Salesforce Inc. produced better adjusted earnings than expected in the fourth quarter and executives projected big profit gains this year in a Wednesday report, sending shares more than 12% higher amid activist-investor pressure.
Salesforce shares have been on a tear this year, as activist investors have piled into the stock in unprecedented fashion. At least five activists have reportedly amassed investments in Salesforce as the stock has gained more than 25% this year, the strongest year-to-date gain for a Dow Jones Industrial Average DJIA, +0.02% component.Those gains follow the worst year for Salesforce stock since 2008, as shares dove 47.8% while earnings declined.
Benioff believes that profit will grow much faster to a much larger record total this year. Salesforce executives guided for fiscal-year adjusted profit of $7.12 to $7.14 a share and revenue of $34.5 billion to $34.7 billion Wednesday, while analysts on average were expecting annual earnings of $5.87 a share on sales of $33.89 billion, according to FactSet.
could have cut that loss to 88m by NOT paying mcconaughey 10m for a lousy commercial.