Venerable cloud computing pioneer Salesforce.com (CRM) this afternoon reported fiscal Q2 revenue and profit that slightly exceeded analysts’ expectations, but forecast revenue and profit this quarter slightly below consensus, and raised its year outlook, sending its shares sharply lower in late trading.
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Previous year in the second quarter, Salesforce reported earnings of 19 cents a share, beating the Street forecast and sending shares higher.
Inc. (NYSE:CRM) CEO Marc Benioff sold 12,500 shares of the company’s stock in a transaction on Wednesday, August 31st.
Earnings: FactSet reports that 37 analysts, on average, expect Salesforce to report adjusted profit of 22 cents a share, the top end of Salesforce’s guidance of 21 cents to 22 cents a share. Salesforce ended up paying $2.8 billion for Demandware. Whether this will keep shareholders happy is predicated on that strategy being a healthy one to add to Salesforce’s growth, and while these acquisitions only recently happened, it looks like Wall Street may be having some doubts about Salesforce’s future.
On the company’s financial health, salesforce.com reported $0.24 EPS for the quarter, beating the analyst consensus estimate by $ 0.01 according to the earnings call on May 18, 2016. Total revenue rose 25 percent to $2.04 billion.
(NYSE:CRM) registers a 26% Y/Y increase in deferred revenue ($3.82B) and a 29% Y/Y increase in unbilled deferred revenue ($8B). Following the release of the earnings report, the stock was down 5.7% at $74.92 in the after-hours trading session. Savant Capital LLC acquired a new position in Salesforce.com during the second quarter worth about $200,000.
Salesforce.com has 677,500,000 shares in issue which have a share price of 79.42 giving Salesforce.com a market capitalisation of 53.81B Dollars.
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Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Morgan Stanley reissued a buy rating on shares of Salesforce.com in a report on Tuesday, May 31st. The stock has a consensus rating of Buy and an average price target of $92.54.
