Salesforce.com (CRM) Stock Falls Amid Market Uptick: What Investors Need to Know
Salesforce.com (CRM) closed at $184.29 in the latest trading session, marking a -2.86% move from the prior day. This change lagged the S&P 500's daily gain of 0.1%. Elsewhere, the Dow gained 0.07%, while the tech-heavy Nasdaq added 0.14%.
Shares of the customer-management software developer have depreciated by 16.46% over the course of the past month, underperforming the Computer and Technology sector's loss of 4.05%, and the S&P 500's loss of 1.43%.
The investment community will be paying close attention to the earnings performance of Salesforce.com in its upcoming release. The company is slated to reveal its earnings on February 25, 2026. The company is forecasted to report an EPS of $3.03, showcasing a 8.99% upward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $11.17 billion, reflecting a 11.73% rise from the equivalent quarter last year.
CRM's full-year Zacks Consensus Estimates are calling for earnings of $11.76 per share and revenue of $41.5 billion. These results would represent year-over-year changes of +15.29% and +9.5%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for Salesforcecom. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.02% higher. As of now, Salesforce.com holds a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that Salesforce.com has a Forward P/E ratio of 14.61 right now. This represents a discount compared to its industry average Forward P/E of 16.78.
Investors should also note that CRM has a PEG ratio of 0.97 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. By the end of yesterday's trading, the Computer - Software industry had an average PEG ratio of 1.38.
The Computer - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 74, putting it in the top 31% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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