Salesforce

Salesforce, Inc. (NYSE:CRM) Q1 2025 Results Conference Call May 29, 2024 5:00 PM ET Company Participants Mike Spencer – EVP, Finance and Strategy, IR Marc Benioff – Chair and CEO Amy Weaver – President and CFO Brian Millham – President and COO Conference Call Participants Keith Weiss – Morgan Stanley Brad Sills – Bank of America Brent Thill – Jefferies Kirk Materne – Evercore ISI Karl Keirstead – UBS Raimo Lenschow – Barclays Kash Rangan – Goldman Sachs Mark Murphy – JPMorgan Operator Welcome to Salesforce’s Fiscal 2025 First Quarter Results Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers’ remarks, there will be a question-and-answer session [Operator Instructions]. I would now like to hand the conference over to your speaker, Mike Spencer, Executive Vice President of Finance and Strategy and Investor Relations. Sir, you may begin. Mike Spencer Thanks, and good […]

Salesforce (CRM) faced challenges but “pulled a comeback story,” with improved margins and growth prospects for fiscal 2025, Wedbush said in a note Tuesday. The company had been facing criticism for lackluster growth and margins for some quarters now, but it has turned around with improving performance. Based on its checks, the brokerage now expects another solid quarter and expects CEO Marc Benioff and the management to overcome the negative sentiment. “Investors will be closely watching [Salesforce] results and commentary from Benioff to further gauge the enterprise demand environment for software and overall appetite for the company’s freshly rolled out AI strategic roadmap with the AI Revolution on the doorstep for the tech world.” Cross-selling was strong this quarter, especially with Mulesoft deals. Despite market challenges, integration of Slack, a cloud-based team communication platform, into the company’s suite shows promise for collaboration deals, Wedbush said. Cost-cutting efforts are slowing down,

Salesforce (CRM) fiscal Q1 results are expected to surpass already low expectations, Oppenheimer said in a note Thursday. The company expects Q1 adjusted earnings per share of $2.37 to $2.39 on revenue of $9.12 billion to $9.17 billion. Salesforce is expected to report Q1 results on Wednesday, and Oppenheimer expects its revenue to be around $9.15 billion, up 11% year-over-year, with a pro forma EPS of $2.37. “Our earnings preview research mosaic points to mixed business trends and negative [foreign exchange] headwinds in [Q1 of 2025] that foretells little changes to estimates and fundamentals,” Oppenheimer said, adding that it expects durable margin improvement and EPS growth, supporting valuation multiples. Expectations are low going into the first quarter, while the company’s pricing strategies, platform business and Data Cloud are expected to remain, strong growth drivers, this year, the note said. Salesforce pulled out of the deal to acquire Informatica (INFA) in

Salesforce Inc (NYSE:CRM) has inked a partnership with NTT DATA Group Corp. (OTC:NTDTY) to streamline its application environment. The company is now preparing to report its fiscal first-quarter results on May 29, amid an exciting earnings season. Salesforce is likely to report results broadly in-line with guidance, as its projections were driven more by “an improvement in the economic backdrop or a recovery in SMB spending” than execution, according to Goldman Sachs. The Salesforce Analyst: Kash Rangan maintained a Buy rating on Salesforce with an unchanged $345 price target. The Salesforce Takeaways: The company is likely to report revenue growth of 11% year-on-year and non-GAAP earnings of $2.29 per share, higher than consensus of $2.24 per share, Rangan said in a Monday note. The first quarter is a “seasonally less-significant” one and is “unlikely to alter the company’s path toward +10% subscription revenue growth in FY25,” the analyst wrote. Salesforce is likely to report 13%

Salesforce’ (CRM) upcoming fiscal Q1 results are unlikely to spur excitement as it is usually a seasonally soft quarter, and with foreign exchange headwinds and weak prints from front-office peers tempering expectations, Morgan Stanley said in a report Friday. But the firm said the near-term caution is being offset by its “increasingly bullish” medium-term outlook for Salesforce amid increasing demand for generative AI capabilities. Morgan Stanley said it expects the currency headwind to modestly increase throughout the rest of the fiscal year, and does not anticipate any near-term topline boost from the company’s generative AI adoption at this stage. “Q1s historically do not support much upward revisions to full year guidance,” it said. However, the firm said Salesforce looks “well positioned to expose GenAI capabilities within their sticky workflow to the large customer base.” “Salesforce’s position as a front office application vendor should position the company in the right place

Salesforce (CRM) likely has fewer catalysts heading into fiscal first-quarter results despite stable demand, though the software maker appears to be in a “solid” position ahead of generative artificial intelligence product adoption in the medium term, Morgan Stanley said Friday. The company is scheduled to release first-quarter results May 29. Morgan Stanley expects earnings of $2.40 a share on revenue of about $9.07 billion. Wall Street is looking for $2.38 and $9.16 billion, respectively, according to the brokerage. Salesforce performed above its large-cap software peers over the past three months, aided by a first-ever dividend, increased repurchases and upward revisions to estimates, Morgan Stanley said in a note. However, its more recent performance has “softened” following a report on a potential Informatica (INFA) takeover, while many of its front-office software peers have logged weaker-than-projected quarterly results amid a softer demand backdrop, the brokerage said. Last month, cloud data management company

Salesforce (CRM) is expected to beat estimates for Q1 as feedback from its partners suggested that deal activity remained healthy, BofA Securities said in a note Wednesday. The firm said it expects Salesforce to report a 1 percentage point upside to its current remaining performance obligation, or cRPO, growth estimate of 12% and “some upside” to its earnings estimate of $2.37 per share for Q1. The company is scheduled to report its Q1 financial results on May 29. The company’s solid pipeline builds confidence in potential growth and supports cRPO growth outlook for Q2, BofA added. “We expect management to flow through Q1 upside to the outlook for [fiscal year] 2025 subscription growth and margin of above 10% [constant currency] and 32.5%,” according to the note. The firm said the company was meeting its partners’ expectations overall with a higher mix indicating better than expected results. Strong performance was noted

CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: According to an unconfirmed WSJ report, talks between CRM and Informatica (INFA 35 NR) about an acquisition have faded as the two sides are unable to agree to terms. We believe pricing was likely the ultimate issue, as INFA’s stock price in recent weeks had surged above the level that CRM was willing to pay. We view the lack of a deal as a positive, as investors embraced CRM’s shift away from dealmaking and instead focused on maximizing FCF/returning cash back to shareholders. We think the recent pressure on shares represents an enhanced buying opportunity, as CRM was down more than 7% on the day of speculation around a deal. The company now trades at a valuation below 25x our CY 25 EPS estimate, towards the low

Salesforce is one of the most mentioned companies in the U.S. across all news items in the past 12 hours, according to Factiva data. Merger talks with data-management software provider Informatica ended after the companies couldn’t agree on terms, The Wall Street Journal reported, according to people familiar with the matter. Meanwhile, Salesforce called for companies to provide disclosures about the environmental impact of AI development and operations. Dow Jones & Co. owns Factiva.

Salesforce’s (CRM) prospective acquisition of Informatica (INFA) may present integration challenges for the customer service software company, RBC Capital Markets said in a report sent Monday. “While we understand the potential strategic rationale and messaging, we are mixed on the deal overall, especially given the size,” the brokerage said. RBC said bringing together Infomatica and Salesforce’s earlier acquisitions such as MuleSoft and Tableau and its Data Cloud business may prove challenging for Salesforce, it said. “We recognize the difficulty of integrating all of these services and question the necessity of Salesforce owning Informatica, versus partnering,” it said. RBC said the reported talks to acquire Informatica, which offers enterprise cloud data management and data integration services, remain unsubstantiated, adding it has no knowledge of any potential deal. The firm maintained its outperform rating on CRM and price target of $350 following the reports. Salesforce shares were more than 5% lower in

By Therese Poletti Investors are wary, based on Salesforce’s spotty history of M&A Wall Street did not react well to reports that Salesforce Inc. might buy Informatica, as investors were reminded of its mixed track record at acquisitions. Shares of Salesforce (CRM) tumbled 7.3% on Monday, and shaved 125 points off the Dow Jones Industrial Average DJIA, following a Wall Street Journal report late Friday that the cloud-software giant is in advanced talks to buy Informatica, a data-management software developer, for an estimated $11 billion. While there were mixed thoughts on Wall Street, it’s worth pointing out that activist investors pounced on Salesforce last year as growth stalled and its market value was cut in half, following years of hit-and-miss acquisitions that were intended to drive revenue growth. Last March, Salesforce disbanded its M&A committee, a move applauded by Elliott Management as one of a few recommendations it had made

RBC Capital analyst Rishi Jaluria reiterates Salesforce (NYSE:CRM) with a Outperform and raises the price target from $325 to $350.