Harvey Capital Management Inc. Takes Position in Salesforce Inc. $CRM

Key Points

• Harvey Capital Management initiated a Salesforce position of 26,657 shares worth approximately $4.18 million in the second quarter. Institutional investors collectively own 80.43% of Salesforce’s outstanding stock.
• Salesforce reported quarterly adjusted EPS of $5.90, far above the $3.27 consensus estimate, while revenue rose 10.8% year over year to $11.35 billion. Management also raised its fiscal 2027 outlook, citing stronger AI adoption and demand.
• Analyst sentiment remains generally positive, with Salesforce holding a consensus “Moderate Buy” rating and an average price target of $261.15; several firms recently raised their targets.

Harvey Capital Management Inc. bought a new position in Salesforce Inc. (NYSE:CRM - Free Report) during the 2nd quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm bought 26,657 shares of the CRM provider's stock, valued at approximately $4,176,000.

Several other hedge funds also recently made changes to their positions in the company. BlackRock Inc. bought a new stake in Salesforce in the 2nd quarter worth $11,396,844,000. J. Stern & Co. LLP raised its stake in shares of Salesforce by 24,056.7% during the fourth quarter. J. Stern & Co. LLP now owns 47,385,511 shares of the CRM provider's stock valued at $12,552,896,000 after acquiring an additional 47,189,352 shares during the last quarter. Bank of America Corp DE purchased a new stake in shares of Salesforce during the second quarter worth about $1,914,086,000. Norges Bank purchased a new stake in shares of Salesforce during the fourth quarter worth about $3,182,951,000. Finally, Arrowstreet Capital Limited Partnership grew its stake in shares of Salesforce by 130.2% in the first quarter. Arrowstreet Capital Limited Partnership now owns 12,659,217 shares of the CRM provider's stock worth $2,363,096,000 after purchasing an additional 7,160,302 shares during the last quarter. 80.43% of the stock is owned by hedge funds and other institutional investors.

Salesforce Stock Up 22.6%

CRM stock opened at $252.15 on Friday. Salesforce Inc. has a fifty-two week low of $146.32 and a fifty-two week high of $269.11. The company has a market capitalization of $206.51 billion, a price-to-earnings ratio of 22.99, a price-to-earnings-growth ratio of 1.11 and a beta of 1.16. The business's 50 day moving average price is $179.14 and its two-hundred day moving average price is $182.03. The company has a debt-to-equity ratio of 1.15, a quick ratio of 0.79 and a current ratio of 0.79.

Salesforce (NYSE:CRM - Get Free Report) last released its quarterly earnings results on Wednesday, August 26th. The CRM provider reported $5.90 earnings per share for the quarter, beating the consensus estimate of $3.27 by $2.63. The company had revenue of $11.35 billion for the quarter, compared to analyst estimates of $11.33 billion. Salesforce had a return on equity of 23.35% and a net margin of 21.99%.The firm's revenue was up 10.8% on a year-over-year basis. During the same period in the previous year, the company posted $2.91 earnings per share. Salesforce has set its FY 2027 guidance at 16.670-16.710 EPS and its Q3 2027 guidance at 3.420-3.440 EPS. As a group, analysts forecast that Salesforce Inc. will post 10.27 earnings per share for the current fiscal year.

Key Stories Impacting Salesforce

Here are the key news stories impacting Salesforce this week:

• Positive Sentiment: Strong quarterly performance: Salesforce reported adjusted EPS of $5.90, well above the $3.27 consensus, while revenue rose 10.8% year over year to $11.35 billion, slightly exceeding expectations. Profit was also helped by gains on strategic investments, including Salesforce’s stake in Anthropic. Salesforce stock jumps on AI growth and Anthropic investment gain
• Positive Sentiment: Raised outlook: Management lifted fiscal 2027 revenue guidance to $46.1 billion-$46.4 billion and EPS guidance to $16.67-$16.71. Third-quarter EPS guidance of $3.42-$3.44 also topped the $3.16 analyst estimate, signaling confidence in demand and profitability. Salesforce raises annual revenue forecasts on AI product momentum
• Positive Sentiment: AI adoption is gaining traction: Current remaining performance obligations accelerated 14% in constant currency, while Agentforce and Data 360 annual recurring revenue approached $3.9 billion. Reports also highlighted a sixfold increase in AI usage, supporting the view that AI may expand Salesforce’s platform rather than replace it. Jim Cramer says Nvidia and Salesforce earnings upended two bear narratives
• Positive Sentiment: Anthropic partnership expands Salesforce’s AI offering: The “Claudeforce” initiative integrates Anthropic’s Claude with Salesforce workflows, data and governance, including prebuilt sales skills. Investors view the partnership as a potential catalyst for Agentforce adoption and AI monetization. Salesforce and Anthropic announce Claudeforce
• Positive Sentiment: Analyst reaction improved: JPMorgan, Mizuho, BMO, Truist and Monness Crespi raised their price targets, with targets ranging from $260 to $300; Needham maintained a Buy rating with a $400 target. The results were widely described as weakening the “SaaSpocalypse” bear thesis. Salesforce Q2 results squash SaaSpocalypse fears

Analysts Set New Price Targets

A number of brokerages recently issued reports on CRM. Wells Fargo & Company boosted their price target on Salesforce from $205.00 to $230.00 and gave the company an "equal weight" rating in a report on Thursday. Macquarie Infrastructure cut their price objective on Salesforce from $200.00 to $190.00 and set a "neutral" rating on the stock in a research report on Thursday, May 28th. Daiwa Securities Group reduced their target price on Salesforce from $295.00 to $280.00 and set a "buy" rating on the stock in a research note on Tuesday, June 2nd. Wolfe Research downgraded Salesforce from an "outperform" rating to a "hold" rating in a report on Wednesday, July 1st. Finally, Mizuho raised their price target on Salesforce from $250.00 to $265.00 and gave the stock an "outperform" rating in a research note on Thursday. Two research analysts have rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating, sixteen have assigned a Hold rating and three have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, Salesforce currently has a consensus rating of "Moderate Buy" and a consensus target price of $261.15.

Salesforce Company Profile

Salesforce, founded in 1999 and headquartered in San Francisco, is a global provider of cloud-based software focused on customer relationship management (CRM) and enterprise applications. The company popularized the software-as-a-service (SaaS) model for CRM and has built a broad portfolio of products designed to help organizations manage sales, service, marketing, commerce and analytics through a unified, cloud-first platform.

Core offerings include Sales Cloud for sales automation, Service Cloud for customer support, Marketing Cloud for digital marketing and engagement, and Commerce Cloud for e-commerce.

Want to see what other hedge funds are holding CRM? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Salesforce Inc. (NYSE:CRM - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source