5 Best Cloud Computing Stocks Heading into 2023

4. Salesforce, Inc. (NYSE:CRM)

Number of Hedge Fund Holders: 117

Salesforce, Inc. (NYSE:CRM) is a leading cloud-based software provider that offers Customer Relationship Management (CRM) solutions to businesses of all sizes. The company has established a large and loyal customer base, with over 150,000 customers across the globe. Salesforce, Inc. (NYSE:CRM) has a strong track record of delivering strong financial results. Salesforce, Inc. (NYSE:CRM) is one of the best cloud computing stocks to buy now.

This November, Stifel analyst J. Parker Lane revised his price target on Salesforce, Inc. (NYSE:CRM) to $185 from $200 and maintained a Buy rating on the shares.

At the end of the third quarter of 2022, Salesforce, Inc. (NYSE:CRM) was spotted on 117 investors’ portfolios that disclosed stakes of $8.21 billion in the company. This is compared to 116 positions in the previous quarter with stakes worth $7.90 billion. The hedge fund sentiment for the stock is positive. As of September 30, Fisher Asset Management is the top investor in the company and has a position worth $1.83 billion.

Here is what Aristotle Atlantic Partners, LLC had to say about Salesforce, Inc. (NYSE:CRM) in its third-quarter 2022 investor letter:

“We sold Salesforce, Inc. (NYSE:CRM) to reduce our weighting in the Information Technology sector. Salesforce held their investor day, and the company reiterated their organic Fiscal Year 2026 revenue target of $50 billion. This target remains more back-end loaded based on current slowing macroeconomic conditions and requires new annual contract growth well ahead of what the company has been averaging for the past few years. We are skeptical that the company will be able to achieve this revenue target organically and see Merger & Acquisitions (M&A) being key to achieving the growth. While we believe Salesforce has shown good success in growing its non-CRM clouds, we do see more competitive pressures emerging for the Marketing and Customer Service Clouds, specifically on the pricing side during a global economic slowdown.”