Salesforce (NYSE:CRM) Trading Down 2.7% on Analyst Downgrade

Salesforce, Inc. (NYSE:CRM) was down 2.7% during trading on Monday after Jefferies Financial Group lowered their price target on the stock from $425.00 to $375.00. Jefferies Financial Group currently has a buy rating on the stock. Salesforce traded as low as $259.19 and last traded at $262.67. Approximately 1,857,690 shares changed hands during mid-day trading, a decline of 72% from the average daily volume of 6,624,547 shares. The stock had previously closed at $269.97.

CRM has been the topic of several other reports. Guggenheim reiterated a “sell” rating and set a $247.00 price target on shares of Salesforce in a research report on Thursday, February 27th. TD Cowen upgraded shares of Salesforce from a “hold” rating to a “buy” rating and raised their target price for the stock from $380.00 to $400.00 in a report on Friday, January 17th. Robert W. Baird dropped their price target on Salesforce from $430.00 to $400.00 and set an “outperform” rating on the stock in a research report on Thursday, February 27th. Needham & Company LLC reaffirmed a “buy” rating and set a $400.00 price objective on shares of Salesforce in a research report on Thursday, February 27th. Finally, Truist Financial reiterated a “buy” rating and set a $400.00 price target (up from $380.00) on shares of Salesforce in a report on Wednesday, December 4th. One analyst has rated the stock with a sell rating, five have issued a hold rating, thirty-one have assigned a buy rating and five have assigned a strong buy rating to the stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $361.42.

Insiders Place Their Bets

In other news, CEO Brian Millham sold 3,937 shares of the stock in a transaction on Monday, March 24th. The stock was sold at an average price of $284.58, for a total transaction of $1,120,391.46. Following the sale, the chief executive officer now owns 5,518 shares in the company, valued at approximately $1,570,312.44. This represents a 41.64 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CAO Sundeep G. Reddy sold 436 shares of Salesforce stock in a transaction dated Thursday, January 23rd. The shares were sold at an average price of $332.28, for a total value of $144,874.08. Following the completion of the transaction, the chief accounting officer now directly owns 7,057 shares of the company’s stock, valued at $2,344,899.96. This represents a 5.82 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 45,660 shares of company stock valued at $14,095,336. 3.20% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Salesforce

Several large investors have recently made changes to their positions in the company. Bernard Wealth Management Corp. acquired a new stake in shares of Salesforce during the fourth quarter worth $25,000. Accredited Wealth Management LLC bought a new stake in shares of Salesforce in the fourth quarter valued at about $27,000. Arlington Trust Co LLC lifted its stake in Salesforce by 85.1% in the 4th quarter. Arlington Trust Co LLC now owns 87 shares of the CRM provider’s stock valued at $29,000 after acquiring an additional 40 shares in the last quarter. Compass Financial Services Inc bought a new position in Salesforce in the fourth quarter valued at approximately $30,000. Finally, Asset Planning Inc bought a new stake in Salesforce during the fourth quarter worth $31,000. Institutional investors and hedge funds own 80.43% of the company’s stock.

Salesforce Stock Down 2.2 %

The company has a current ratio of 1.11, a quick ratio of 1.11 and a debt-to-equity ratio of 0.14. The firm’s 50 day moving average price is $309.39 and its two-hundred day moving average price is $311.57. The company has a market capitalization of $253.62 billion, a price-to-earnings ratio of 43.37, a price-to-earnings-growth ratio of 2.58 and a beta of 1.35.

Salesforce Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, April 24th. Investors of record on Thursday, April 10th will be paid a $0.42 dividend. This represents a $1.68 dividend on an annualized basis and a yield of 0.64%. The ex-dividend date of this dividend is Thursday, April 10th. This is a boost from Salesforce’s previous quarterly dividend of $0.40. Salesforce’s dividend payout ratio is 26.10%.

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.