Salesforce (NYSE:CRM) Trading 4.2% Higher - Still a Buy?

Salesforce, Inc. (NYSE:CRM - Get Free Report)'s share price shot up 4.2% during mid-day trading on Thursday . The company traded as high as $263.43 and last traded at $261.10. 2,330,697 shares were traded during mid-day trading, a decline of 67% from the average session volume of 7,003,519 shares. The stock had previously closed at $250.48.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on CRM shares. BMO Capital Markets reiterated an "outperform" rating on shares of Salesforce in a research report on Wednesday, March 19th. DA Davidson restated an "underperform" rating and issued a $200.00 target price on shares of Salesforce in a report on Monday, April 21st. Jefferies Financial Group cut their price target on Salesforce from $425.00 to $375.00 and set a "buy" rating for the company in a research note on Monday, March 31st. Guggenheim raised Salesforce from a "sell" rating to a "neutral" rating in a research note on Monday, April 21st. Finally, Stephens started coverage on Salesforce in a research report on Wednesday, March 19th. They set an "equal weight" rating and a $311.00 target price on the stock. One investment analyst has rated the stock with a sell rating, five have given a hold rating, thirty-one have issued a buy rating and five have assigned a strong buy rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $351.37.

Salesforce Stock Performance

The firm has a market capitalization of $255.25 billion, a P/E ratio of 43.69, a PEG ratio of 2.58 and a beta of 1.38. The company has a debt-to-equity ratio of 0.14, a quick ratio of 1.11 and a current ratio of 1.11. The company has a 50-day simple moving average of $273.75 and a two-hundred day simple moving average of $308.54.

Salesforce Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, April 24th. Stockholders of record on Thursday, April 10th were given a dividend of $0.42 per share. This is an increase from Salesforce's previous quarterly dividend of $0.40. The ex-dividend date was Thursday, April 10th. This represents a $1.68 dividend on an annualized basis and a dividend yield of 0.63%. Salesforce's payout ratio is presently 26.10%.

Insider Buying and Selling at Salesforce

In related news, CFO Amy E. Weaver sold 6,221 shares of the firm's stock in a transaction on Monday, February 3rd. The shares were sold at an average price of $335.94, for a total transaction of $2,089,882.74. Following the completion of the transaction, the chief financial officer now directly owns 46,750 shares of the company's stock, valued at approximately $15,705,195. This trade represents a 11.74 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CAO Sundeep G. Reddy sold 500 shares of the business's stock in a transaction on Monday, February 3rd. The stock was sold at an average price of $335.94, for a total transaction of $167,970.00. Following the completion of the sale, the chief accounting officer now owns 6,557 shares in the company, valued at $2,202,758.58. This represents a 7.09 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 52,051 shares of company stock valued at $15,027,714 over the last 90 days. 3.20% of the stock is currently owned by corporate insiders.

Institutional Trading of Salesforce

Several hedge funds have recently modified their holdings of CRM. Rosenberg Matthew Hamilton increased its position in shares of Salesforce by 88.1% in the 1st quarter. Rosenberg Matthew Hamilton now owns 333 shares of the CRM provider's stock valued at $89,000 after acquiring an additional 156 shares during the period. Principal Financial Group Inc. lifted its stake in Salesforce by 26.9% during the 1st quarter. Principal Financial Group Inc. now owns 2,141,049 shares of the CRM provider's stock valued at $574,572,000 after acquiring an additional 453,605 shares during the period. Mutual Advisors LLC lifted its position in Salesforce by 11.2% during the first quarter. Mutual Advisors LLC now owns 11,950 shares of the CRM provider's stock valued at $3,201,000 after purchasing an additional 1,200 shares during the period. Resonant Capital Advisors LLC grew its holdings in Salesforce by 7.1% during the first quarter. Resonant Capital Advisors LLC now owns 8,528 shares of the CRM provider's stock worth $2,289,000 after acquiring an additional 569 shares during the period. Finally, Revisor Wealth Management LLC purchased a new position in Salesforce during the first quarter valued at approximately $6,682,000. 80.43% of the stock is owned by hedge funds and other institutional investors.

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.