Madison Asset Management LLC Purchases New Shares in Salesforce Inc. $CRM

Key Points

• Madison Asset Management opened a new position in Salesforce, buying 46,599 shares valued at about $12.35 million in the fourth quarter.
• Institutional interest in Salesforce remains high, with several large funds boosting or initiating stakes and 80.43% of the stock currently owned by institutional investors.
• Salesforce recently reported earnings that beat expectations and approved a $25 billion share repurchase program, while also increasing its quarterly dividend to $0.44 per share.

Madison Asset Management LLC purchased a new stake in shares of Salesforce Inc. (NYSE:CRM - Free Report) during the 4th quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund purchased 46,599 shares of the CRM provider's stock, valued at approximately $12,345,000.

Several other hedge funds also recently made changes to their positions in CRM. Capital World Investors boosted its holdings in Salesforce by 159.0% in the third quarter. Capital World Investors now owns 17,325,206 shares of the CRM provider's stock worth $4,106,255,000 after acquiring an additional 10,636,161 shares in the last quarter. Hotchkis & Wiley Capital Management LLC bought a new stake in Salesforce in the third quarter worth $484,852,000. Alyeska Investment Group L.P. boosted its stake in Salesforce by 285.4% in the 3rd quarter. Alyeska Investment Group L.P. now owns 2,487,627 shares of the CRM provider's stock worth $589,568,000 after purchasing an additional 1,842,117 shares in the last quarter. Generation Investment Management LLP bought a new position in Salesforce in the 3rd quarter worth about $431,157,000. Finally, Capital International Investors boosted its stake in Salesforce by 9.4% in the 3rd quarter. Capital International Investors now owns 20,051,119 shares of the CRM provider's stock worth $4,753,519,000 after purchasing an additional 1,729,440 shares in the last quarter. 80.43% of the stock is currently owned by institutional investors.

Trending Headlines about Salesforce

Here are the key news stories impacting Salesforce this week:

• Positive Sentiment: Salesforce’s strong free cash flow remains a key support for the stock, with roughly $14.4 billion generated in fiscal 2026 and substantial capital available for shareholder returns and AI initiatives such as Agentforce and Data 360.
• Positive Sentiment: Brokerage sentiment remains constructive overall, with analysts assigning Salesforce an average rating of “Moderate Buy,” which can help offset some near-term weakness.
• Neutral Sentiment: Citigroup cut its price target on Salesforce to $188 from $200 while keeping a neutral rating, signaling tempered expectations rather than a major deterioration in the company’s outlook. Salesforce NYSE: CRM Given New $188.00 Price Target at Citigroup
• Neutral Sentiment: Wells Fargo reiterated its hold rating on Salesforce, reinforcing the view that analysts see the stock as fairly valued after recent gains. Wells Fargo Sticks to Its Hold Rating for Salesforce (CRM)
• Negative Sentiment: Salesforce has been slipping more than the broader market in recent sessions, reflecting investor caution and some profit-taking after the stock’s recent rally. Salesforce (CRM) Dips More Than Broader Market: What You Should Know

Salesforce Stock Down 3.1%

CRM stock opened at $165.96 on Thursday. Salesforce Inc. has a fifty-two week low of $163.52 and a fifty-two week high of $296.05. The business's 50-day moving average is $185.13 and its two-hundred day moving average is $216.56. The company has a debt-to-equity ratio of 0.18, a quick ratio of 0.76 and a current ratio of 0.76. The company has a market cap of $135.79 billion, a price-to-earnings ratio of 21.25, a P/E/G ratio of 1.19 and a beta of 1.14.

Salesforce (NYSE:CRM - Get Free Report) last posted its earnings results on Wednesday, February 25th. The CRM provider reported $3.81 earnings per share for the quarter, beating analysts' consensus estimates of $3.05 by $0.76. Salesforce had a return on equity of 15.38% and a net margin of 17.96%.The company had revenue of $11.20 billion for the quarter, compared to the consensus estimate of $11.18 billion. During the same quarter in the prior year, the company earned $2.78 earnings per share. Salesforce's revenue was up 12.1% on a year-over-year basis. Salesforce has set its FY 2027 guidance at 13.110-13.190 EPS and its Q1 2027 guidance at 3.110-3.130 EPS. As a group, analysts forecast that Salesforce Inc. will post 9.71 earnings per share for the current year.

Salesforce declared that its board has approved a stock repurchase program on Monday, March 16th that authorizes the company to repurchase $25.00 billion in outstanding shares. This repurchase authorization authorizes the CRM provider to buy up to 14.1% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company's leadership believes its shares are undervalued.

Salesforce Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, April 23rd. Shareholders of record on Thursday, April 9th were issued a $0.44 dividend. This is a positive change from Salesforce's previous quarterly dividend of $0.42. This represents a $1.76 dividend on an annualized basis and a yield of 1.1%. The ex-dividend date of this dividend was Thursday, April 9th. Salesforce's dividend payout ratio is currently 22.54%.

Insider Transactions at Salesforce

In other news, Director David Blair Kirk bought 2,570 shares of the stock in a transaction on Wednesday, March 18th. The shares were bought at an average price of $194.62 per share, with a total value of $500,173.40. Following the completion of the acquisition, the director owned 13,689 shares in the company, valued at $2,664,153.18. The trade was a 23.11% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Laura Alber bought 2,571 shares of the stock in a transaction on Thursday, March 19th. The stock was purchased at an average cost of $194.58 per share, for a total transaction of $500,265.18. Following the acquisition, the director owned 9,530 shares of the company's stock, valued at $1,854,347.40. This trade represents a 36.94% increase in their position. The SEC filing for this purchase provides additional information. 3.00% of the stock is currently owned by corporate insiders.

Analyst Upgrades and Downgrades

A number of analysts have weighed in on the stock. Jefferies Financial Group reduced their price objective on shares of Salesforce from $375.00 to $250.00 and set a "buy" rating for the company in a research note on Monday, February 23rd. Roth Mkm reduced their price objective on shares of Salesforce from $395.00 to $325.00 and set a "buy" rating for the company in a research note on Thursday, February 26th. Cantor Fitzgerald restated an "overweight" rating on shares of Salesforce in a research note on Thursday, February 26th. Wells Fargo & Company reduced their price objective on shares of Salesforce from $235.00 to $210.00 and set an "equal weight" rating for the company in a research note on Thursday, February 26th. Finally, Stifel Nicolaus reduced their price objective on shares of Salesforce from $300.00 to $250.00 and set a "buy" rating for the company in a research note on Thursday, February 26th. One analyst has rated the stock with a Strong Buy rating, twenty-six have given a Buy rating, eleven have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of $278.82.

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.

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