Stock Price Trends

Salesforce.com Inc (CRM)

Salesforce.com, Inc. is an American cloud-based software company headquartered in San Francisco, California. It provides customer relationship management (CRM) service and also provides a complementary suite of enterprise applications focused on customer service, marketing automation, analytics, and application development.

Stock Price Trends

Stock price trends estimated using linear regression.

Key facts

  • The primary trend is increasing.
  • The growth rate of the primary trend is 34.42% per annum.
  • CRM price at the close of July 10, 2025 was $263.97 and was lower than the bottom border of the primary price channel by $31.41 (10.63%). This indicates a possible reversal in the primary trend direction.
  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 39.16% per annum.
  • CRM price at the close of July 10, 2025 was inside the secondary price channel.
  • The direction of the secondary trend is opposite to the direction of the primary trend. This indicates a possible reversal in the direction of the primary trend.

Linear Regression Model

Model equation:
Yi = α + β × Xi + εi

Top border of price channel:
Exp(Yi) = Exp(a + b × Xi + 2 × s)

Bottom border of price channel:
Exp(Yi) = Exp(a + b × Xi – 2 × s)

where:

i - observation number
Yi - natural logarithm of CRM price
Xi - time index, 1 day interval
σ - standard deviation of εi
a - estimator of α
b - estimator of β
s - estimator of σ
Exp() - calculates the exponent of e


Primary Trend

Start date: May 5, 2022
End date: March 3, 2025

a = 4.4373

b = 0.0008

s = 0.1132

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0008) – 1
= 34.42%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.1132) – 1
= 57.25%

May 5, 2022 calculations

Top border of price channel:

Exp(Y458)
= Exp(a + b × X458 + 2 × s)
= Exp(a + b × 661 + 2 × s)
= Exp(4.4373 + 0.0008 × 661 + 2 × 0.1132)
= Exp(5.1993)
= $181.14

Bottom border of price channel:

Exp(Y458)
= Exp(a + b × X458 – 2 × s)
= Exp(a + b × 661 – 2 × s)
= Exp(4.4373 + 0.0008 × 661 – 2 × 0.1132)
= Exp(4.7466)
= $115.19

March 3, 2025 calculations

Top border of price channel:

Exp(Y1,165)
= Exp(a + b × X1,165 + 2 × s)
= Exp(a + b × 1,694 + 2 × s)
= Exp(4.4373 + 0.0008 × 1,694 + 2 × 0.1132)
= Exp(6.0364)
= $418.38

Bottom border of price channel:

Exp(Y1,165)
= Exp(a + b × X1,165 – 2 × s)
= Exp(a + b × 1,694 – 2 × s)
= Exp(4.4373 + 0.0008 × 1,694 – 2 × 0.1132)
= Exp(5.5837)
= $266.06

Description

  • The primary trend is increasing.
  • The growth rate of the primary trend is 34.42% per annum.
  • CRM price at the close of July 10, 2025 was $263.97 and was lower than the bottom border of the primary price channel by $31.41 (10.63%). This indicates a possible reversal in the primary trend direction.

Secondary Trend

Start date: November 11, 2024
End date: July 10, 2025

a = 8.0106

b = -0.0014

s = 0.0618

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0014) – 1
= -39.16%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0618) – 1
= 28.02%

November 11, 2024 calculations

Top border of price channel:

Exp(Y1,091)
= Exp(a + b × X1,091 + 2 × s)
= Exp(a + b × 1,582 + 2 × s)
= Exp(8.0106 + -0.0014 × 1,582 + 2 × 0.0618)
= Exp(5.9801)
= $395.46

Bottom border of price channel:

Exp(Y1,091)
= Exp(a + b × X1,091 – 2 × s)
= Exp(a + b × 1,582 – 2 × s)
= Exp(8.0106 + -0.0014 × 1,582 – 2 × 0.0618)
= Exp(5.7330)
= $308.90

July 10, 2025 calculations

Top border of price channel:

Exp(Y1,254)
= Exp(a + b × X1,254 + 2 × s)
= Exp(a + b × 1,823 + 2 × s)
= Exp(8.0106 + -0.0014 × 1,823 + 2 × 0.0618)
= Exp(5.6519)
= $284.83

Bottom border of price channel:

Exp(Y1,254)
= Exp(a + b × X1,254 – 2 × s)
= Exp(a + b × 1,823 – 2 × s)
= Exp(8.0106 + -0.0014 × 1,823 – 2 × 0.0618)
= Exp(5.4049)
= $222.49

Description

  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 39.16% per annum.
  • CRM price at the close of July 10, 2025 was inside the secondary price channel.