Meridian Management Co. Reduces Holdings in Salesforce Inc. (NYSE:CRM)

Key Points

• Meridian Management Co. reduced its stake in Salesforce Inc. by 5.2%, resulting in a total of 19,933 shares valued at approximately $5.35 million, making it the firm's 17th largest holding.
• Recent analyst reports have led to varying price targets for Salesforce, with the average target being $348.16 amidst a consensus rating of "Moderate Buy".
• Insider activity includes CEO Marc Benioff selling 2,250 shares for over $611,000, while insiders have collectively sold 33,479 shares valued at approximately $9.09 million in the last three months.

Meridian Management Co. trimmed its holdings in Salesforce Inc. (NYSE:CRM - Free Report) by 5.2% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 19,933 shares of the CRM provider's stock after selling 1,089 shares during the quarter. Salesforce comprises approximately 1.7% of Meridian Management Co.'s portfolio, making the stock its 17th largest holding. Meridian Management Co.'s holdings in Salesforce were worth $5,349,000 as of its most recent SEC filing.

A number of other institutional investors have also bought and sold shares of CRM. Bernard Wealth Management Corp. acquired a new stake in Salesforce in the 4th quarter valued at approximately $25,000. Accredited Wealth Management LLC acquired a new stake in Salesforce in the 4th quarter valued at approximately $27,000. Wood Tarver Financial Group LLC acquired a new stake in Salesforce in the 4th quarter valued at approximately $35,000. Capital A Wealth Management LLC increased its holdings in Salesforce by 450.0% in the 1st quarter. Capital A Wealth Management LLC now owns 110 shares of the CRM provider's stock valued at $30,000 after purchasing an additional 90 shares during the last quarter. Finally, CBIZ Investment Advisory Services LLC increased its holdings in Salesforce by 314.8% in the 1st quarter. CBIZ Investment Advisory Services LLC now owns 112 shares of the CRM provider's stock valued at $30,000 after purchasing an additional 85 shares during the last quarter. 80.43% of the stock is owned by hedge funds and other institutional investors.

Salesforce Stock Performance

NYSE CRM traded down $5.02 during trading hours on Thursday, hitting $259.79. 3,103,907 shares of the stock were exchanged, compared to its average volume of 7,067,692. The company has a market cap of $248.36 billion, a price-to-earnings ratio of 40.67, a price-to-earnings-growth ratio of 2.43 and a beta of 1.36. Salesforce Inc. has a 12-month low of $230.00 and a 12-month high of $369.00. The stock has a 50-day moving average of $266.97 and a 200 day moving average of $283.11. 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 (NYSE:CRM - Get Free Report) last posted its quarterly earnings results on Wednesday, May 28th. The CRM provider reported $2.58 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.55 by $0.03. Salesforce had a net margin of 16.08% and a return on equity of 12.94%. The firm had revenue of $9.83 billion during the quarter, compared to analysts' expectations of $9.74 billion. During the same period in the prior year, the company posted $2.44 earnings per share. The firm's revenue for the quarter was up 7.6% on a year-over-year basis. As a group, equities research analysts forecast that Salesforce Inc. will post 7.46 earnings per share for the current year.

Salesforce Cuts Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, July 10th. Shareholders of record on Wednesday, June 18th were issued a $0.416 dividend. This represents a $1.66 annualized dividend and a yield of 0.64%. The ex-dividend date was Wednesday, June 18th. Salesforce's dividend payout ratio (DPR) is 25.98%.

Analysts Set New Price Targets

Several research firms have commented on CRM. Cantor Fitzgerald downgraded shares of Salesforce from an "overweight" rating to a "cautious" rating in a research note on Thursday, July 10th. Oppenheimer restated an "outperform" rating and issued a $370.00 price target on shares of Salesforce in a research note on Tuesday, June 10th. BMO Capital Markets dropped their price target on shares of Salesforce from $350.00 to $335.00 and set an "outperform" rating for the company in a research note on Thursday, July 10th. Stephens dropped their price target on shares of Salesforce from $311.00 to $309.00 and set an "equal weight" rating for the company in a research note on Friday, May 30th. Finally, Piper Sandler boosted their price target on shares of Salesforce from $315.00 to $335.00 and gave the stock an "overweight" rating in a research note on Wednesday, May 28th. Three research 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 given a strong buy rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $348.16.

Insiders Place Their Bets

In other Salesforce news, CEO Marc Benioff sold 2,250 shares of the company's stock in a transaction on Monday, July 28th. The stock was sold at an average price of $269.11, for a total value of $605,497.50. Following the sale, the chief executive officer owned 11,911,571 shares of the company's stock, valued at approximately $3,205,522,871.81. This represents a 0.02% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders sold a total of 37,979 shares of company stock valued at $10,303,399 over the last quarter. 3.20% of the stock is currently owned by corporate insiders.

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.