Salesforce, Inc. (NYSE:CRM) CEO Marc Benioff has sold a total of $4,644,618 worth of company shares, according to a recent SEC filing. The transactions took place on March 21, 2024, with the price per share ranging from $307.31 to $311.04.
The series of sales were executed under a prearranged 10b5-1 trading plan, which allows company insiders to sell shares at predetermined times to avoid any accusations of insider trading. The plan had been adopted by Benioff on September 21, 2023.
In detail, the SEC filing revealed multiple transactions at varying prices. Shares were sold at prices between $306.60 to $307.59, $307.62 to $308.46, $308.65 to $309.64, $309.66 to $310.64, and $310.66 to $311.53. These transactions were part of a weighted average pricing strategy, which is a common practice in the sale of large quantities of stock to minimize market disruption.
Following these transactions, the reporting documents indicated that Benioff still holds a substantial number of shares directly or through the Marc R. Benioff Revocable Trust. Additionally, 10 million shares are held indirectly by Marc Benioff Fund LLC.
Investors and shareholders monitor these filings closely as they can provide insights into executives' confidence in their company's performance and prospects. The sale of shares by a company insider, especially by high-ranking executives like Benioff, is often scrutinized for indications of the company's health and future.
The filing was signed on behalf of Marc Benioff by Sarah Dale, Attorney-in-Fact, on March 22, 2024. Salesforce has not released any official statement regarding the transaction at the time of reporting.
InvestingPro Insights
As Salesforce's CEO Marc Benioff parts with a portion of his shares, investors might seek additional context to gauge the company's performance and value. The recent transactions, part of a prearranged 10b5-1 plan, coincide with notable metrics and insights from InvestingPro that can enrich shareholders' perspectives.
With a market capitalization of $298.45 billion, Salesforce is a heavyweight in the software industry. The company's robust gross profit margin of 75.5% for the last twelve months as of Q4 2024 reflects its efficiency in maintaining profitability despite costs. Additionally, Salesforce's revenue has seen a healthy growth of 11.18% over the same period, indicating sustained business expansion.
InvestingPro Tips highlight Salesforce's perfect Piotroski Score of 9, suggesting strong financial health, and the fact that 33 analysts have revised their earnings upwards for the upcoming period, signaling potential optimism in financial performance. Moreover, the company's shares are trading near their 52-week high, at 96.76% of the peak value, which could indicate market confidence.
For those considering a deeper dive into Salesforce's financials, InvestingPro offers a wealth of additional tips, including insights on the company's earnings multiple and volatility. Subscribers can access these tips and more by visiting https://www.investing.com/pro/CRM. To enhance your investment strategies with these expert insights, use the coupon code PRONEWS24 for an additional 10% off a yearly or biyearly Pro and Pro+ subscription. There are 16 more InvestingPro Tips available that could further assist in making informed decisions about Salesforce's stock.
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