Salesforce, Inc. (NYSE:CRM) President and Chief Operating Officer, Brian Millham, has recently sold company shares valued at over $2.3 million. The transaction, which took place on October 2, 2024, involved the sale of 8,427 shares at a price of $280.00 each.
This sale came on the same day Millham exercised options to acquire an equal number of shares at a price of $218.21 per share, totaling approximately $1.8 million. It is worth noting that the transactions were carried out automatically under a Rule 10b5-1 trading plan, which was adopted by Millham on December 22, 2023. This plan allows company insiders to set up a predetermined schedule to sell stocks at a time when they are not in possession of material non-public information.
The options exercised by Millham were part of a non-qualified stock option plan, which permits the exercise of options and vests over four years. According to the details of the plan, 25% of the options were vested on the first anniversary of the grant date, with the remaining balance vesting in equal monthly installments over the subsequent 36 months.
Following these transactions, the total number of Salesforce shares owned by Millham has changed, reflecting the exercise of options and the subsequent sale of shares. As indicated in the filing, all transactions were conducted in a direct ownership form.
Investors often monitor insider buying and selling as it can provide insights into the executive's view of the company's current valuation and future prospects. Salesforce's stock performance and the actions of its executives are closely watched in the market, given the company's position as a leader in the customer relationship management software sector.
For interested parties, further details of these transactions can be found in the latest Form 4 filing with the Securities and Exchange Commission.
In other recent news, Salesforce.com Inc (NYSE:CRM). has reported strong second-quarter earnings, with earnings per share of $2.56, an 8% increase in sales, and a 9% rise in subscription and support revenues. The company has also made significant acquisitions, including Zoomin, a firm specializing in unstructured data management, and Own Company, a provider of data protection and management solutions, for $1.9 billion in cash. Salesforce has launched Agentforce, an AI-driven suite of autonomous bots, and reported a 130% year-over-year growth in its paid customer base. The company also formed a partnership with IBM (NYSE:IBM) to integrate advanced AI capabilities into its platform. Analyst firms have provided varying perspectives on Salesforce's recent activities. Wedbush maintained a positive outlook, raising the stock's price target to $325, while KeyBanc Capital Markets maintained its Sector Weight rating. Piper Sandler upgraded the stock from Neutral to Overweight, while BofA Securities and Needham maintained their Buy ratings. However, Erste Group and TD (TSX:TD) Cowen have downgraded the stock to Hold. These are the recent developments in Salesforce's ongoing efforts to innovate and remain a leader in the industry.
InvestingPro Insights
To provide additional context to Brian Millham's recent stock transactions, let's examine some key financial metrics and insights from InvestingPro for Salesforce (NYSE:CRM).
As of the latest data, Salesforce boasts a market capitalization of $268.22 billion, reflecting its significant presence in the software industry. The company's P/E ratio stands at 48.23, which, while high, should be considered alongside its growth prospects.
One of the InvestingPro Tips highlights that Salesforce has "impressive gross profit margins." This is substantiated by the data showing a gross profit margin of 76.35% for the last twelve months as of Q2 2025, indicating strong pricing power and efficient cost management in its core business.
Another relevant InvestingPro Tip notes that Salesforce is "trading at a low P/E ratio relative to near-term earnings growth." This is particularly interesting when juxtaposed with Millham's recent stock sale, as it suggests potential undervaluation despite the executive's transaction.
Salesforce has demonstrated solid financial performance, with revenue reaching $36.47 billion in the last twelve months and a revenue growth rate of 10.26%. The company's profitability is also noteworthy, with an operating income of $6.95 billion and an operating income margin of 19.06% for the same period.
For investors seeking a more comprehensive analysis, InvestingPro offers 13 additional tips for Salesforce, providing a deeper understanding of the company's financial health and market position.
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