Salesforce Inc (CRM) reported a better-than-expected first quarter on Tuesday after market close. The company hiked its full-year profit guidance that caused the stock prices to gain more than 9 percent on Wednesday. As of Thursday morning, CRM is up another 2 percent.
CRM seems to be the favorite on Wall Street even though tech stocks are getting battered.
Wedbush’s Ives, who has a $225 price target on the stock, said Salesforce’s report is “a major relief for tech investors, showing that core enterprise demand is holding up well despite the macro and geopolitical swirls.”
“As a major bellwether for tech and off-quarter earnings, the Street was laser-focused on Salesforce numbers and comments from Benioff to see any major hints of enterprise spend weakness,” Ives said.
Citi’s Radke, who has a $182 price target, said that upon reflection, “we see Salesforce’s results as a slight positive with demand trends holding up well.”