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Sramana Mitra's Sramana Mitra On Strategy

Entrepreneur and Strategy Consultant Sramana Mitra's
technology and entrepreneurship blog, written from the
cultural context of Silicon Valley.

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  • Updated 29 Days Ago

Cloud Stocks: Why is Salesforce Stock Down? | Sramana Mitra

Updated 1 Year Ago

Cloud Stocks: Why Is Salesforce Stock Down? | Sramana Mitra
Salesforce (NYSE: CRM) recently announced its third-quarter results that outpaced market targets. Despite the strong results, the departure of its Co-CEO, Bret Taylor, and a decline in demand sent the stock falling 5%. Salesforce's Financials Salesforce's revenues for the third quarter grew 19% to $7.84 billion, above analyst estimates of $7.81 billion. Adjusted earnings of $1.40 per share was also better than the market's forecast of $1.21 per share. By segment, Subscription and support revenues grew 13.4% to $7.23 billion, Professional services and other revenues grew 24.8% to $604 million. For the fourth quarter, Salesforce forecast revenues of $7.932-$8.032 billion and an EPS of $1.35-$1.37. The market was looking for $8 billion and an EPS of $1.34. Salesforce expects to end the current fiscal year with revenues of $30.9-$31 billion and an EPS of $4.92-$4.94. The market was looking for revenues of $30.99 billion and an EPS of $4.73. Salesforce's Growth Focus Recently
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