Exploring the Growth Potential of NYSE:CRM as It Nears a Breakout.

For growth-minded investors, high revenue and EPS growth are key criteria. Today, we'll examine whether SALESFORCE INC (NYSE:CRM) fits the bill for growth investing, particularly as it forms a base and hints at a potential breakout. Remember, due diligence is essential, but SALESFORCE INC has caught our attention on our screen for growth with base formation. It may warrant additional investigation.

Growth Examination for NYSE:CRM

ChartMill employs its own Growth Rating system for all stocks. This score, ranging from 0 to 10, is derived by evaluating different growth factors, such as EPS and revenue growth, taking into account both past performance and future projections. NYSE:CRM has earned a 8 for growth:

• The Earnings Per Share has grown by an impressive 36.43% over the past year.
• The Earnings Per Share has been growing by 26.05% on average over the past years. This is a very strong growth
• Looking at the last year, CRM shows a quite strong growth in Revenue. The Revenue has grown by 10.26% in the last year.
• CRM shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 21.28% yearly.
• Based on estimates for the next years, CRM will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.63% on average per year.
• Based on estimates for the next years, CRM will show a quite strong growth in Revenue. The Revenue will grow by 10.16% on average per year.

Health Insights: NYSE:CRM

ChartMill assigns a Health Rating to every stock. This score ranges from 0 to 10 and evaluates the different health aspects like liquidity and solvency, both absolutely, but also relative to the industry peers. NYSE:CRM scores a 7 out of 10:

• An Altman-Z score of 5.76 indicates that CRM is not in any danger for bankruptcy at the moment.
• The Altman-Z score of CRM (5.76) is better than 69.39% of its industry peers.
• The Debt to FCF ratio of CRM is 0.74, which is an excellent value as it means it would take CRM, only 0.74 years of fcf income to pay off all of its debts.
• CRM has a better Debt to FCF ratio (0.74) than 76.87% of its industry peers.
• A Debt/Equity ratio of 0.15 indicates that CRM is not too dependend on debt financing.
• The current and quick ratio evaluation for CRM is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.

Analyzing Profitability Metrics

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, NYSE:CRM has achieved a 8:

• CRM's Return On Assets of 6.11% is fine compared to the rest of the industry. CRM outperforms 79.72% of its industry peers.
• CRM has a better Return On Equity (9.77%) than 80.07% of its industry peers.
• With an excellent Return On Invested Capital value of 7.71%, CRM belongs to the best of the industry, outperforming 82.21% of the companies in the same industry.
• The last Return On Invested Capital (7.71%) for CRM is above the 3 year average (3.04%), which is a sign of increasing profitability.
• CRM has a Profit Margin of 15.44%. This is amongst the best in the industry. CRM outperforms 82.56% of its industry peers.
• In the last couple of years the Profit Margin of CRM has grown nicely.
• The Operating Margin of CRM (19.06%) is better than 87.90% of its industry peers.
• CRM's Operating Margin has improved in the last couple of years.
• CRM has a better Gross Margin (76.35%) than 71.53% of its industry peers.

Looking at the Setup

ChartMill incorporates a Setup Rating in its analysis, which measures the extent of consolidation in a stock over recent days and weeks. This rating, ranging from 0 to 10, is updated daily and takes into account multiple short-term technical indicators. The current setup rating for NYSE:CRM is 8:

CRM has an excellent technical rating and also presents a decent setup pattern. Prices have been consolidating lately. There is very little resistance above the current price. There is a support zone below the current price at 293.01, a Stop Loss order could be placed below this zone. Another positive sign is the recent Pocket Pivot signal.

Every day, new Strong Growth stocks can be found on ChartMill in our Strong Growth screener.

For an up to date full fundamental analysis you can check the fundamental report of CRM

For an up to date full technical analysis you can check the technical report of CRM

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.