Salesforce (NYSE:CRM) Stock Price Down 0.7% Following Insider Selling

Salesforce, Inc. (NYSE:CRM) shares were down 0.7% during trading on Monday after an insider sold shares in the company. The stock traded as low as $254.54 and last traded at $255.30. Approximately 1,626,063 shares were traded during mid-day trading, a decline of 77% from the average daily volume of 6,943,178 shares. The stock had previously closed at $257.10.

Specifically, Director G Mason Morfit purchased 428,000 shares of the business’s stock in a transaction that occurred on Monday, June 3rd. The stock was bought at an average price of $233.17 per share, with a total value of $99,796,760.00. Following the acquisition, the director now owns 3,914,309 shares in the company, valued at $912,699,429.53. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. In other Salesforce news, COO Brian Millham sold 2,018 shares of Salesforce stock in a transaction on Friday, June 28th. The shares were sold at an average price of $260.00, for a total transaction of $524,680.00. The sale was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, Director G Mason Morfit purchased 428,000 shares of the firm’s stock in a transaction dated Monday, June 3rd. The stock was acquired at an average cost of $233.17 per share, for a total transaction of $99,796,760.00. Following the completion of the purchase, the director now owns 3,914,309 shares of the company’s stock, valued at approximately $912,699,429.53. The disclosure for this purchase can be found here. Insiders sold 494,952 shares of company stock worth $135,205,453 over the last three months. 3.20% of the stock is currently owned by corporate insiders.

Analysts Set New Price Targets

A number of analysts have issued reports on the company. Argus lifted their price target on Salesforce from $290.00 to $354.00 and gave the stock a “buy” rating in a report on Wednesday, March 6th. BMO Capital Markets reduced their target price on shares of Salesforce from $335.00 to $265.00 and set an “outperform” rating on the stock in a research note on Thursday, May 30th. JMP Securities reiterated a “market outperform” rating and issued a $342.00 target price on shares of Salesforce in a report on Monday, April 15th. Robert W. Baird reduced their price target on shares of Salesforce from $355.00 to $295.00 and set an “outperform” rating on the stock in a research report on Thursday, May 30th. Finally, Sanford C. Bernstein increased their price objective on Salesforce from $231.00 to $234.00 and gave the stock an “underperform” rating in a research report on Thursday, May 30th. One equities research analyst has rated the stock with a sell rating, nine have issued a hold rating, twenty-five have given a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $292.79.

Salesforce Price Performance

The stock’s 50 day moving average is $259.43 and its two-hundred day moving average is $276.46. The stock has a market capitalization of $248.47 billion, a PE ratio of 46.13, a price-to-earnings-growth ratio of 2.26 and a beta of 1.29. The company has a debt-to-equity ratio of 0.14, a current ratio of 1.11 and a quick ratio of 1.11.

Salesforce (NYSE:CRM) last announced its quarterly earnings data on Wednesday, May 29th. The CRM provider reported $2.44 EPS for the quarter, beating analysts’ consensus estimates of $2.38 by $0.06. The company had revenue of $9.13 billion for the quarter, compared to the consensus estimate of $9.15 billion. Salesforce had a net margin of 15.30% and a return on equity of 11.57%. The company’s quarterly revenue was up 10.7% compared to the same quarter last year. During the same period in the prior year, the firm posted $1.15 EPS. As a group, sell-side analysts forecast that Salesforce, Inc. will post 7.47 earnings per share for the current fiscal year.

Salesforce Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, July 25th. Stockholders of record on Tuesday, July 9th will be given a dividend of $0.40 per share. The ex-dividend date is Tuesday, July 9th. This represents a $1.60 annualized dividend and a dividend yield of 0.62%. Salesforce’s dividend payout ratio is currently 7.19%.

Institutional Investors Weigh In On Salesforce

Hedge funds and other institutional investors have recently made changes to their positions in the business. Ruedi Wealth Management Inc. lifted its position in shares of Salesforce by 186.7% during the 1st quarter. Ruedi Wealth Management Inc. now owns 86 shares of the CRM provider’s stock worth $26,000 after buying an additional 56 shares during the last quarter. Bear Mountain Capital Inc. acquired a new position in Salesforce in the fourth quarter valued at $26,000. Signature Resources Capital Management LLC purchased a new position in shares of Salesforce during the fourth quarter worth about $26,000. Red Tortoise LLC acquired a new stake in shares of Salesforce during the first quarter worth about $33,000. Finally, Kathleen S. Wright Associates Inc. purchased a new stake in shares of Salesforce in the 4th quarter valued at about $31,000. Institutional investors and hedge funds 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.