Salesforce FY2028 EPS Forecast Boosted by Erste Group Bank

Salesforce Inc. (NYSE:CRM) – Equities research analysts at Erste Group Bank upped their FY2028 earnings per share estimates for Salesforce in a research note issued on Thursday, June 25th. Erste Group Bank analyst S. Lingnau now forecasts that the CRM provider will post earnings per share of $11.11 for the year, up from their previous forecast of $11.07. The consensus estimate for Salesforce’s current full-year earnings is $10.29 per share.

Salesforce (NYSE:CRM) last issued its quarterly earnings results on Wednesday, May 27th. The CRM provider reported $3.88 EPS for the quarter, topping the consensus estimate of $3.13 by $0.75. The firm had revenue of $11.13 billion during 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 firm’s revenue for the quarter was up 13.3% on a year-over-year basis. During the same period in the previous year, the business earned $2.58 earnings per share. Salesforce has set its FY 2027 guidance at 14.060-14.120 EPS and its Q2 2027 guidance at 3.250-3.270 EPS.

Other equities analysts have also issued reports about the stock. DA Davidson lowered their price target on shares of Salesforce from $200.00 to $175.00 and set a “neutral” rating on the stock in a research report on Thursday, May 28th. Monness Crespi & Hardt upgraded shares of Salesforce from a “neutral” rating to a “buy” rating and set a $200.00 price objective for the company in a report on Thursday, June 18th. Daiwa Securities Group decreased their target price on shares of Salesforce from $295.00 to $280.00 and set a “buy” rating on the stock in a research note on Tuesday, June 2nd. Northland Securities lowered their target price on Salesforce from $267.00 to $229.00 and set a “market perform” rating on the stock in a report on Tuesday, March 10th. Finally, Phillip Securities cut Salesforce from a “buy” rating to a “neutral” rating and cut their price target for the company from $253.00 to $166.00 in a report on Monday. One analyst has rated the stock with a Strong Buy rating, twenty-six have given a Buy rating, twelve have issued a Hold rating and four have issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $255.14.

Salesforce Price Performance

Salesforce stock opened at $158.12 on Tuesday. The company has a fifty day simple moving average of $175.09 and a 200-day simple moving average of $200.07. The firm has a market capitalization of $129.50 billion, a price-to-earnings ratio of 18.30, a PEG ratio of 0.99 and a beta of 1.16. The company has a quick ratio of 0.79, a current ratio of 0.79 and a debt-to-equity ratio of 1.15. Salesforce has a 52-week low of $146.32 and a 52-week high of $276.80.

Salesforce Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, July 2nd. Stockholders of record on Thursday, June 11th will be paid a $0.44 dividend. The ex-dividend date of this dividend is Thursday, June 11th. This represents a $1.76 annualized dividend and a dividend yield of 1.1%. Salesforce’s dividend payout ratio is 20.37%.

Salesforce announced that its Board of Directors has authorized a share repurchase plan on Monday, March 16th that authorizes the company to buyback $25.00 billion in shares. This buyback authorization authorizes the CRM provider to repurchase up to 14.1% of its stock through open market purchases. Stock buyback plans are typically an indication that the company’s board of directors believes its shares are undervalued.

Institutional Inflows and Outflows

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

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.