This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Salesforce.com, Deckers Outdoor: After-Hours Trading (Update 1)

Updated from 4:49 p.m. ET to include latest share prices, additional information on AIG and OmniVision Technologies.

NEW YORK (TheStreet) -- Shares of Salesforce.com (CRM) rose in late trades on Thursday after the cloud computing company cruised past Wall Street expectations for its fiscal fourth-quarter results.

San Francisco-based Salesforce.com also gave its guidance for the current fiscal year, forecasting non-GAAP earnings of $1.58 to $1.62 a share on revenue ranging from $2.92 billion to $2.95 billion. The current average estimate of analysts polled by Thomson Reuters is for a profit of $1.62 a share on revenue of $2.91 billion.

For the three months ended Jan. 31, the company reported non-GAAP earnings of $61.6 million, or 43 cents a share, on revenue of $632 million, easily besting the consensus view for a profit of 40 cents a share on revenue of $624 million.



The stock was last quoted at $144.55, up 9.7%, on volume of more than 1.6 million, according to Nasdaq.com. Based on Thursday's regular-session close at $131.77, the shares are up more than 25% so far in 2012 but still down 4.7% in the past year, peaking at $160.12 on July 19.

"Salesforce.com's 38% revenue growth in the fourth quarter was a spectacular finish to our fiscal year, a year in which we delivered 37% revenue growth and added nearly 2,500 employees, including nearly 2,000 in the U.S.," said Marc Benioff, the company's chairman and CEO, in a statement. "Given the strong customer response to the social enterprise, we're excited to raise our guidance today, which puts us on pace to exceed the $3 billion revenue run rate during FY13."

For the first quarter ending in April, the company expects non-GAAP earnings of 33 to 34 cents a share, which is slightly below the average analysts' estimate of 36 cents a share.

The sell side was extremely bullish about Salesforce.com ahead of the report with 31 of the 41 analysts covering the stock at strong buy (11) or buy (20), and the median 12-month price target at $150.

Bears will point to a lofty valuation thought with the stock trading at a forward price-to-earnings multiple of 81.3X vs. around 13X for the S&P 500, and 46X for Rackspace Hosting (RAX), another cloud computing name.

The company still sees strong topline growth for the current fiscal year with the high end of its guidance implying a 30% jump, but that would be down from the 37% increase it just delivered in the past year.

Check out TheStreet's quote page for Salesforce.com for year-to-date share performance, analyst ratings, earnings estimates and much more.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,943.81 +28.74 0.17%
S&P 500 1,967.57 +2.89 0.15%
NASDAQ 4,415.49 +19.2860 0.44%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs