Royal Bank Of Canada Cuts Salesforce (NYSE:CRM) Price Target to $250.00

Key Points

• Royal Bank of Canada has lowered its price target for Salesforce (NYSE:CRM) from $275.00 to $250.00, maintaining a "sector perform" rating on the stock.
• Despite the downgrade, Salesforce's average rating remains a "Moderate Buy" with an average target price of $334.29, suggesting analysts remain optimistic about the stock's potential.
• Salesforce reported quarterly earnings, with an EPS of $2.91, surpassing analysts' estimates and indicating a 9.8% year-over-year revenue growth.

Salesforce (NYSE:CRM - Get Free Report) had its target price lowered by investment analysts at Royal Bank Of Canada from $275.00 to $250.00 in a research report issued on Thursday,Benzinga reports. The firm currently has a "sector perform" rating on the CRM provider's stock. Royal Bank Of Canada's price target suggests a potential downside of 0.16% from the company's previous close.

A number of other research firms also recently weighed in on CRM. Northland Securities dropped their target price on Salesforce from $423.00 to $396.00 and set an "outperform" rating for the company in a research report on Thursday, May 29th. UBS Group reduced their price target on Salesforce from $300.00 to $260.00 and set a "neutral" rating on the stock in a research note on Monday, August 18th. Cantor Fitzgerald reiterated an "overweight" rating and issued a $325.00 price target on shares of Salesforce in a research note on Thursday. The Goldman Sachs Group increased their price target on shares of Salesforce from $340.00 to $385.00 and gave the company a "buy" rating in a report on Thursday, May 29th. Finally, DA Davidson raised Salesforce from an "underperform" rating to a "neutral" rating and set a $225.00 price objective on the stock in a research report on Friday, August 15th. One research analyst has rated the stock with a Strong Buy rating, twenty-five have assigned a Buy rating, ten have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average price target of $331.34.

Salesforce Stock Performance

CRM traded up $6.39 during trading hours on Thursday, hitting $250.40. The stock had a trading volume of 13,010,920 shares, compared to its average volume of 9,763,446. The company has a quick ratio of 1.07, a current ratio of 1.07 and a debt-to-equity ratio of 0.14. The stock has a market cap of $239.39 billion, a PE ratio of 36.40, a price-to-earnings-growth ratio of 2.27 and a beta of 1.22. Salesforce has a 1 year low of $226.48 and a 1 year high of $369.00. The company's fifty day simple moving average is $255.64 and its 200 day simple moving average is $266.68.

Salesforce (NYSE:CRM - Get Free Report) last posted its earnings results on Wednesday, September 3rd. The CRM provider reported $2.91 earnings per share for the quarter, beating analysts' consensus estimates of $2.78 by $0.13. Salesforce had a return on equity of 13.34% and a net margin of 16.87%.The business had revenue of $10.24 billion during the quarter, compared to analyst estimates of $10.14 billion. During the same quarter in the previous year, the firm earned $2.56 EPS. The company's quarterly 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. Equities analysts anticipate that Salesforce will post 7.46 earnings per share for the current year.

Insider Activity

In related news, CEO Marc Benioff sold 2,250 shares of the firm's stock in a transaction that occurred on Thursday, September 4th. The stock was sold at an average price of $241.50, for a total transaction of $543,375.00. Following the completion of the sale, the chief executive officer directly owned 11,911,571 shares of the company's stock, valued at approximately $2,876,644,396.50. This trade represents a 0.02% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Over the last three months, insiders sold 66,077 shares of company stock worth $16,885,773. 3.00% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in CRM. Bernard Wealth Management Corp. acquired a new position in Salesforce during the 4th quarter valued at about $25,000. Painted Porch Advisors LLC boosted its stake in shares of Salesforce by 260.0% in the second quarter. Painted Porch Advisors LLC now owns 90 shares of the CRM provider's stock worth $25,000 after buying an additional 65 shares during the last quarter. Evolution Wealth Management Inc. acquired a new position in Salesforce in the 2nd quarter worth about $27,000. Wood Tarver Financial Group LLC acquired a new position in Salesforce in the 4th quarter worth about $35,000. Finally, Capital A Wealth Management LLC raised its holdings in shares of Salesforce by 450.0% during the first quarter. Capital A Wealth Management LLC now owns 110 shares of the CRM provider's stock valued at $30,000 after acquiring an additional 90 shares during the last quarter. 80.43% of the stock is owned by institutional investors.

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.