Salesforce (NYSE:CRM) Stock Price Up 5.4% Following Dividend Announcement

Salesforce Inc. (NYSE:CRM)’s share price was up 5.4% on Friday after the company announced a dividend. The company traded as high as $261.88 and last traded at $260.78. Approximately 15,653,337 shares changed hands during mid-day trading, an increase of 100% from the average daily volume of 7,822,140 shares. The stock had previously closed at $247.46.

The newly announced dividend which will be paid on Thursday, January 8th. Investors of record on Thursday, December 18th will be issued a $0.416 dividend. The ex-dividend date of this dividend is Thursday, December 18th. This represents a $1.66 dividend on an annualized basis and a yield of 0.6%. Salesforce’s dividend payout ratio is presently 24.13%.

Analysts Set New Price Targets

Several research analysts recently weighed in on CRM shares. Morgan Stanley raised their price target on shares of Salesforce from $404.00 to $405.00 and gave the company an “overweight” rating in a research note on Tuesday, September 2nd. DA Davidson boosted their price target on shares of Salesforce from $225.00 to $235.00 and gave the stock a “neutral” rating in a research report on Friday. Roth Capital reiterated a “buy” rating and issued a $395.00 price objective on shares of Salesforce in a report on Thursday, September 4th. Wells Fargo & Company cut their price target on Salesforce from $275.00 to $265.00 and set an “equal weight” rating for the company in a report on Thursday, September 4th. Finally, Barclays upped their target price on Salesforce from $316.00 to $330.00 and gave the company an “overweight” rating in a report on Thursday. Twenty-nine investment analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $326.54.

Salesforce Stock Up 5.4%

The company has a market cap of $248.26 billion, a PE ratio of 34.82, a PEG ratio of 1.87 and a beta of 1.25. The company has a debt-to-equity ratio of 0.14, a quick ratio of 1.12 and a current ratio of 1.12. The firm has a fifty day simple moving average of $242.92 and a 200 day simple moving average of $253.07.

Salesforce (NYSE:CRM) last posted its earnings results on Wednesday, December 3rd. The CRM provider reported $3.25 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.86 by $0.39. Salesforce had a net margin of 17.91% and a return on equity of 14.35%. The firm had revenue of $10.26 billion during the quarter, compared to the consensus estimate of $10.27 billion. During the same quarter in the prior year, the company earned $2.41 EPS. The company’s revenue was up 9.1% on a year-over-year basis. Salesforce has set its Q4 2026 guidance at 3.020-3.040 EPS. Equities research analysts predict that Salesforce Inc. will post 7.46 EPS for the current year.

Insider Activity

In related news, insider Parker Harris sold 134,662 shares of the business’s stock in a transaction dated Tuesday, December 2nd. The shares were sold at an average price of $234.70, for a total transaction of $31,605,171.40. Following the completion of the sale, the insider owned 139,767 shares of the company’s stock, valued at $32,803,314.90. This represents a 49.07% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Marc Benioff sold 122 shares of the stock in a transaction that occurred on Monday, November 3rd. The stock was sold at an average price of $259.00, for a total value of $31,598.00. Following the sale, the chief executive officer owned 11,911,571 shares in the company, valued at $3,085,096,889. The trade was a 0.00% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 184,284 shares of company stock valued at $43,862,999. 3.00% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Salesforce

A number of institutional investors have recently bought and sold shares of the stock. Saranac Partners Ltd purchased a new stake in Salesforce in the 3rd quarter worth about $40,000. IFP Advisors Inc grew its position in Salesforce by 17.4% during the third quarter. IFP Advisors Inc now owns 22,914 shares of the CRM provider’s stock worth $5,432,000 after buying an additional 3,404 shares in the last quarter. Swiss Life Asset Management Ltd lifted its position in Salesforce by 5.1% in the third quarter. Swiss Life Asset Management Ltd now owns 275,577 shares of the CRM provider’s stock worth $65,312,000 after purchasing an additional 13,445 shares during the period. Goldentree Asset Management LP acquired a new stake in Salesforce during the third quarter worth $39,784,000. Finally, Cantor Fitzgerald L. P. increased its holdings in Salesforce by 349.2% in the 3rd quarter. Cantor Fitzgerald L. P. now owns 24,565 shares of the CRM provider’s stock valued at $5,822,000 after buying an additional 19,096 shares during the period. Hedge funds and other institutional investors own 80.43% of the company’s stock.

About Salesforce

Salesforce, Inc provides Customer Relationship Management (CRM) technology that brings companies and customers together worldwide. The company's service includes sales to store data, monitor leads and progress, forecast opportunities, gain insights through analytics and artificial intelligence, and deliver quotes, contracts, and invoices; and service that enables companies to deliver trusted and highly personalized customer support at scale.