salesforce(US:CRM) ZACKS·2025-10-09 22:46Core Viewpoint - Salesforce.com (CRM) has shown a mixed performance in the stock market, with a recent increase in stock price but a decline over the past month compared to sector averages [1][2]. Financial Performance - Analysts expect Salesforce.com to report earnings of $2.85 per share, reflecting a year-over-year growth of 18.26% [2]. - The anticipated quarterly revenue is $10.26 billion, which represents an increase of 8.68% from the previous year [2]. - Full-year estimates project earnings of $11.35 per share and revenue of $41.21 billion, indicating year-over-year changes of +11.27% and +8.76%, respectively [3]. Analyst Estimates and Revisions - Recent revisions to analyst estimates are crucial as they reflect near-term business trends, with positive revisions indicating confidence in performance and profit potential [3][4]. - The Zacks Consensus EPS estimate has increased by 0.02% over the past month, and Salesforce.com currently holds a Zacks Rank of 3 (Hold) [5]. Valuation Metrics - Salesforce.com has a Forward P/E ratio of 21.19, which is lower than the industry average Forward P/E of 27.31, suggesting a valuation discount [6]. - The company's PEG ratio stands at 1.57, compared to the industry average PEG ratio of 2.09, indicating a more favorable growth valuation [6]. Industry Context - The Computer - Software industry, which includes Salesforce.com, ranks 94 in the Zacks Industry Rank, placing it in the top 39% of over 250 industries [7]. - Strong industry rankings correlate with performance, as the top 50% of rated industries tend to outperform the bottom half by a factor of 2 to 1 [7].