Salesforce, Inc. (NYSE:CRM) Co-Founder and Chief Technology Officer of Slack, Parker Harris, has sold a portion of his company stock, according to a recent filing with the Securities and Exchange Commission. The transactions occurred on May 7, 2024, and involved the sale of Salesforce common stock totaling over $1.16 million.
Harris, who is also a director at Salesforce, sold 432 shares at a weighted average price of $274.41, with prices ranging from $274.17 to $274.80. Another batch of 404 shares was sold at an average of $276.01, with a price range between $275.59 and $276.56. Additional sales included 1,796 shares at an average price of $277.13, ranging from $276.62 to $277.57, and 1,551 shares at an average of $278.40, with a range from $277.85 to $278.72. The smallest sale was 17 shares at a price of $278.90.
The total value of the non-derivative securities sold by Harris was calculated to be $1,164,312. These sales were executed automatically pursuant to a Rule 10b5-1 trading plan adopted by Harris on September 26, 2023, indicating that the transactions were pre-planned and not based on inside knowledge of the company's affairs.
In addition to the sales, Harris also acquired 4,200 shares of Salesforce common stock through the exercise of options at a price of $118.04 per share, totaling $495,768. This transaction is part of an employee stock option plan where the options vested over four years, with the first 25% vesting on the first anniversary of the grant date, followed by equal monthly installments over the remaining 36 months.
Following these transactions, Harris's direct ownership in Salesforce common stock has been adjusted to reflect the sales and acquisition. It's worth noting that the reported securities are also held by several LLCs managed by Harris and his spouse, as well as in The G. Parker Harris III & Holly L. Johnson Family Trust.
Salesforce investors often monitor insider transactions as they can provide insights into executives' confidence in the company's performance and outlook. However, it is important to note that such transactions do not necessarily indicate a change in company strategy or future performance.
InvestingPro Insights
As Salesforce Inc. (NYSE:CRM) navigates through the market, recent insider transactions have caught the attention of investors. To provide a broader perspective, let's delve into some key financial metrics and insights provided by InvestingPro. Salesforce currently boasts a robust Market Cap of approximately $270.48 billion. This reflects the company's significant presence in the technology sector and its role as a major player in the software industry, as highlighted by one of the InvestingPro Tips.
Another notable InvestingPro Tip points out that Salesforce operates with a moderate level of debt, which may be reassuring for investors concerned about financial stability. The company's Gross Profit Margin stands at an impressive 75.5% for the last twelve months as of Q4 2024, indicating a strong ability to control costs and generate revenue efficiently.
Investors should also consider the company's P/E Ratio, which is currently at 65.54. While this suggests a high earnings multiple, it is essential to look at this figure in conjunction with the company's growth prospects and industry position. Salesforce's Revenue Growth for the same period was 11.18%, showcasing its ability to expand its business and remain competitive.
For those interested in further insights, there are additional InvestingPro Tips available at https://www.investing.com/pro/CRM, including the company's cash flow capabilities and valuation multiples. Use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, which grants access to more exclusive metrics and expert analyses. With 12 more InvestingPro Tips available, investors can deepen their understanding of Salesforce's financial health and future prospects.
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