07:35 AM EDT, 04/22/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

According to an unconfirmed WSJ report, talks between CRM and Informatica (INFA 35 NR) about an acquisition have faded as the two sides are unable to agree to terms. We believe pricing was likely the ultimate issue, as INFA's stock price in recent weeks had surged above the level that CRM was willing to pay. We view the lack of a deal as a positive, as investors embraced CRM's shift away from dealmaking and instead focused on maximizing FCF/returning cash back to shareholders. We think the recent pressure on shares represents an enhanced buying opportunity, as CRM was down more than 7% on the day of speculation around a deal. The company now trades at a valuation below 25x our CY 25 EPS estimate, towards the low end of its long-term historical forward P/E range. That said, we do think the recent actions by management could imply a more lackluster growth trajectory, causing investors to speculate about business prospects looking ahead. We think CRM could return to the deal table at a lower price point.