Northland Capmk Reduces Earnings Estimates for Salesforce

Key Points

• Northland Capital Markets has reduced its FY2027 earnings per share estimates for Salesforce from $10.54 to $9.79, maintaining a "Hold" rating on the stock.
• Salesforce recently reported a quarterly earnings increase, achieving $2.91 EPS, exceeding analysts' expectations by $0.13, along with a revenue of $10.24 billion.
• The company's recent quarterly dividend was set at $0.416 per share, representing an annual yield of 0.7% and a payout ratio of 24.13%.

Salesforce Inc. (NYSE:CRM - Free Report) - Analysts at Northland Capmk decreased their FY2027 earnings per share estimates for Salesforce in a research report issued on Monday, October 13th. Northland Capmk analyst N. Chokshi now expects that the CRM provider will earn $9.79 per share for the year, down from their prior forecast of $10.54. Northland Capmk has a "Hold" rating on the stock. The consensus estimate for Salesforce's current full-year earnings is $7.46 per share.

Salesforce (NYSE:CRM - Get Free Report) last released its quarterly earnings results on Wednesday, September 3rd. The CRM provider reported $2.91 EPS for the quarter, topping analysts' consensus estimates of $2.78 by $0.13. Salesforce had a return on equity of 13.27% and a net margin of 16.87%.The company had revenue of $10.24 billion for the quarter, compared to analysts' expectations of $10.14 billion. During the same period in the prior year, the firm earned $2.56 earnings per share. The firm's revenue was up 9.8% compared to the same quarter last year. Salesforce has set its FY 2026 guidance at 11.330-11.370 EPS. Q3 2026 guidance at 2.840-2.860 EPS.

Several other analysts have also recently issued reports on CRM. BMO Capital Markets reduced their price objective on Salesforce from $335.00 to $280.00 and set an "outperform" rating on the stock in a research note on Thursday, September 4th. UBS Group dropped their target price on Salesforce from $300.00 to $260.00 and set a "neutral" rating on the stock in a report on Monday, August 18th. Weiss Ratings reissued a "hold (c)" rating on shares of Salesforce in a report on Tuesday. Canaccord Genuity Group dropped their target price on Salesforce from $350.00 to $300.00 and set a "buy" rating on the stock in a report on Thursday, September 4th. Finally, DA Davidson raised Salesforce from an "underperform" rating to a "neutral" rating and set a $225.00 target price on the stock in a report on Friday, August 15th. Twenty-five research analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $328.22.

Salesforce Stock Down 1.3%

NYSE:CRM opened at $236.60 on Thursday. The company has a quick ratio of 1.12, a current ratio of 1.12 and a debt-to-equity ratio of 0.14. The stock's fifty day moving average is $244.22 and its two-hundred day moving average is $258.21. Salesforce has a 52 week low of $226.48 and a 52 week high of $369.00. The stock has a market capitalization of $225.24 billion, a price-to-earnings ratio of 34.39, a price-to-earnings-growth ratio of 2.07 and a beta of 1.19.

Salesforce Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, October 9th. Investors of record on Wednesday, September 17th were given a $0.416 dividend. The ex-dividend date was Wednesday, September 17th. This represents a $1.66 dividend on an annualized basis and a yield of 0.7%. Salesforce's dividend payout ratio (DPR) is presently 24.13%.

Insider Buying and Selling

In related news, CEO Marc Benioff sold 2,250 shares of the firm's stock in a transaction dated Monday, October 13th. The shares were sold at an average price of $245.91, for a total value of $553,297.50. Following the completion of the sale, the chief executive officer owned 11,911,571 shares in the company, valued at $2,929,174,424.61. This trade represents a 0.02% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Insiders have sold a total of 78,750 shares of company stock valued at $19,572,233 in the last three months. 3.00% of the stock is owned by company insiders.

Institutional Investors Weigh In On Salesforce

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. VCI Wealth Management LLC lifted its position in shares of Salesforce by 43.2% during the 3rd quarter. VCI Wealth Management LLC now owns 7,390 shares of the CRM provider's stock valued at $1,751,000 after acquiring an additional 2,228 shares during the period. CWM LLC lifted its position in shares of Salesforce by 11.6% during the 3rd quarter. CWM LLC now owns 112,449 shares of the CRM provider's stock valued at $26,650,000 after acquiring an additional 11,710 shares during the period. Busey Bank lifted its position in shares of Salesforce by 5.2% during the 3rd quarter. Busey Bank now owns 1,487 shares of the CRM provider's stock valued at $352,000 after acquiring an additional 73 shares during the period. Canoe Financial LP lifted its position in shares of Salesforce by 16.4% during the 3rd quarter. Canoe Financial LP now owns 244,683 shares of the CRM provider's stock valued at $57,990,000 after acquiring an additional 34,420 shares during the period. Finally, Pacer Advisors Inc. increased its stake in shares of Salesforce by 1.9% during the 3rd quarter. Pacer Advisors Inc. now owns 1,639,299 shares of the CRM provider's stock worth $388,514,000 after purchasing an additional 30,016 shares in the last quarter. 80.43% of the stock is currently owned by institutional investors and hedge funds.

About Salesforce

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.