Why Salesforce Is Poised to Pull Back
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, customer relations management software specialist salesforce.com has received the dreaded one-star ranking.
With that in mind, let's take a closer look at Salesforce and see what CAPS investors are saying about the stock right now.
Salesforce facts
Headquarters (founded) | San Francisco (1999) |
Market Cap | $22.3 billion |
Industry | Application software |
Trailing-12-Month Revenue | $2.9 billion |
Management | Co-Founder/Chairman/CEO Marc Benioff CFO Graham Smith |
Return on Equity (average, past 3 years) | (2.1%) |
Cash/Debt | $605.6 million / $578.5 million |
Competitors | Microsoft Oracle SAP |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 49% of the 1,848 members who have rated Salesforce believe the stock will underperform the S&P 500 going forward.
Just yesterday, one of those Fools, All-Star buffalonate, succinctly summed up the Salesforce bear case for our community:
This stock is drastically overvalued. Guaranteed to crash at some point in the near future. It is valued at $20 billion and struggles to make a profit most quarters. There is also a lot of insider selling.
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The article Why Salesforce Is Poised to Pull Back originally appeared on Fool.com.
Fool contributor Brian Pacampara has no positions in the stocks mentioned above. The Motley Fool owns shares of Salesforce, Microsoft, and Oracle. Motley Fool newsletter services recommend Salesforce and Microsoft. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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