KeyBanc Reiterates Sector Weight Rating on salesforce.com (CRM)

KeyBanc analyst Jackson Ader reiterated a Sector Weight rating on salesforce.com (NYSE: CRM).

The analyst commented, "Salesforce announced today it has signed a definitive agreement to acquire Own Company (formerly OwnBackup) for $1.9B in cash, which is net of the ~10% ownership Salesforce currently holds in Own Company. Own Company is a data backup, recovery, and security company previously focused on partnering with Salesforce and going after CRM workloads. Own has been closely connected with Salesforce for a long time now, having been part of the Salesforce AppExchange since 2012 and is a Salesforce Ventures portfolio company. We believe Own is north of $200M in ARR with over 7K customers (implies ~$20K-$30K ARPC) and ~500-1,000 employees (from LinkedIn/Crunchbase). Assuming 25% growth on the top line for Own, this implies a ~7.5x forward revenue multiple, a premium to the average software company at a premium growth rate."

For an analyst ratings summary and ratings history on salesforce.com click here. For more ratings news on salesforce.com click here.

Shares of salesforce.com closed at $246.12 yesterday.

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