Salesforce Stock Price (CRM)

What is Salesforce (CRM) stock?

Salesforce stock is the company shares available for public trading on the NASDAQ stock exchange under the ticker symbol CRM. An American cloud-based software startup launched in San Francisco in 1999, Salesforce has grown to become one of the world's most recognised CRM software companies.

Salesforce's technology and services are centred around helping businesses build strong, long-lasting customer relationships. On a mission to rid businesses of unhelpful silos, Salesforce unites company departments using real-time data and AI to create shared customer profiles. This single, shared view means companies can go the extra mile to impress both new and existing customers.

Headed by CEO Marc Benioff, Salesforce was born out of a need for an easy-to-maintain customer data platform. From humble beginnings, Salesforce now operates in 90 countries, with 113 offices across the globe. In 2022, Salesforce generated $26.49 billion in revenue, 25% more than the previous year.

With experts predicting Salesforce to continue to dominate cloud computing (in no small part thanks to developments in AI), its global market share is expected to rise to $236 billion by 2025.

How has Salesforce CRM stock performed over time?

Salesforce.com stock went public in June 2004 on the New York Stock Exchange, raising $110 million at $11 per share. It earned $309.98 million in revenue during the fiscal year ending in January 2006.

Fast-forward to 2015, and Salesforce reached new heights as it entered the Fortune 500 as one of the World's Most Admired Software Companies. From there, Salesforce continued to grow. Acquiring workplace software company Slack in 2021 for $27.7 billion, Salesforce expanded while maintaining its position as the number one CRM platform in the world.

By the end of September 2023, Salesforce's CRM stock price was valued at $202.73 per share.

What affects the Salesforce CRM stock price today?

Like other blue-chip companies, the Salesforce stock price is impacted by several factors. These include:

• Company news: News releases publicised by Salesforce can drive the share price. Salesforce releases detailed quarterly and annual financial reports showing revenue, operating loss, cash flow and predicted growth. Good performance and/or predictions can push Salesforce CRM share prices Poor performance or stagnant growth can do the opposite.
• Company politics: As well as keeping an eye on new products, acquisitions and products, look out for leadership changes as these can sway market sentiment. For example, following a senior executive departure in 2022, Salesforce's CRM share prices
• Economic conditions: Like other companies, Salesforce isn't immune to market conditions. With uncertain market conditions impacting its client base, Salesforce experienced a stock price tumble after a tough 2022.
• Competitors: Even companies as renowned as Salesforce can be pipped to the post. With advancements in AI sweeping the tech industry, failure to keep up can cause stock prices to dwindle. With Microsoft Dynamics 365 threatening to take a slice of Salesforce's customer base and smaller CRM systems like Zoho, Hubspot and Pipedrive hot on its heels, these companies could diminish Salesforce's stock prices.
• Regulatory developments: Given Salesforce's proposition, it attracts the attention of regulatory authorities. As well as being under strict data protection guidelines, advancements in technology (namely AI) are being monitored by regulators. Should new policies come into play, it could impact Salesforce's stock price.

How to trade or invest in Salesforce stock today

Buying Salesforce.com stock directly

You can add Salesforce.com stock to your portfolio by buying it directly. This means you can hold or sell in the short or long term. If Salesforce stock prices increase, you'll make a profit – and vice versa. To purchase Salesforce shares with Tradu all you need to do is add funds to your account and choose how many Salesforce shares you want to buy.

Best suited to longer-term investors, you'll experience less volatility when you invest in Salesforce directly. But it's worth noting that you can't use leverage when you buy shares directly. You can only make profits from bull conditions, too.

Salesforce trading using financial derivatives

Financial derivatives involve speculating on the price movements of Salesforce stock without investing in the company.

At Tradu, you can speculate on Salesforce shares using CFDs. These allow you to bet on price movements whether the market is bullish or bearish. This means you'll have far more opportunities to make a trade as you don't need to wait for share prices to increase.

• Contracts for difference (CFDs) involve speculating on whether a share price will rise or fall in the time between opening and closing a contract.

These financial derivatives can be 'leveraged'. This means you can open a big position with a small deposit. This frees up capital to make other trades. It's a risky strategy as you'll be exposed to the full position size – whether you profit or not. You must understand the risk vs. reward ratio if you're going to trade using leverage.

Unleash your potential and learn all about CFDs in our expert guide.

CFD trading guide

Pros and cons of trading Salesforce stock

Pros of trading Salesforce stock

• Global recognition: Salesforce has long reigned supreme as a cloud-based CRM system. Consistently increasing revenue and acquiring new companies to operate under the Salesforce umbrella, it's seen as a relatively stable investment.
• News coverage: As it's a leading blue-chip, all major news outlets provide coverage of Salesforce. Combined with regular internal updates, it's easier to keep track of (and analyse) fundamental factors.
• Liquidity: Salesforce's reputation and stature mean you won't struggle to buy or sell when you want to execute a trade.
• Volatility: In 2022, Salesforce experienced dramatic price swings due to unexpected leadership changes. This volatility unearths opportunities for both novice and experienced traders.
• Trade options: The world is your oyster when you trade Salesforce with us. Whether you buy Salesforce stock directly or use derivatives, you can execute long and short-term strategies in bullish and bearish conditions

Cons of trading Salesforce.com stock

• Volatile market conditions: Growth stocks can be volatile. This won't suit every trading style or strategy. Even with the best trading strategy in place, it's impossible to predict with 100 per cent certainty which way the market will go.
• More leverage = more risk: Leverage is a powerful tool that can magnify profits but can also magnify your losses. If you're using derivatives, it's important to calculate your position sizes and use risk-management strategies to mitigate your losses. Never use a ratio size that you're not comfortable with should the market move against your prediction.

How to start trading and investing in Salesforce stock with Tradu

1. Sign up for an account with Tradu: To start trading Salesforce stock, register with us today in just a few clicks.
2. Decide your strategy: Whether you choose to buy shares directly or use financial derivatives, you can do it all right here from our intuitive platform.
3. Analyse Salesforce's stock performance: Using both fundamental and technical analysis, track and forecast the CRM share price
4. Execute your first trade: Set your position and make a trade at lightning speed. Watch over price movements manually or make use of automated stop orders to ringfence profits or limit losses.
5. Diversify your portfolio: Why put all your eggs in one basket? Use our platform to expand across different markets and asset classes.
6. Up your game: Head over to our learning library and use our resources to help you develop your trading knowledge.