EmailSalesforce (CRM 122.04, -1.55, -1.25%) will report third quarter results on
Tuesday, November 27, after the market closes. Co-Chief Executives Marc Benioff
and Keith Block will host a call at 5:00 PM EST.
Salesforce is the leader in customer relationship management
(CRM) cloud software, including sales force automation, customer service and
support, marketing automation, digital commerce, community management,
analytics, application development, Internet of Things (IoT) integration, and
collaborative productivity tools. Salesforce had a near 20% market share in CRM
last year while Oracle (ORCL) and SAP (SAP) were both in the 7% range.
The company hasn't missed on the top line since January of
2006. Its subscription business model results in highly visible revenue
streams.
Salesforce has guided for Q3 non-GAAP EPS of $0.49-0.50 (vs.
$0.39 last year) with revenue up 24-25% to $3.355-3.365 bln and unearned
revenue up 20%. The Street expects revenue just above guidance.
The company has guided for Fiscal 2019 (January) non-GAAP
EPS of $2.50-2.52 with revenue up 25% to $13.125-13.175 bln and operating cash
flow (OCF) up 15-16%. Salesforce tends to tweak its revenue forecast higher as
the year progresses.
The CRM leader usually gives its initial outlook for the
following year along with third quarter results as well. The Street expects
fiscal 2020 revenue growth of 20%.
At the company's flagship Dreamforce conference two months
ago, Salesforce announced a slew of new products and initiatives, including
expanded relationships with both Amazon Web Services and Apple. CEO Marc
Benioff said the economy was “still ripping”.
Salesforce stock is down some 23% from its record high, set
two months ago, as software valuations have come under considerable pressure
during the recent market correction. Frothy valuations were most evident in
recent enterprise software IPOs, where a double-digit sales multiple had become
par for the course.
Exuberance among software stocks seemed to take off after
Salesforce paid $6.5 bln in cash for MuleSoft at a mid-teens sales multiple in
March.
than one year.
The Briefing.com RSS (really simple syndication) service is a method by which we offer story headline feeds in XML format to readers of the Briefing.com web site who use RSS aggregators. By using Briefing.com’s RSS service you agree to be bound by these Terms of Use. If you do not agree to the terms and conditions contained in these Terms of Use, we do not consent to provide you with an RSS feed and you should not make use of Briefing.com’s RSS service. The use of the RSS service is also subject to the terms and conditions of the Briefing.com Reader Agreement which governs the use of Briefing.com's entire web site (www.briefing.com) including all information services. These Terms of Use and the Briefing.com Reader Agreement may be changed by Briefing.com at any time without notice.
Use of RSS Feeds:
The Briefing.com RSS service is provided free of charge for
use by individuals, as long as the feeds are used for such individual’s
personal, non-commercial use. Any other uses, including without
limitation the incorporation of advertising into or the placement
of advertising associated with or targeted towards the RSS Content,
are strictly prohibited. You are required to use the RSS feeds
as provided by Briefing.com and you may not edit or modify the
text, content or links supplied by Briefing.com. To acquire
more extensive licensing rights to Briefing.com content please
review this page.
Link to Content Pages:
The RSS service may be used only with those platforms from which
a functional link is made available that, when accessed, takes
the viewer directly to the display of the full article on the
Briefing.com web site. You may not display the RSS content in
a manner that does not permit successful linking to, redirection
to or delivery of the applicable Briefing.com web site page.
You may not insert any intermediate page, “splash” page or any
other content between the RSS link and the applicable Briefing.com
web site page.
Ownership/Attribution:
Briefing.com retains all ownership and other rights in the RSS
content, and any and all Briefing.com logos and trademarks used
in connection with the RSS service. You are required to provide
appropriate attribution to the Briefing.com web site in connection
with your use of the RSS feeds. If you provide this attribution
using a graphic we require you to use the Briefing.com web site
logo that we have incorporated into the Briefing.com RSS feed.
Right to Discontinue Feeds:
Briefing.com reserves the right to discontinue providing any
or all of the RSS feeds at any time and to require you to cease
displaying, distributing or otherwise using any or all of the
RSS feeds for any reason including, without limitation, your
violation of any provision of these Terms of Use or the terms
and conditions of the Briefing.com Reader Agreement. Briefing.com
assumes no liability for any of your activities in connection
with the RSS feeds or for your use of the RSS feeds in connection
with your web site.
