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South Korea
$CRM (Salesforce Inc) , Stock to Buy: Salesforce its expect Salesforce stock to outperform this week, with a potential breakout to a new record high on the horizon, as the enterprise software giant’s latest earnings and guidance will easily top estimates in my view thanks to broad strength in its cloud business and recent AI initiatives. The San Francisco, California-based company is scheduled to deliver its fourth-quarter update after the U.S. market closes on Wednesday, February 28 at 4:05 PM ET. Market participants expect a sizable swing in CRM shares, as per the options market, with a possible implied move of roughly 7% in either direction. Notably, the stock soared 12% after its last earnings report in late November. As could be expected, an InvestingPro survey of analyst earnings revisions points to mounting optimism ahead of the print. As can be seen below, all 39 analysts covering the company upwardly revised their profit estimates in the past 90 days as the Street grows increasingly bullish on the cloud software provider. Salesforce is seen earning $2.27 a share in the December quarter, rising 35.1% from the year-ago period due to the positive impact of ongoing cost-cutting measures. Meanwhile, revenue is forecast to increase 10% year-over-year to $9.22 billion thanks to solid demand from businesses and organizations for its customer relationship management tools and solutions. It should be noted that the Marc Benioff-led company has a long history of beating Wall Street’s quarterly estimates for profit and sales growth, doing so in every quarter dating back to at least Q2 2014. Looking ahead, I believe the tech giant will provide upbeat profit and sales guidance for the rest of the year as it remains well-positioned to thrive amid the current environment. As businesses increasingly prioritize digital engagement and data-driven decision-making, Salesforce's AI-powered CRM platform, ‘Einstein GPT’, positions the company for continued success in a rapidly evolving market.
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