Salesforce (NYSE:CRM) Stock Price Up 1% - Still a Buy?

Key Points

• Salesforce's stock price increased by 1% during trading on Monday, with shares reaching as high as $250.48 before settling at $249.64.
• Recent analyst reports reflected price target cuts for Salesforce, with Canaccord Genuity lowering its target from $350 to $300, while a consensus rating remains as a "Moderate Buy" with an average target price of $332.58.
• The company has announced a quarterly dividend of $0.416, set to be paid on October 9th, representing an annualized yield of 0.7% based on a payout ratio of 24.13%.

Salesforce Inc. (NYSE:CRM - Get Free Report) shares traded up 1% during mid-day trading on Monday . The company traded as high as $250.48 and last traded at $249.64. 7,471,880 shares traded hands during trading, a decline of 2% from the average session volume of 7,611,717 shares. The stock had previously closed at $247.09.

Wall Street Analyst Weigh In

A number of analysts recently issued reports on CRM shares. DA Davidson upgraded shares of Salesforce from an "underperform" rating to a "neutral" rating and set a $225.00 price target for the company in a research note on Friday, August 15th. Royal Bank Of Canada dropped their price target on shares of Salesforce from $275.00 to $250.00 and set a "sector perform" rating for the company in a research note on Thursday, September 4th. Barclays dropped their price target on shares of Salesforce from $347.00 to $316.00 and set an "overweight" rating for the company in a research note on Monday, August 18th. Deutsche Bank Aktiengesellschaft dropped their price target on shares of Salesforce from $400.00 to $340.00 and set a "buy" rating for the company in a research note on Thursday, September 4th. Finally, Bank of America decreased their price objective on shares of Salesforce from $350.00 to $325.00 and set a "buy" rating for the company in a report on Tuesday, August 26th. One research analyst has rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating, ten have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, Salesforce currently has an average rating of "Moderate Buy" and an average price target of $332.58.

Salesforce Trading Down 1.8%

The company has a fifty day simple moving average of $250.58 and a 200-day simple moving average of $262.38. The company has a current ratio of 1.12, a quick ratio of 1.12 and a debt-to-equity ratio of 0.14. The stock has a market cap of $233.53 billion, a price-to-earnings ratio of 35.68, a P/E/G ratio of 2.25 and a beta of 1.22.

Salesforce (NYSE:CRM - Get Free Report) last posted its quarterly earnings data on Wednesday, September 3rd. The CRM provider reported $2.91 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.78 by $0.13. The firm had revenue of $10.24 billion for the quarter, compared to the consensus estimate of $10.14 billion. Salesforce had a return on equity of 13.27% and a net margin of 16.87%.The business's revenue for the quarter was up 9.8% compared to the same quarter last year. During the same quarter in the previous year, the company earned $2.56 EPS. Salesforce has set its FY 2026 guidance at 11.330-11.370 EPS. Q3 2026 guidance at 2.840-2.860 EPS. On average, research analysts forecast that Salesforce Inc. will post 7.46 earnings per share for the current fiscal year.

Salesforce Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, October 9th. Shareholders of record on Wednesday, September 17th will be paid a dividend of $0.416 per share. This represents a $1.66 annualized dividend and a yield of 0.7%. The ex-dividend date of this dividend is Wednesday, September 17th. Salesforce's payout ratio is 24.13%.

Insider Activity

In other Salesforce news, Director David Blair Kirk bought 3,400 shares of the stock in a transaction on Tuesday, September 9th. The shares were bought at an average price of $254.66 per share, with a total value of $865,844.00. Following the purchase, the director directly owned 3,824 shares in the company, valued at $973,819.84. The trade was a 801.89% increase in their position. The acquisition was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, CEO Marc Benioff sold 2,250 shares of the business's stock in a transaction that occurred on Friday, July 25th. The shares were sold at an average price of $269.38, for a total value of $606,105.00. Following the completion of the sale, the chief executive officer directly owned 11,911,571 shares of the company's stock, valued at approximately $3,208,738,995.98. The trade was a 0.02% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 74,250 shares of company stock worth $18,844,155. Company insiders own 3.00% of the company's stock.

Institutional Investors Weigh In On Salesforce

Large investors have recently added to or reduced their stakes in the stock. Brighton Jones LLC raised its stake in shares of Salesforce by 13.7% in the fourth quarter. Brighton Jones LLC now owns 25,668 shares of the CRM provider's stock valued at $8,582,000 after purchasing an additional 3,102 shares in the last quarter. Revolve Wealth Partners LLC grew its position in Salesforce by 12.6% in the fourth quarter. Revolve Wealth Partners LLC now owns 1,827 shares of the CRM provider's stock valued at $611,000 after acquiring an additional 205 shares during the period. Bison Wealth LLC grew its position in Salesforce by 9.0% in the fourth quarter. Bison Wealth LLC now owns 2,234 shares of the CRM provider's stock valued at $747,000 after acquiring an additional 184 shares during the period. Voloridge Investment Management LLC bought a new stake in Salesforce in the fourth quarter valued at $872,000. Finally, United Advisor Group LLC grew its holdings in shares of Salesforce by 11.4% during the fourth quarter. United Advisor Group LLC now owns 1,911 shares of the CRM provider's stock worth $639,000 after purchasing an additional 196 shares during the last quarter. Institutional investors own 80.43% of the company's stock.

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.