Salesforce.com, Inc. (NYSE: CRM)

On Tuesday, May 29th, 2018, salesforce.com reported their first fiscal quarterly earnings after the market closed at 4 p.m. Eastern Daylight Time. The behemoth in the cloud computing space blew away earnings estimates.

Analyst’s had been calling for $0.46 per share, but Salesforce put up $0.74 per share. Revenues also topped estimates coming in at $3.01 billion dollars compared to the expected to $2.95 billion dollars.

Their first quarterly revenue was up 25% from the year-ago period. Shares shot up quickly in the aftermarket once the earnings announcement was made public.

The shares which closed down $1.08 at $126.88 wound up closing at $132.80 at the 8 p.m. aftermarket session close. This will clearly put salesforce.com’s share price at all-time new high price levels.

Company and Analyst Comments

Marc Benioff, chairman, and CEO, Salesforce, had this to say to investors:

“Salesforce delivered more than $3 billion in revenue in the first quarter, surpassing a $12 billion annual revenue run rate. Our relentless focus on customer success is yielding incredible results, including delivering nearly two billion AI predictions per day with Einstein.”

Bhavan Suri and Sarah Shizas, analysts at William Blair & Co. had this to say in a note published before the earnings were released:

“The company continues to land larger, multi-cloud deals, which should help support upside to current estimates. Salesforce has gained traction in healthcare, financial services, and government industries, they added.

Salesforce.com Charts

The above price chart shows Salesforce in the regular trading session on the left and the aftermarket session on the right. It is easy to see how shares quickly shot up, formed the base and a secondary rally before the market closed at 8 p.m.

The above price chart shows the daily action going back a number of months before shares created a new uptrend. The green highlighted area in the upper right section of the chart shows where a likely opening price will be on Wednesday morning.