Ithaka Group LLC Reduces Holdings in Salesforce Inc. (NYSE:CRM)

Key Points

• Ithaka Group LLC reduced its stake in Salesforce Inc. by 4.7% during the first quarter, now holding approximately 67,692 shares worth $18.17 million.
• Several institutional investors increased their holdings in Salesforce, with Alecta Tjanstepension Omsesidigt raising its stake by 121.9% to 355,000 shares valued at $95.22 million.
• Salesforce's stock is currently rated a "Moderate Buy" by analysts, with an average target price of $348.16.

Ithaka Group LLC lessened its position in shares of Salesforce Inc. (NYSE:CRM - Free Report) by 4.7% in the 1st quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 67,692 shares of the CRM provider's stock after selling 3,337 shares during the quarter. Salesforce comprises 3.7% of Ithaka Group LLC's holdings, making the stock its 11th biggest position. Ithaka Group LLC's holdings in Salesforce were worth $18,166,000 at the end of the most recent reporting period.

Several other large investors have also recently modified their holdings of CRM. Brighton Jones LLC increased its stake in Salesforce by 13.7% during the 4th quarter. Brighton Jones LLC now owns 25,668 shares of the CRM provider's stock valued at $8,582,000 after purchasing an additional 3,102 shares in the last quarter. Revolve Wealth Partners LLC boosted its holdings in shares of Salesforce by 12.6% in the 4th quarter. Revolve Wealth Partners LLC now owns 1,827 shares of the CRM provider's stock valued at $611,000 after acquiring an additional 205 shares during the last quarter. Dynamic Technology Lab Private Ltd purchased a new stake in shares of Salesforce in the 4th quarter valued at $512,000. Waterloo Capital L.P. boosted its holdings in shares of Salesforce by 102.4% in the 4th quarter. Waterloo Capital L.P. now owns 3,971 shares of the CRM provider's stock valued at $1,328,000 after acquiring an additional 2,009 shares during the last quarter. Finally, Concentrum Wealth Management purchased a new stake in shares of Salesforce in the 4th quarter valued at $1,004,000. Institutional investors own 80.43% of the company's stock.

Salesforce Stock Performance

NYSE:CRM traded up $1.38 during trading hours on Wednesday, reaching $248.87. 5,827,156 shares of the company's stock were exchanged, compared to its average volume of 5,861,031. The firm has a market capitalization of $237.92 billion, a price-to-earnings ratio of 38.95, a P/E/G ratio of 2.25 and a beta of 1.37. The company has a 50-day moving average of $265.03 and a 200 day moving average of $280.90. The company has a quick ratio of 1.07, a current ratio of 1.07 and a debt-to-equity ratio of 0.14. Salesforce Inc. has a 1-year low of $230.00 and a 1-year high of $369.00.

Salesforce (NYSE:CRM - Get Free Report) last issued its quarterly earnings results on Wednesday, May 28th. The CRM provider reported $2.58 earnings per share for the quarter, topping analysts' consensus estimates of $2.55 by $0.03. The firm had revenue of $9.83 billion during the quarter, compared to analysts' expectations of $9.74 billion. Salesforce had a net margin of 16.08% and a return on equity of 12.94%. Salesforce's quarterly revenue was up 7.6% compared to the same quarter last year. During the same quarter in the prior year, the business earned $2.44 EPS. Research analysts anticipate that Salesforce Inc. will post 7.46 EPS for the current year.

Salesforce Cuts Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, July 10th. Shareholders of record on Wednesday, June 18th were given a dividend of $0.416 per share. The ex-dividend date was Wednesday, June 18th. This represents a $1.66 dividend on an annualized basis and a yield of 0.7%. Salesforce's dividend payout ratio is presently 25.98%.

Insiders Place Their Bets

In other news, CEO Marc Benioff sold 2,250 shares of the stock in a transaction dated Friday, July 11th. The shares were sold at an average price of $259.67, for a total value of $584,257.50. Following the completion of the transaction, the chief executive officer owned 11,955,566 shares in the company, valued at $3,104,501,823.22. This trade represents a 0.02% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Srinivas Tallapragada sold 6,697 shares of the stock in a transaction dated Wednesday, May 14th. The shares were sold at an average price of $295.00, for a total transaction of $1,975,615.00. Following the completion of the transaction, the insider owned 41,422 shares of the company's stock, valued at $12,219,490. This represents a 13.92% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 44,229 shares of company stock valued at $11,898,691. 3.20% of the stock is owned by insiders.

Analysts Set New Price Targets

A number of analysts recently issued reports on the stock. Northland Securities lowered their price target on shares of Salesforce from $423.00 to $396.00 and set an "outperform" rating on the stock in a report on Thursday, May 29th. DA Davidson reaffirmed an "underperform" rating and set a $200.00 price objective on shares of Salesforce in a report on Wednesday, May 28th. Needham & Company LLC reaffirmed a "buy" rating and set a $400.00 price objective on shares of Salesforce in a report on Wednesday, May 28th. Piper Sandler increased their target price on shares of Salesforce from $315.00 to $335.00 and gave the company an "overweight" rating in a research report on Wednesday, May 28th. Finally, Mizuho reduced their target price on shares of Salesforce from $425.00 to $380.00 and set an "outperform" rating for the company in a research report on Thursday, May 15th. Three investment analysts have rated the stock with a sell rating, eight have assigned a hold rating, twenty-seven have assigned a buy rating and four have assigned a strong buy rating to the stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $348.16.

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.