CRM
is undoubtedly one of the leaders in the ERP industry and with growing digitalisation of economies the growth is going to continue.
The question is - can the upcoming earnings report convince investors for another bull run to update the current high of £311?
Fundamentally: the company is rapidly growing in revenue but the profits are not quite there yet and it's outrageously overpriced with P/E at 115x.
Technically: looking at the weekly timeframe we can clearly see the impulse structure and the last correction indicates the formation of Extended Flat with 3-3-5 wave sequence. If this is the case then there is a chance for another bull run to a potential target of £311.
Risks - as mentioned earlier P/E is too high at this uncertain time with recession talks on all media channels so it is a risk that the next earnings report may spook the investors and correction will go even deeper.
I am keen to know what your position is on CRM .
Please share your thoughts in the comments and like this idea if you would like to see more stocks analysed using Elliott Waves.
Thanks
The question is - can the upcoming earnings report convince investors for another bull run to update the current high of £311?
Fundamentally: the company is rapidly growing in revenue but the profits are not quite there yet and it's outrageously overpriced with P/E at 115x.
Technically: looking at the weekly timeframe we can clearly see the impulse structure and the last correction indicates the formation of Extended Flat with 3-3-5 wave sequence. If this is the case then there is a chance for another bull run to a potential target of £311.
Risks - as mentioned earlier P/E is too high at this uncertain time with recession talks on all media channels so it is a risk that the next earnings report may spook the investors and correction will go even deeper.
I am keen to know what your position is on CRM .
Please share your thoughts in the comments and like this idea if you would like to see more stocks analysed using Elliott Waves.
Thanks
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