tiprankstipranks
Salesforce Inc Updates 2 Key Risk Factors
Market News

Salesforce Inc Updates 2 Key Risk Factors

Shares of cloud-based software provider Salesforce, Inc. (CRM) have gained 15.3% in the past year. Driven by double-digit growth across its subscription and support verticals, the company delivered better-than-expected third-quarter performance on both its top-line and bottom-line fronts.

Moreover, its remaining performance obligations jumped 23% over the prior year to $18.8 billion. With these developments in mind, let us take a look at the changes in CRM’s key risk factors that investors should know.

Risk Factors

According to the TipRanks Risk Factors tool, Salesforce’s top risk category is Finance & Corporate, contributing 29% (compared to a sector average of 38%) to the total 38 risks identified. In its recent quarterly report, the company has removed two key risk factors.

The first risk pertains to CRM’s Slack acquisition. It had highlighted that the acquisition is subject to a number of conditions and may not be completed within the stipulated time frame. A delay in acquisition would mean realizing the anticipated benefits of the transaction later than expected along with higher costs.

CRM also noted that lawsuits were filed against Slack, CRM, and members of Slack’s board in connection with the Slack transaction, and additional lawsuits may be filed in the future. Any adverse ruling in a lawsuit may lead to an injunction, which could mean higher costs or the prevention of the transaction.

Hedge Fund Activity

According to TipRanks data, Wall Street’s top hedge funds have increased holdings in Salesforce by 973.2 thousand shares in the last quarter, indicating a very positive hedge fund confidence signal in the stock based on activities of 26 hedge funds in the recent quarter.

Download the mobile app now, available on iOS and Android.

Related News:
FuelCell Books Wider-than-Feared Q4 Loss; Shares Drop 13% 
Samsung Group in Talks to Take Over Biogen – Report 
Janssen Submits Biologics License Application for Teclistamab

Trending

Name
Price
Price Change
S&P 500
Dow Jones
Nasdaq 100
Bitcoin

Popular Articles