Salesforce experienced a significant drop in share price after reporting its Q2 2024 earnings, with revenue missing for the first time since 2006. The company's gross margin was 73%, and customers with $100K+ ARR increased by 30% to 1,193. Despite weaker revenue projections, the revenue growth remained stable at around 40% year-over-year. The market cap of Salesforce decreased by $50 billion in a single day due to the company's announcement of falling to single-digit growth.
How did Salesforce lose $50BN in market cap in a single day? 🤯 “Salesforce said we have fallen to single digit growth and we’re not coming back. Why does that matter? Because it’s not a growth stock at single digits. @jasonlk thoughts 👇 https://t.co/HwMJAjnzBh
Last week, public software markets suffered significant compression. MongoDB fell 24%; UIPath fell 36% ; Salesforce fell 15% ; Workday was down 11%. Weaker revenue projections tend to cause sell-offs. These large drops aren’t unprecedented. In 2016, valuations fell 57%. Is it… https://t.co/5mpAG26hYE
Salesforce posts first revenue miss since 2006. 🩸 Are you a buyer at 28x earnings? $CRM https://t.co/XZ3tICM7ut
What I Read This Week: Salesforce’s share price dropped more than 20% after releasing its Q2 2024 earnings, despite earnings falling just 0.3% below Wall Street analysts' expectations. What's going on? Two factors appear to be responsible for this decline. First, a slowing…
$S closed down 13.34% on Fri. after reported its Q1 earnings results: Total revs up 40% y/y to $186.4M, +2 pps q/q Gross margin was 73% Customers w/ $100K+ ARR up 30% to 1,193 Expect Q2 revs to be min $197M, up ~32% y/y Revs growth remains stable at ~40% y/y, even though… https://t.co/iTRpPnijd3 https://t.co/oidsXXaVdT