On July 25, 2023, Brent Hyder, President and Chief People Officer of Salesforce Inc (CRM, Financial), sold 189 shares of the company. This move is part of a broader trend of insider selling at Salesforce Inc over the past year.
Brent Hyder is a seasoned executive with over 20 years of experience in human resources and operations. He joined Salesforce in 2019 and has been instrumental in driving the company's people strategy, focusing on attracting, developing, and retaining the best talent. Prior to Salesforce, Hyder held various leadership roles at Gap Inc., including Executive Vice President and Chief People Officer.
Salesforce Inc is a leading provider of enterprise software, with a focus on customer relationship management (CRM, Financial). The company's services include sales force automation, customer service and support, marketing automation, digital commerce, community management, analytics, application development, IoT integration, and collaborative productivity tools. Salesforce serves various industries, including healthcare, financial services, life sciences, and retail.
Over the past year, Brent Hyder has sold a total of 58,868 shares and purchased 0 shares. This recent sale of 189 shares is a continuation of this trend. The insider transaction history for Salesforce Inc shows that there have been 0 insider buys and 236 insider sells over the past year.
On the day of Brent Hyder’s recent sale, shares of Salesforce Inc were trading for $225.88 apiece, giving the stock a market cap of $219.71 billion. The price-earnings ratio is 593.63, significantly higher than the industry median of 28.48 and the company’s historical median price-earnings ratio.
Despite the high price-earnings ratio, Salesforce Inc appears to be modestly undervalued based on its GuruFocus Value. With a price of $225.88 and a GuruFocus Value of $300.70, the stock has a price-to-GF-Value ratio of 0.75.
The GF Value is an intrinsic value estimate developed by GuruFocus. It is calculated based on historical multiples (price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow) that the stock has traded at, a GuruFocus adjustment factor based on the company’s past returns and growth, and future estimates of business performance from Morningstar analysts.
The recent insider selling by Brent Hyder, along with the high price-earnings ratio, may raise some concerns for investors. However, the modest undervaluation based on the GF Value suggests that Salesforce Inc may still offer potential upside for long-term investors.
As always, investors should conduct their own research and consider their investment goals and risk tolerance before making investment decisions.
