Salesforce Earnings Preview

Salesforce (NYSE:CRM) is preparing to release its quarterly earnings on Wednesday, 2025-09-03. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect Salesforce to report an earnings per share (EPS) of $2.52.

The market awaits Salesforce's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Earnings History Snapshot

The company's EPS beat by $0.03 in the last quarter, leading to a 3.3% drop in the share price on the following day.

Here's a look at Salesforce's past performance and the resulting price change:

Quarter Q1 2026 Q4 2025 Q3 2025 Q2 2025
EPS Estimate 2.55 2.61 2.44 2.11
EPS Actual 2.58 2.78 2.41 2.56
Price Change % -3.0% -4.0% 11.0% -1.0%

Stock Performance

Shares of Salesforce were trading at $256.25 as of September 01. Over the last 52-week period, shares are up 1.56%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analyst Insights on Salesforce

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Salesforce.

With 18 analyst ratings, Salesforce has a consensus rating of Outperform. The average one-year price target is $338.67, indicating a potential 32.16% upside.

Comparing Ratings with Competitors

In this comparison, we explore the analyst ratings and average 1-year price targets of Intuit, SAP and AppLovin, three prominent industry players, offering insights into their relative performance expectations and market positioning.

  • Analysts currently favor an Outperform trajectory for Intuit, with an average 1-year price target of $826.73, suggesting a potential 222.63% upside.
  • Analysts currently favor an Outperform trajectory for SAP, with an average 1-year price target of $348.5, suggesting a potential 36.0% upside.
  • Analysts currently favor an Outperform trajectory for AppLovin, with an average 1-year price target of $476.73, suggesting a potential 86.04% upside.

Snapshot: Peer Analysis

The peer analysis summary provides a snapshot of key metrics for Intuit, SAP and AppLovin, illuminating their respective standings within the industry. These metrics offer valuable insights into their market positions and comparative performance.

Company Consensus Revenue Growth Gross Profit Return on Equity
Salesforce Outperform 7.62% $7.56B 2.53%
Intuit Outperform -50.59% $6.56B 1.91%
SAP Outperform 8.90% $6.62B 3.91%
AppLovin Outperform 77.04% $1.10B 94.04%

Key Takeaway:

Salesforce ranks at the top for Revenue Growth among its peers. It is in the middle for Gross Profit. For Return on Equity, Salesforce is at the bottom compared to its peers.

Get to Know Salesforce Better

Salesforce provides enterprise cloud computing solutions. The company offers customer relationship management technology that brings companies and customers together. Its Customer 360 platform helps the group to deliver a single source of truth, connecting customer data across systems, apps, and devices to help companies sell, service, market, and conduct commerce. It also offers Service Cloud for customer support, Marketing Cloud for digital marketing campaigns, Commerce Cloud as an e-commerce engine, the Salesforce Platform, which allows enterprises to build applications, and other solutions, such as MuleSoft for data integration.

Salesforce: Financial Performance Dissected

Market Capitalization: Positioned above industry average, the company's market capitalization underscores its superiority in size, indicative of a strong market presence.

Revenue Growth: Over the 3 months period, Salesforce showcased positive performance, achieving a revenue growth rate of 7.62% as of 30 April, 2025. This reflects a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Information Technology sector.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 15.68%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 2.53%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Salesforce's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 1.53%, the company showcases efficient use of assets and strong financial health.

Debt Management: Salesforce's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.19.

To track all earnings releases for Salesforce visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

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