Valuentum Exclusive Analysis for the Discerning Investor

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Jun 10, 2025

Salesforce Raises Full Year Revenue Guidance, Announces Plans to Acquire Informatica
Image: Salesforce’s shares have been choppy the past few years. Salesforce initiated second quarter fiscal 2026 revenue guidance calling for growth of 7%-8% in constant currency, while it raised its full-year revenue guidance to the range of $41-$41.3 billion, up 8% in constant currency and the range above the consensus forecast at the time of the report. Salesforce maintained its full year GAAP and non-GAAP operating margin guidance, as well as its full year operating cash flow guidance of approximately 10%-11% year-over-year growth. Free cash flow is targeted at 9%-10% year-over-year growth for the full year, while non-GAAP earnings per share is expected in the range of $11.27-$11.33 versus consensus of $11.17 per share at the time of the report. We liked Salesforce’s strong first quarter fiscal 2026 results and its raised full year revenue guidance. We have no qualms with its announced acquisition of Informatica, but we don’t include shares in any newsletter portfolio. Shares yield 0.6% at the time of this writing.

May 19, 2025

3 Undervalued Stocks to Consider Buying Now
All told, we think these three names are ripe for the picking. UnitedHealth Group has clearly plummeted on bad headline news, while the market is not giving Nvidia enough credit for the sustainability of its technology. Alphabet is being weighed down by antitrust issues and the concern that artificial intelligence will permanently alter its business model, which we believe will not happen anytime soon, if at all. All three ideas are included in the Best Ideas Newsletter portfolio, where we include a diversified portfolio of ideas for members to consider. Happy investing!

May 6, 2025

Magnificent 7 Earnings Reports Not Bad Thus Far
Shortly after Trump's Liberation Day, where the President unveiled lofty tariffs on numerous countries, we released our wait-and-see outlook for the equity markets, which thus far has proven to be the right move, with the markets largely recovering from the depths reached in April. The S&P 500, for example, is down just 3.3% year-to-date, excluding dividends. A lot has happened since Liberation Day, including easing of tariffs to a 10% baseline for most, if not all, countries, with the key exception of China, where tariffs remain extremely elevated and prohibitive. Many countries are now reportedly negotiating trade agreements with the White House, and we expect China to be added to that list soon, even if a full US/China trade agreement won't be completed in the near term, as full-scale trade deals take time to mold. Thus far, we have been impressed by earnings this season, particularly by the Magnificent 7.

Apr 4, 2025

Trump Tariffs Higher than Expected; What We're Doing
The Trump tariff increases came in larger than what we were expecting, and it remains to be seen how they will flow through the global economy, as we monitor potential retaliatory tariffs from other countries. As it relates to the equity markets, we’re taking a wait and see approach at the moment as we monitor new policy changes related to trade, immigration, fiscal (tax), and regulations. In short, we’re not overreacting to the sell off as we won’t have a great handle on the tariff impact to companies for a few quarters when they report results post-tariff increases. That said, we’re expecting continued market volatility, with meaningful risk to the downside, before trade uncertainty alleviates in the coming months.

Mar 28, 2025

Dividend Increases/Decreases for the Week of March 28
Let's take a look at firms raising/lowering their dividends this week.

Dec 10, 2024

Oracle’s Remaining Performance Obligations (RPO) Growth Speaks to Accelerated Expansion
Image Source: Oracle. We particularly liked Oracle’s growth in total remaining performance obligations (RPO) in the quarter, which were up 49% in USD and 50% in constant currency year-over-year. During the past twelve months, Oracle’s operating cash flow came in at $20.3 billion, while free cash flow was $9.5 billion. The company ended the quarter with $11.3 billion in cash and marketable securities and $88.6 billion in notes payable and other borrowings. Though Oracle has a hefty net debt position and capital spending is expected to double in fiscal 2025, we still like the company’s cloud opportunity, and it remains a key holding in both the simulated Dividend Growth Newsletter portfolio and simulated ESG Newsletter portfolio.

Dec 4, 2024

Salesforce Posts Mixed Results, Agentforce Capitalizing on AI Demand
Image Source: Salesforce. Looking to full year 2025 guidance, Salesforce raised the low end of its revenue expectations to $37.8-$38 billion, up 8%-9% year-over-year, while it maintained its Subscription & Support revenue growth guidance of approximately 10% in constant currency. The company also raised its full-year GAAP operating margin guidance to 19.8% and its non-GAAP operating margin guidance to 32.9%. Salesforce raised its full year 2025 operating cash flow growth guidance to the range of 24%-26%. Non-GAAP diluted earnings per share is expected in the range of $9.98-$10.03 for the year (midpoint of $10.01), below the consensus estimate of $10.11. Salesforce is a net cash rich, free cash flow generating powerhouse, and the company continues to deliver for shareholders.

Aug 29, 2024

Salesforce Delivers on Second Quarter Fiscal 2025 Results
Image: Salesforce’s shares have bounced back nicely during the past year. Looking to fiscal 2025, Salesforce maintained its fiscal year revenue guidance in the range of $37.7-$38 billion, up 8%-9%, while it also maintained its full year Subscription & Support revenue growth guidance of slightly below 10% year-over-year, or approximately 10% in constant currency. Management updated its fiscal 2025 GAAP operating margin guidance to 19.7% and non-GAAP operating margin guidance to 32.8%. Non-GAAP diluted earnings per share is targeted in the range of $10.03-$10.11 (versus consensus of $9.89). Salesforce also raised its full year operating cash flow growth guidance to the range of 23%-25%. Our fair value estimate stands at $271 per share.

Aug 9, 2024

Paper: Value and Momentum Within Stocks, Too
Abstract: This paper strives to advance the field of finance in four ways: 1) it extends the theory of the “The Arithmetic of Active Management” to the investor level; 2) it addresses certain data problems of factor-based methods, namely with respect to value and book-to-market ratios, while introducing price-to-fair-value ratios in a factor-based approach; 3) it may lay the foundation for academic literature regarding the Valuentum, the value-timing, and ultra-momentum factors; and 4) it walks through the potential relative outperformance that may be harvested at the intersection of relevant, unique and compensated factors within individual stocks.

Jul 7, 2024

Latest Report Updates
Check out the latest report updates on the website.