Salesforce (NYSE:CRM)

CRM will bear earnings estimates

S&P Star Ranking is 2 (SELL)

S&P Fair Value Rank is 1 (grossly overvalued)

S&P Earnings & Dividend Rank is C

Relative Strength is 81

Growth Rate - 5 Year Earnings Per Share 27.98%

Net Profit Margin (Current) 4.20%

Net Profit Margin - 2 Years Ago 4.20%

ROE (Current) 6.00%

ROE - 2 Years Ago 6.00%

The stock is grossly overpriced. CRM has growing competition and the CEO is flaky in some respects.

CRM just made a split yesterday where you receive 4 share for 1. I think that the lower price will attract more investors. Splitting the stocks is also a sign that management does not need to use a large part of its income growing the company and can start paying a dividend

This pick was made because its below the 50day moving average as of April 10th.
The whole list I perused through below 50dmva for 4/10/13 were;
AMZN,SIRI,PRAN,PCYC,CNQR,PCLN,CRM,LULU,CVLT,NFLX,ULTI,CTXS

These tickers were picked from my tracking universe of the following tickers:
CCI,AMZN,SIRI,LMT,PNRA,SBAC,RPRX,PRAN,MDVN,VZ,ALXN,PCYC,CNQR,INFI,VRTX,PCLN,CRM,LULU,CVLT,NFLX,OPEN,GMCR,N,CAR,REGN,T,SBUX,MO,ULTI,MAR,EQIX,CTXS,CLH,BLL

This was supposed to be a simple tracking blog post rather than a pitch but as a new player, it takes a couple of days to be approved for blog posting...oh well. Hopefully I remember to look back at these pitches.

This is a cloud computing company that most people underestimate. They have been seeing constant gains in their earnings reports.

No real earnings. Management's own projections call for the issuance of shares equal to 52% of expected FY2013 revenues. Craziness.

A settlement of accounts: a day of reckoning.

Expenses are consistently growing faster than revenue and the Company has not made any money for multiple years. R&D is sky rocking to keep the pace of innovation about that of the company's numerous strong competitors (IBM, Microsoft). Who knows maybe amazon or google will jump into the space too, they love doing everything.

free cash flow per share growth http://financials.morningstar.com/ratios/r.html?t=CRM

peak and need correction

They are ahead of the pack on cloud computing and helping companies do business on mobile apps and social networks. They're up 600% since the 2009 crash and they're going to keep going higher. CEO has a burning goal/drive to grow bigger!

My impression is that they sell overpriced, mediocre software. Evidently, their near monopoly in the space still isn't enough to make them profitable.

the cloud is sinking fast

CRM, show me the money. This company may move through huge promise to big disaster without ever actually having a quarter in the 'brilliant' category.

Fundamentals and share price are not synchronized

pumped too much

Simple, the founders keep putting it in rule breaker CORE,
Even though very few people in the foolish community rate it as strong. Works for me! I will buy some on Monday. I don't really know how a car works but I can drive it.

When Cash Flow really isn't Cash Flow anymore. Something's got to give.