On October 23, 2023, Amy Weaver, President and CFO of Salesforce Inc (CRM, Financial), sold 510 shares of the company. This move is part of a broader trend of insider selling at Salesforce Inc, as we will explore in this article.
Who is Amy Weaver?
Amy Weaver is the President and CFO of Salesforce Inc. She has been with the company for several years and has played a crucial role in its financial management and strategic planning. Her recent sale of 510 shares is noteworthy and warrants further analysis.
About Salesforce Inc
Salesforce Inc is a leading global provider of customer relationship management (CRM, Financial) software. The company's services allow businesses to use cloud technology to better connect with their customers, partners, and potential clients. Salesforce's innovative cloud-based platform comprises sales, service, marketing, and more, providing a 360-degree view of a company's customers.
Insider Sell Analysis
Over the past year, Amy Weaver has sold a total of 149,181 shares and purchased 0 shares. This recent sale of 510 shares is part of a larger trend of insider selling at Salesforce Inc. In fact, there have been 271 insider sells over the past year, with 0 insider buys.
The insider's selling activities can sometimes be an indicator of the company's future performance. However, it's important to note that insider selling can occur for a variety of reasons, and it doesn't necessarily mean that the insider has lost confidence in the company.
Stock Price and Valuation
On the day of the insider's recent sale, shares of Salesforce Inc were trading for $200.97 apiece, giving the company a market cap of $198.76 billion. The price-earnings ratio is 128.64, which is higher than the industry median of 25.4 and lower than the company’s historical median price-earnings ratio.
With a price of $200.97 and a GuruFocus Value of $266.76, Salesforce Inc has a price-to-GF-Value ratio of 0.75. This means the stock is modestly undervalued based on its GF Value.
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.
In conclusion, while the insider's recent sale of shares is noteworthy, it's important to consider the broader context. Salesforce Inc's stock is currently modestly undervalued, and the company has a strong position in the CRM software market. As always, potential investors should conduct their own research and consider multiple factors before making investment decisions.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
