tsla

Analyst: Salesforce Stock Could See More Disruption

CRM is vulnerable to more bear notes, too

Deputy Editor
Jan 20, 2023 at 9:37 AM
facebook X logo linkedin


Cowen downgraded Salesforce.com, Inc. (NYSE:CRM) to "market perform" from "outperform" this morning, pressuring the shares 1% lower to trade at $144.88 before the bell.

The Wall Street broker also cut its price target on the cloud computing concern to $160 from $175, citing slowing growth for front-office vendors after saying it sees "elevated levels of disruption risk" if consumer spending is dented by a volatile macro backdrop.

Evercore ISI yesterday cut its price target on Salesforce stock to $175 from $200. A further unwinding of optimism could pressure CRM lower, especially considering the 12-month average target price of $190.96 is a 30.4% premium to last night's close and 23 of 34 covering analysts still rate the shares a "buy" or better. 

On the charts, CRM is trying to recover from a mid-December dip to nearly three year lows. Pressure from its 100-day moving average has weighed for the past six months, a time during which CRM shed more than 20%. A look further back shows Salesforce stock sports a 35.3% year-over-year deficit.

For those wishing to speculate with options, now looks like the time to do so. Salesforce stock's Schaeffer's Volatility Index (SVI) of 35% sits in the relatively low 15th percentile of annual readings, suggesting options traders are pricing in low volatility expectations. 

 

Two High-Octane Trade Ideas. One Simple Goal: Intraday Profits.

Dynamite Day Trading Signals delivers two same-day options trades every week — powered by proprietary intraday analysis and 43+ years of trading expertise.

But this isn’t just another stream of alerts.

It’s a structured plan with clear entry and exit points – designed for traders who want to act fast, trade smart, and wrap up gains before the closing bell.

No guesswork. No overnight exposure – Just two well-researched setups per week — whether you prefer buying premium or selling it.

And the results speak for themselves: subscribers have locked in +245.8% total profit over the last six months (since inception!).

👉 Start your one-month trial now for just $10, and be ready for the next trade alert.