Argus Director Of Research Picks Salesforce For List Of Analyst Ideas

Argus Director of Research, Jim Kelleher, adjusted the Portfolio Selector Focus List and picked up salesforce.com, inc. CRM for the month of July. As the company is a cloud-based SaaS CRM firm, it expanded itself into different segments.

Interestingly, the CRM firm completed Demandware acquisition for about $2.8 billion to strengthen its position in the cloud space. Kelleher said, "Demandware is a third-party enterprise cloud platform that enables digital retailers to deliver unified, personalized experiences to customers across multiple channels and devices. While expensive, the Demandware purchase should catapult Salesforce into the top tier of enterprise e-commerce."

Argus believes Salesforce is placed very well on enterprise cloud, analytics social networking and mobile technologies. Therefore, the company could and is well positioned to take advantage of the secular trend toward SaaS cloud solutions. For that purpose, the CRM firm is also innovating itself quickly and expanded globally apart from ensuring market share in its core markets.

Kelleher also added three more stocks to his list. One among them was Cerner Corporation CERN. According to Argus, shares trade at a premium compared to the rivals. However, the premium was warranted "on solid growth prospects" helped by positive new-order trends apart from a growing backlog.

The second was Chevron Corporation CVX. Kelleher expects the company to gain from the completion of several big projects and that will reduce its CAPEX to lift cash flow in the upcoming quarters.

The third was Lennar Corp LEN. Argus believes the market is in the middle stage of its upcycle only pointing out the buyer-friendly mortgage rates and that new homes sales were are on track.