Joseph K
Salesforce cage-rattlers leave in profitable peace
For activist investors in Salesforce (CRM.N), the low-hanging fruit should suffice. After a nearly 60% rise in the $200 billion software developer’s share price so far this year, Jeff Smith’s Starboard Value and Dan Loeb’s Third Point are selling down their stakes. It’s a good time to pocket gains as Big Tech faces fresh challenges.
Fast growth and big-ticket acquisitions that Salesforce boss Marc Benioff had pursued turned anathema last year. The stock price roughly halved, falling faster than the Nasdaq-100 Technology Sector Index (.NDXT). Profit became a bigger focus, and rabble-rousers that also included ValueAct and Elliott Investment Management came calling.
Comments