Market Update: Salesforce.com Inc (NYSE:CRM) – [$$] Salesforce.com Has 25% Upside, Analyst Asserts

[at Barrons.com] – Salesforce’s ability to sustain its revenue growth and deliver more consistent margin expansion makes us more comfortable with current trading multiples (6.5x EV/CY16 revenue). Media reports yesterday about Salesforce being in talks to buy SteelBrick illustrate the value of the company’s growing partner ecosystem. The beauty of Salesforce’s application partner ecosystem is that most partners have built their applications to run natively on the force.com platform, so they integrate with Salesforce’s various clouds natively. Read more on this. salesforce.com, inc. (CRM) , with a current market cap of $51.08B, started trading this morning at $78.30. During today’s session, CRM traded between $76.81 to $78.33 with a trailing 52-week range being $54.95 to $82.90. CRM shares are currently priced at 102.71x this year’s forecasted earnings, which makes them relatively expensive compared to the industry’s 9.64x earnings multiple for the same period. In a review of the consensus earnings estimate this quarter, 41 sell-side analysts are looking at $0.19 per share, which would be $0.05 better than the year-ago quarter and a $0.00 sequential decrease. The full-year EPS estimate is $0.75 which would be a $0.23 improvement than last year’s full-year earnings. The quarterly earnings estimate is based on a consensus revenue forecast of the current quarter of $1.79 Billion. If realized, that would be a 24.31% increase over the year-ago quarter. In terms of ratings, Wedbush upgraded CRM from Neutral to Outperform (Dec 18, 2015). Previously, Pivotal Research Group upgraded CRM from Hold to Buy. Investors should keep in mind is that the average price target is $89.91, which is 14.83% above where the stock opened this morning. See more in (NYSE:CRM) Similar Articles: Market Update: Salesforce.com Inc (NYSE:CRM) – Salesforce Unveils the Next Wave of Salesforce Analytics Cloud–Delivering Actionable Insights Across the Customer Success Platform Stock Update: Salesforce.com Inc (NYSE:CRM) – Salesforce Introduces Salesforce Financial Services Cloud: Transforming the Client-Advisor Relationship Market Update: Salesforce.com Inc (NYSE:CRM) – Salesforce Positioned as a Leader in the 2015 Magic Quadrant for Sales Force Automation