Zacks Research Raises FY2025 Earnings Estimates for Salesforce, Inc.

Zacks Research, a leading financial research firm, has raised its earnings per share (EPS) estimates for Salesforce, Inc. (NYSE: CRM) for the fiscal year 2025. Analyst R. Department now predicts that the CRM provider will post EPS of $7.54, up from the previous forecast of $7.45. The consensus estimate for Salesforce’s current full-year earnings stands at $7.55 per share.

In addition, Zacks Research has also provided estimates for Salesforce’s quarterly earnings for the year 2025 and beyond. These estimates include $1.98 EPS for Q4 2025, $1.92 EPS for Q1 2026, $2.01 EPS for Q2 2026, $2.06 EPS for Q3 2026, $2.23 EPS for Q4 2026, $8.21 EPS for FY2026, $2.27 EPS for Q1 2027, $2.38 EPS for Q2 2027, and $9.80 EPS for FY2027.

Several other analysts have recently commented on Salesforce. Piper Sandler raised their target price from $250.00 to $268.00 and gave the company a “neutral” rating. Wedbush reaffirmed an “outperform” rating with a price objective of $315.00. Needham & Company LLC reiterated a “buy” rating with a price target of $345.00. Citigroup increased their price objective from $260.00 to $290.00 and assigned a “neutral” rating. JMP Securities reaffirmed a “market outperform” rating with a price target of $342.00. Overall, Salesforce currently has an average rating of “Moderate Buy” and a consensus price target of $306.00, according to MarketBeat.

Salesforce stock opened at $266.80 on Monday, with a fifty-day moving average price of $254.14 and a two-hundred-day moving average price of $266.18. The company has a debt-to-equity ratio of 0.15, a current ratio of 1.04, and a quick ratio of 1.04. Salesforce has a 52-week low of $193.68 and a 52-week high of $318.71. With a market capitalization of $258.53 billion, a P/E ratio of 47.99, a P/E/G ratio of 2.26, and a beta of 1.29, Salesforce remains a significant player in the CRM industry.

In its latest quarterly earnings report released on August 28th, Salesforce reported EPS of $2.56, surpassing analysts’ consensus estimates of $2.36 by $0.20. The company achieved a return on equity of 12.01% and a net margin of 15.44%. Salesforce’s revenue for the quarter was $9.33 billion, exceeding the consensus estimate of $9.22 billion. Compared to the same quarter in the previous year, the company’s revenue grew by 8.5%.

Furthermore, Salesforce recently announced a quarterly dividend, with shareholders of record on September 18th receiving a $0.40 dividend. The ex-dividend date for this dividend was also September 18th. The annualized dividend amounts to $1.60, resulting in a yield of 0.60%. Salesforce’s dividend payout ratio currently stands at 28.78%.

In terms of insider trading, Parker Harris, an insider at Salesforce, sold 4,200 shares of the company’s stock on September 17th at an average price of $257.04, totaling $1,079,568.00. Following this transaction, Harris now holds 117,581 shares valued at approximately $30,223,020.24. Additionally, COO Brian Millham sold 2,018 shares of Salesforce stock on June 28th at an average price of $260.00, amounting to a total transaction value of $524,680.00. Over the past three months, insiders have sold a total of 63,891 shares, valued at $16,306,944. This represents 3.20% of the company’s stock.

Salesforce has attracted the attention of several institutional investors, with notable increases in their holdings. Capital International Investors saw a 76.4% boost in its Salesforce holdings, now owning 13,708,615 shares valued at $3,607,493,000. Capital Research Global Investors increased its stake by 26.9%, holding 14,376,536 shares worth $4,329,925,000. Other institutional investors, such as GQG Partners LLC, Swedbank AB, and Coatue Management LLC, have also acquired significant stakes in Salesforce.

As a leading provider of CRM technology, Salesforce enables companies to enhance their customer relationships through data management, lead monitoring, opportunity forecasting, analytics, and artificial intelligence. The company’s services also include personalized customer support at scale.