Salesforce (NYSE:CRM) Reaches New 12-Month Low – What’s Next?

Salesforce Inc. (NYSE:CRM) shares hit a new 52-week low during trading on Tuesday . The company traded as low as $146.32 and last traded at $150.1690, with a volume of 20468475 shares trading hands. The stock had previously closed at $151.78.

Trending Headlines about Salesforce

Here are the key news stories impacting Salesforce this week:

• Positive Sentiment: Salesforce announced a new partnership with the Visa Cash App Racing Bulls Formula 1 team, which will use Agentforce 360 to improve fan engagement, hospitality, and race-day operations. The deal highlights continued momentum for Salesforce’s AI platform. Article: VCARB Partners with Salesforce to Supercharge Fan Engagement with AI, Deploying Agentforce 360
• Neutral Sentiment: Needham reiterated a Buy rating and a $400 price target, suggesting some Wall Street analysts still see significant upside if Salesforce’s AI strategy gains traction. Article: Needham Maintains Buy Rating on Salesforce (CRM) Stock
• Negative Sentiment: Salesforce extended its slide amid a record losing streak and broad investor concern that AI could pressure software-as-a-service pricing and margins. The stock was also described as hitting a 52-week low, underscoring weak sentiment. Article: Salesforce stock hits 52-week low amid record losing streak and AI fears
• Negative Sentiment: Reports that a breach at Klue exposed Salesforce data through stolen OAuth tokens may add to concerns about data security and platform trust. Article: Klue breach exposed Salesforce CRM data through stolen OAuth tokens
• Negative Sentiment: Commentary around Salesforce’s $3.6 billion acquisition of Fin and a “buy the dip” debate reflects ongoing uncertainty about whether aggressive AI investment will translate into faster growth soon enough to justify the stock’s decline. Article: Salesforce (CRM) Is Spending $3.6 Billion To Grow Agentforce And Reach More Customers

Analyst Upgrades and Downgrades

CRM has been the topic of several research analyst reports. Scotiabank lowered Salesforce from a “sector outperform” rating to a “sector perform” rating in a research note on Thursday. Wolfe Research reissued an “outperform” rating on shares of Salesforce in a report on Monday, June 15th. Wells Fargo & Company dropped their price target on Salesforce from $210.00 to $200.00 and set an “equal weight” rating on the stock in a research note on Thursday, May 28th. BMO Capital Markets reduced their price objective on shares of Salesforce from $225.00 to $215.00 and set an “outperform” rating for the company in a research report on Thursday, May 28th. Finally, Northland Securities decreased their price objective on shares of Salesforce from $267.00 to $229.00 and set a “market perform” rating on the stock in a report on Tuesday, March 10th. One investment analyst has rated the stock with a Strong Buy rating, twenty-six have given a Buy rating, eleven have assigned a Hold rating and four have given a Sell rating to the company’s stock. According to MarketBeat, Salesforce presently has a consensus rating of “Moderate Buy” and a consensus price target of $257.61.

Salesforce Price Performance

The company has a current ratio of 0.79, a quick ratio of 0.79 and a debt-to-equity ratio of 1.15. The company has a 50 day moving average of $177.01 and a 200-day moving average of $203.55. The firm has a market capitalization of $122.99 billion, a P/E ratio of 17.38, a P/E/G ratio of 0.94 and a beta of 1.16.

Salesforce (NYSE:CRM) last posted its quarterly earnings data on Wednesday, May 27th. The CRM provider reported $3.88 earnings per share for the quarter, topping the consensus estimate of $3.13 by $0.75. The firm had revenue of $11.13 billion for the quarter, compared to analysts’ expectations of $11.05 billion. Salesforce had a return on equity of 18.72% and a net margin of 18.73%.The company’s quarterly revenue was up 13.3% compared to the same quarter last year. During the same quarter last year, the business earned $2.58 EPS. Salesforce has set its FY 2027 guidance at 14.060-14.120 EPS and its Q2 2027 guidance at 3.250-3.270 EPS. On average, sell-side analysts predict that Salesforce Inc. will post 10.29 EPS for the current year.

Salesforce Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, July 2nd. Shareholders of record on Thursday, June 11th will be issued a $0.44 dividend. The ex-dividend date of this dividend is Thursday, June 11th. This represents a $1.76 dividend on an annualized basis and a yield of 1.2%. Salesforce’s payout ratio is currently 20.37%.

Salesforce announced that its board has initiated a share buyback plan on Monday, March 16th that allows the company to repurchase $25.00 billion in shares. This repurchase authorization allows the CRM provider to buy up to 14.1% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company’s leadership believes its stock is undervalued.

Institutional Investors Weigh In On Salesforce

A number of large investors have recently added to or reduced their stakes in CRM. Commonwealth Retirement Investments LLC acquired a new position in Salesforce in the fourth quarter valued at about $25,000. Board of the Pension Protection Fund acquired a new stake in shares of Salesforce during the 4th quarter worth approximately $26,000. Key Capital Management INC bought a new position in Salesforce in the fourth quarter valued at approximately $26,000. Gilpin Wealth Management LLC acquired a new position in Salesforce during the fourth quarter valued at approximately $26,000. Finally, Legacy Bridge LLC acquired a new position in Salesforce during the fourth quarter valued at approximately $27,000. Institutional investors and hedge funds own 80.43% of the company’s stock.

About Salesforce

Salesforce, founded in 1999 and headquartered in San Francisco, is a global provider of cloud-based software focused on customer relationship management (CRM) and enterprise applications. The company popularized the software-as-a-service (SaaS) model for CRM and has built a broad portfolio of products designed to help organizations manage sales, service, marketing, commerce and analytics through a unified, cloud-first platform.

Core offerings include Sales Cloud for sales automation, Service Cloud for customer support, Marketing Cloud for digital marketing and engagement, and Commerce Cloud for e-commerce.