Ken Fisher’s Top 5 Growth Stock Picks

In this article, we will take a look at Ken Fisher’s top 5 growth stock picks. If you want to see more stocks in this selection, go to Ken Fisher’s Top 15 Growth Stock Picks.

5. Salesforce, Inc. (NYSE:CRM)

Number of Hedge Fund Holders: 117

Fisher Asset Management’s Holdings: $1,830,503,000

Percentage of Fisher Asset Management’s Portfolio: 1.37%

Salesforce, Inc. (NYSE:CRM) is a San Francisco, California-based provider of cloud-based customer relationship management (CRM) solutions.

On December 5, Phil Winslow at Credit Suisse assigned the stock a target price of $225 and an Outperform rating. The analyst noted that Salesforce, Inc. (NYSE:CRM) reported strong Q3 2022 results. Winslow shared that the 12% growth in customer revenue performance obligation (CRPO) was in line with the company’s guidance and analysts’ forecast, but it included a 1% percentage point (ppt) impact of currency headwind. During the quarterly results, Salesforce, Inc. (NYSE:CRM) maintained its revenue guidance at $30.9 billion to $31 billion for 2023 and increased its operating margin guidance from 20.4% to 20.7%.

Oakmark Funds shared its outlook on Salesforce, Inc. (NYSE:CRM) in its Q3 2022 investor letter. Here’s what the firm said:

“Salesforce, Inc. (NYSE:CRM) has become a dominant global player in sales, customer service, commerce and marketing software over the past 20 years. The company earns 80% gross margins and grows 20% organically. Plus, virtually all of its revenue is recurring. We see Salesforce as a great business that we’ve admired from afar for a long time. More recently, the organization has made some changes at the top that prompted us to take a closer look at the stock. New CEO Bret Taylor and CFO Amy Weaver are bringing a culture of financial discipline. We believe this renewed focus on profitability and capital return, combined with Salesforce’s strong underlying business characteristics, will yield strong results. The current valuation of 3.9x next year’s revenues represents a significant discount compared to publicly traded peers and recent private market values in the software space that have similar growth profiles. We view this discount as an opportunity to invest in a great business at a good value.”