shares of the business’s stock in a transaction that occurred on Tuesday, January 23rd. The stock was sold at an average price of $278.71, for a total value of $60,201.36. Following the transaction, the chief accounting officer now directly owns 2,869 shares of the company’s stock, valued at approximately $799,618.99. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, COO Brian Millham sold 293,965 shares of the business’s stock in a transaction that occurred on Friday, January 19th. The stock was sold at an average price of $280.00, for a total value of $82,310,200.00. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 897,375 shares of company stock worth $260,206,096. Company insiders own 3.70% of the company’s stock.

Analyst Upgrades and Downgrades

Several research analysts have issued reports on CRM shares. Wedbush upped their price objective on Salesforce from $280.00 to $325.00 and gave the stock a “buy” rating in a report on Thursday, February 29th. Citigroup upped their price objective on Salesforce from $265.00 to $325.00 and gave the stock a “neutral” rating in a report on Monday, February 26th. UBS Group upped their price objective on Salesforce from $285.00 to $310.00 and gave the stock a “neutral” rating in a report on Friday, February 16th. Canaccord Genuity Group reissued a “buy” rating and issued a $350.00 price target on shares of Salesforce in a research note on Thursday, March 7th. Finally, Argus increased their price target on Salesforce from $290.00 to $354.00 and gave the company a “buy” rating in a research note on Wednesday, March 6th. Nine equities research analysts have rated the stock with a hold rating, twenty-four have assigned a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $307.87.

Salesforce Stock Performance

The stock’s 50 day moving average price is $298.35 and its 200 day moving average price is $260.79. The company has a market capitalization of $269.09 billion, a price-to-earnings ratio of 66.05, a P/E/G ratio of 2.10 and a beta of 1.28. The company has a current ratio of 1.09, a quick ratio of 1.09 and a debt-to-equity ratio of 0.14.

Salesforce (NYSE:CRM) last issued its earnings results on Wednesday, February 28th. The CRM provider reported $1.78 EPS for the quarter, topping the consensus estimate of $1.72 by $0.06. Salesforce had a return on equity of 10.42% and a net margin of 11.87%. The company had revenue of $9.29 billion during the quarter, compared to the consensus estimate of $9.22 billion. During the same period in the previous year, the company posted $1.01 EPS. The firm’s revenue for the quarter was up 10.8% compared to the same quarter last year. Analysts expect that Salesforce, Inc. will post 7.45 earnings per share for the current year.

Salesforce Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, April 11th. Stockholders of record on Thursday, March 14th were given a $0.40 dividend. This represents a $1.60 annualized dividend and a dividend yield of 0.58%. The ex-dividend date of this dividend was Wednesday, March 13th. Salesforce’s payout ratio is 9.52%.

Institutional Trading of Salesforce

Several institutional investors have recently added to or reduced their stakes in CRM. Bear Mountain Capital Inc. acquired a new stake in Salesforce in the 4th quarter worth about $26,000. Signature Resources Capital Management LLC acquired a new position in Salesforce during the 4th quarter worth approximately $26,000. Aspect Partners LLC acquired a new stake in Salesforce in the fourth quarter valued at approximately $29,000. Kathleen S. Wright Associates Inc. acquired a new position in shares of Salesforce during the fourth quarter worth $31,000. Finally, Main Street Group LTD acquired a new stake in shares of Salesforce during the 4th quarter valued at $31,000. 80.43% of the stock is currently owned by institutional investors.

Salesforce Company Profile

Salesforce, Inc provides Customer Relationship Management (CRM) technology that brings companies and customers together worldwide. The company's service includes sales to store data, monitor leads and progress, forecast opportunities, gain insights through analytics and artificial intelligence, and deliver quotes, contracts, and invoices; and service that enables companies to deliver trusted and highly personalized customer support at scale.