Categories AlphaGraphs, Analysis, Technology
Salesforce stock slumps on weak outlook despite upbeat Q4 earnings
Stock-trend disruptor Salesforce (CRM) posted its fourth-quarter earnings on March 4, Monday, after the closing bell.
Total quarterly revenue jumped 26% to $3.60 billion. Earnings was 46 cents per diluted share, while non-GAAP diluted earnings was $0.70 a share.
While many are of the opinion that the stock is overvalued, the market touted Salesforce to earn 55 cents a share on revenue of about $3.5 billion. This is almost 25% higher top-line than a year ago.
Unearned revenue on the balance sheet as of January 31, 2019 was $8.56 billion, up 22% year-over-year. For the year, revenue grew 26% to $13.28 billion, generating earnings of $1.43 per diluted share.
“This is just the beginning, which is why we’re now targeting $26 to $28 billion in revenue by FY23 – organically doubling our revenue again in the next four years,” said Salesforce co-CEO Keith Block.
LOOKING FORWARD
In the upcoming first-quarter of fiscal 2020, Salesforce sees quarterly revenue grow about 22% to hit $3.67-3.68 billion, generating GAAP EPS of $0.10-0.11 and Non-GAAP EPS of $0.60-0.61.
For the fiscal year 2020, the company touts revenue to jump 20-21% and reach between $15.95 and $16.05 billion. Salesforce expects to earn 66 to 68 cents per share on a GAAP basis, and $2.74-2.76 per adjusted share.
Despite top-line and bottom-line results beating the Street consensus, the stock fell in after-market trade as investors did not take kindly to the tepid outlook.
Earnings Calendar: Browse through our earnings calendar and get all scheduled earnings announcements, analyst/investor conference and much more!
Most Popular
Costco (COST) reports strong growth in Q1 FY26 earnings; revenue up 8%
Costco Wholesale Corporation (NASDAQ: COST) has reported an increase in net income for the first quarter of fiscal 2026. Revenues grew 8.3% year-over-year. The Issaquah, Washington-headquartered warehouse giant’s total revenues
AVGO Earnings: Broadcom reports higher Q4 FY25 revenue, profit; results beat
Semiconductor company Broadcom, Inc. (NASDAQ: AVGO) on Thursday reported an increase in revenue and adjusted earnings for the fourth quarter of fiscal 2025. The numbers also surpassed analysts' expectations. Adjusted
Lamb Weston (LW) is set to report Q2 2026 earnings next week, here’s what to look for
Shares of Lamb Weston Holdings, Inc. (NYSE: LW) rose over 1% on Thursday. The stock has gained 4% over the past three months. The French fry giant is slated to
Comments