Trade-Ideas LLC identified

Salesforce.com

(

CRM

) as a pre-market leader candidate. In addition to specific proprietary factors, Trade-Ideas identified Salesforce.com as such a stock due to the following factors:

  • CRM has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $294.7 million.
  • CRM traded 17,326 shares today in the pre-market hours as of 7:34 AM.
  • CRM is up 6.4% today from yesterday's close.

EXCLUSIVE OFFER: Get the inside scoop on opportunities in CRM with the Ticky from Trade-Ideas. See the FREE profile for CRM NOW at Trade-Ideas

More details on CRM:

salesforce.com, inc. provides enterprise cloud computing solutions, with a focus on customer relationship management to various businesses and industries worldwide. Currently there are 23 analysts that rate Salesforce.com a buy, no analysts rate it a sell, and 3 rate it a hold.

The average volume for Salesforce.com has been 3.9 million shares per day over the past 30 days. Salesforce.com has a market cap of $51.9 billion and is part of the technology sector and computer software & services industry. The stock has a beta of 1.40 and a short float of 1.9% with 2.84 days to cover. Shares are down 2.1% year-to-date as of the close of trading on Tuesday.

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.

TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates Salesforce.com as a

hold

. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and impressive record of earnings per share growth. However, as a counter to these strengths, we find that the company's return on equity has been disappointing.

Highlights from the ratings report include:

  • The revenue growth came in higher than the industry average of 8.7%. Since the same quarter one year prior, revenues rose by 25.3%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
  • Looking at where the stock is today compared to one year ago, we find that it is not only higher, but it has also clearly outperformed the rise in the S&P 500 over the same period. Although other factors naturally played a role, the company's strong earnings growth was key. Despite the fact that it has already risen in the past year, there is currently no conclusive evidence that warrants the purchase or sale of this stock.
  • The current debt-to-equity ratio, 0.30, is low and is below the industry average, implying that there has been successful management of debt levels. Despite the fact that CRM's debt-to-equity ratio is low, the quick ratio, which is currently 0.69, displays a potential problem in covering short-term cash needs.
  • The gross profit margin for SALESFORCE.COM INC is currently very high, coming in at 81.72%. Regardless of CRM's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, CRM's net profit margin of -1.40% significantly underperformed when compared to the industry average.
  • Current return on equity exceeded its ROE from the same quarter one year prior. This is a clear sign of strength within the company. Compared to other companies in the Software industry and the overall market, SALESFORCE.COM INC's return on equity significantly trails that of both the industry average and the S&P 500.

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.