What's Going On With Salesforce Shares Thursday?

Author: Dylan Berman | August 29, 2024 01:58pm

Salesforce, Inc. (NYSE:CRM) shares are roughly flat on Thursday after the company reported better-than-expected second quarter financial results and issued guidance above estimates.

The Details: The company reported adjusted EPS of $2.56 beating analysts estimate of $2.36 and sales of $9.33 billion beating analysts estimate of $9.23 billion. The reported sales figure represents an 8% year-over-year increase.

“We continue to deliver disciplined profitable growth and this quarter, operating margins closed at record highs with GAAP operating margin of 19.1%, up 190 basis points year-over-year, and Non-GAAP operating margin of 33.7%, up 210 basis points year-over year,” said Amy Weaver, president and CFO of Salesforce. 

CFO Resignation: Amy Weaver has decided to resign as president and CFO of the company, however, she will continue to serve as CFO until a replacement is hired. Once a new CFO is hired, Amy will serve as an advisor to Salesforce.

Guidance: Salesforce issued guidance for the third quarter and the 2025 fiscal year.

• Third Quarter: The company sees revenue between $9.31 billion and $9.36 billion versus analyst estimates of $9.23 billion. Salesforce expects adjusted EPS between $2.42 and $2.44 versus analysts estimate of $2.36.
• Fiscal Year: Salesforce expects revenue from $37.7 billion to $38 billion versus analyst estimates of $37.84 billion.

Analyst Changes: Following the earnings report, multiple analysts raised their price targets on the stock.

See Also: Nvidia Stock Poised For Major $298B Market Jolt As Q2 Earnings Loom, Says Goldman Sachs: ‘Can You Imagine If NVDA Beats Expectations?’

CRM Price Action: At the time of publication, Salesforce stock is trading 0.38% higher at $259.88, according to data from Benzinga Pro.

Image: Courtesy of Salesforce

Posted In: CRM