Salesforce stock fell in premarket trading Thursday after the company released weaker-than-expected fiscal first-quarter results on Wednesday.
Shares of Salesforce tumbled 19% Thursday morning, putting the stock on pace for its worst day since 2004.
The drop comes after Salesforce on Wednesday reported fiscal first-quarter results that missed Wall Street’s estimates for revenue for the first time since 2006. It also gave lighter-than-expected guidance.
The cloud software vendor said revenue for the period increased 11% to $9.13 billion, which was shy of the $9.17 billion expected by analysts, according to LSEG.
Salesforce expects second-quarter adjusted earnings per share of $2.34 to $2.36 on $9.2 billion to $9.25 billion in revenue. Analysts surveyed by LSEG were expecting $2.40 in adjusted earnings per share on $9.37 billion in revenue.
Citi analysts said broader macroeconomic challenges „returned with a vengeance“ during Salesforce’s first quarter.
