Salesforce Q1 Preview: Investor Curious to Know About Informatica Acquisition

Salesforce (NYSE:CRM) is set to report its first-quarter earnings on Wednesday afternoon. Analysts anticipate adjusted earnings per share (EPS) of $2.55, reflecting a 4% increase from the previous year. Revenue is expected to reach $9.75 billion, representing a 7% growth. This earnings report will mark an important milestone amid the company’s ongoing dual transitions, likely referring to strategic shifts or restructuring efforts.

Key Highlights

• Salesforce signed a definitive agreement to acquire Informatica at a price of $25 per share, resulting in an estimated equity value of around $8 billion. This acquisition aims to enhance Salesforce’s data management and integration capabilities, likely to strengthen its platform for enterprise customers.
• Agentforce is seen as a significant opportunity for the company to reignite growth and improve profit margins. It has the potential to help drive organic revenue growth back to the mid-teens percentage range by fiscal year 2027, supporting the company’s long-term growth strategy.
• Data Cloud offering and Atlas Reasoning Engine are poised to create a powerful ecosystem that can enhance customer retention and drive expansion. These technologies are likely to improve data integration, analytics, and AI capabilities, strengthening the platform’s value for customers and fostering long-term growth.
• CRM Revenue growth has slowed significantly, decreasing from 18% in fiscal year 2023 to an estimated 8% in the third quarter of fiscal year 2025. This slowdown may reflect market or internal factors impacting growth momentum.
• Increasing competition from both large tech giants and smaller, specialized vendors could pose challenges by putting pressure on its market share and growth rates. This competitive landscape may require the company to innovate further and differentiate its offerings to maintain its position.

CRM Q1 earnings after market on Wednesday, May 28, 2025.

Financial Health History

Financial Health for Meta (NASDAQ:META) Platform is determined by ranking the company on over 100 factors against companies in the Information Technology sector and operating in Developing economic markets.

Option Statistics

Put/Call ratio suggests the following three scenarios:

• With Put/Call ratio between 1.0442 to 0.7516 for the next four upcoming expiries, suggest that the overall option traders are all over.
• Lower earnings and guidance could trigger a sharp sell-off.
• Better than expected earnings and guidance would trigger a gradual rise.
• Option market is showing a large net positive Gamma at 300 strike versus net negative gamma exposure at 260 strike over the spectrum of May 2025 to December 2027.

Technical Analysis Perspective

• CRM has been trading inside a large rising wedge-like pattern on monthly charts.
• Prices rose after holding the base of the pattern at 147.59 which is December ’22 low.
• CRM dropped after rejecting 369/367 obstacle in December ’24 and January ’25 for two consecutive months.
• Stock staged a strong rally after holding 230 support of the wedge in April ’25.
• A final move higher between 362 to 374 is on the way post earnings.
• There is a risk of a dip to 240 -236 now the base of rising monthly wedge.
• Only a breakout followed a monthly close below would negate the wedge pattern.

Monthly Candlestick Chart

SNOW Seasonality Chart

• CRM closes 0.8 % higher in May, 65% of the time since 2006.

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Ali Merchant is a seasoned financial market professional with expertise in Technical Analysis, Treasury & Capital Markets, Trading, Sales, Research, Training, Fund & Relationship Management, Fintech, and Digitalization. He is a CMT charter holder and an active member of CMT Association, USA, American Association of Professional Technical Analysts, and CMT Association of Canada. He has worked on various roles and organizations in North America and the GCC, such as ABN Amro bank, Thomson Reuters, Refinitiv, MAK Allen & Day Capital Partners (WA:CPAP), and Bridge Information Systems.

He is the founder of TwT Learnings, provides financial market training.