BMO Capital raised its price target on Salesforce.com Inc to $105 from $100 while reiterating an outperform rating after the provider of enterprise software reported quarterly earnings late Tuesday.
The broker said that the quarter will likely be a “proxy for future quarters.” “More specifically, we are making modest positive revisions to our estimates,” BMO analyst Keith Bachman said in a note. “The results of the quarter raise our confidence in CRM being able to sustain almost 20% revenue growth, while gradually raising operating margins through FY19.”
BMO now expects Salesforce to report 2018 revenue of $10.39 billion, up from previously $10.26 billion, and now in line with the consensus of analysts polled by Capital IQ. BMO now expects EPS of $1.32, up from $1.29 previously and above the $1.31 consensus.