Salesforce (NYSE:CRM) stock is falling on Wednesday following the release of the e-commerce company’s Q3 fiscal 2022 earnings report.
Let’s dive into that earnings report below to see why holders of CRM stock are unhappy today.
- First off, it’s worth pointing out that results for the company’s third quarter of fiscal 2022 were strong.
- That includes adjusted earnings per share of $1.27 on revenue of $6.86 billion.
- Both of those are better than Wall Street’s estimates of 92 cents per share and revenue of $6.8 billion.
- Instead, it’s the company’s outlook that has investors upset with CRM stock today.
- That includes Q4 revenue estimates ranging from $7.224 billion to $7.234 billion.
- The midpoint of that, $7.229 billion, is just below analysts’ estimates of $7.23 billion for the period.
- Then we have to talk about the company’s revenue guidance for its fiscal first quarter of 2023.
- This ranges from $7.215 billion to $7.250 billion.
- That would have it missing Wall Street’s revenue estimate of $7.36 billion for the quarter.
Marc Benioff, chairman and CEO of Salesforce, said the following about the earnings during the report.
“Salesforce is more relevant and strategic than ever as every company accelerates their digital transformation journey. Just as we’ve helped our customers navigate the pandemic, we’re now guiding them toward greater growth, customer success, health and safety, and trust. With the tremendous strength of our Customer 360 platform and Slack, we’re on track to reach $50 billion revenue in FY26.”
Today’s earnings news brings with it heavy trading of CRM stock. That has some 13 million shares on the move as of this writing. This is a major jump over the company’s daily average trading volume of roughly 5 million shares.
CRM stock is down 5.5% as of Wednesday morning but is up 22.5% since the start of the year.
There’s more stock market news for investors to dive into below!
We’ve got all the latest stock coverage that traders need to know about today. A few examples include why Ardelyx (NASDAQ:ARDX) stock is climbing higher, what has Chinese EV stocks on the move, as well as this morning’s biggest pre-market stock movers. You can find all of that from the following links!
More Stock Market News for Wednesday
- ARDX Stock Alert: The IBS Drug News Sending Ardelyx Shares Soaring Today
- Chinese EV Stocks: Why LI, NIO, XPEV Stocks Are On Watch Today
- Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Wednesday
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
