08:35 AM EDT, 05/30/2024 (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:

We cut our 12-month target to $300 from $330 on a P/E of 27x our CY 25 EPS view, below peers/historical to reflect growth concerns. We adjust our FY 25 (Jan.) EPS to $9.90 from $9.74 and FY 26 to $11.05 from $11.14. CRM posts Apr-Q EPS of $2.44 vs. $1.69, beating the $2.38 consensus. Sales rose 11%, with subscription and support revenues +13%. Jul-Q guide implies sales growth decelerating to 7%-8% (full-year stays 8%-9%), the slowest pace in CRM's history, as the buying environment remains uncertain. Strong operating margin execution (32.1% vs. 27.6%, matching consensus) is supporting EPS. We do think AI initiatives will take time to yield results (late CY 25/early 26), but view CRM as better positioned than most enterprise firms given access to customer data (Data Cloud in 25% of +$1M deals). While we are now wary about whether CRM will look to go back to M&A to drive inorganic growth, we see share weakness as an enticing buying opportunity (trades under 21x our CY 25 view pre-market; FCF of +$13B in CY 25).