BUZZ-PREVIEW: Salesforce seen posting 14% quarterly EPS growth

Reuters
02-27
BUZZ-PREVIEW: Salesforce seen posting 14% quarterly EPS growth

** Shares of Salesforce CRM.N are up 1.3% on Weds ahead of the company's Q4 earnings report expected after the closing bell

** Cloud-based relationship management co is expected to post adj EPS of $2.61, up 13.9% year-on-year, on rev of $10.04 bln, compared with $9.29 bln in the year-ago qtr, according to LSEG

** With exception of Q3 miss reported on Dec 3, CRM has beaten EPS estimates every qtr going back to at least Q1 2019, per LSEG

** On Feb 4, co announced COO Brian Millham would retire; named Robin Washington as President and COO/CFO

** On Dec 3, CRM beat Q3 revenue estimates due to robust client demand; co is betting big on its new AI enabled Agentforce product to reinvigorate growth

** Of the 53 analysts covering CRM, 41 rate stock "buy" or stronger, 10 recommend "hold" and 2 "strong sell" ratings - LSEG

** The 12-mo median price target on the stock is $410, down from $414 a month ago; stock was last at $310.03

** Including the session move, CRM shares are off about >7% YTD vs a >2.5% gain in the Dow .DJI over the same time period

** CRM options imply a 9.1% swing for the shares, in either direction by Friday, per Trade Alert data; the stock has logged an avg move of 7.9% the day after results, over the last eight qtrs

(Reporting by Stephen Culp; Additional reporting by Saqib Ahmed)

((stephen.culp@thomsonreuters.com; 646-223-6076;))

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