Goldman Sachs Reiterates Neutral Rating, $170 PT for salesforce.com

In a company update published earlier today, the Goldman Sachs Group, Inc. reiterated its Neutral rating and $170 price target for salesforce.com, Inc. (NYSE: CRM).

Goldman Sachs said in its report “Despite the potential for more tepid results this quarter, we still view salesforce.com as an anchor software holding. The shift to SaaS continues to benefit the company, and it remains dominant in its core product, while our checks suggest a large, growing pipeline and no changes in competitive dynamics. We have high confidence the company's 30% bookings growth target is achievable. At $138, CRM is trading at 28x/24x our CY12/CY13 CFO forecasts of $4.88/$5.64 (consensus $4.94/$5.72). We maintain our 12-month price target of $170, which is based on equal weightings of our DCF, EV/bookings and P/CFO analysis.”

Salesforce.com, Inc. closed yesterday at $137.78.