5 Best Cloud Stocks To Buy Now

1. Salesforce, Inc. (NYSE:CRM)

Number of Hedge Fund Holders: 116

Salesforce, Inc. (NYSE:CRM) is a California-based customer relationship management company that offers six major types of clouds – Sales Cloud, Marketing Cloud, Commerce Cloud, Service Cloud, Experience Cloud, and Analytics Cloud. Salesforce, Inc. (NYSE:CRM) is one of the best cloud stocks to buy now. 

On September 22, Jefferies analyst Brent Thill noted that Salesforce, Inc. (NYSE:CRM) delivered the “trinity” of growth, profitability, and capital return at its analyst day. The company guided $50 billion in sales by fiscal 2026, above Wall Street’s $48 billion consensus and representing growth of 17% annually, profitability with more than 25% margins by 2026, and capital return at 30%-40% of free cash flow, the analyst told investors. He finds the stock “valued attractively at trough levels” and maintained a Buy rating on the shares with a $250 price target.

According to Insider Monkey’s data, 116 hedge funds were bullish on Salesforce, Inc. (NYSE:CRM) at the end of the second quarter of 2022, compared to 114 funds in the last quarter. Harris Associates is a significant position holder in the company, with 5 million shares worth $829 million.  

Here is what Vulcan Value Partners has to say about Salesforce, Inc. (NYSE:CRM) in its Q1 2022 investor letter:

“Salesforce.com Inc. is the dominant provider of customer relationship management software and technology. Salesforce has high retention rates, pricing power, high free cash flow, and a competitive moat. The company continues to execute well. Margins decreased slightly during the fourth quarter but continue to be on path for material expansion over the long term. Salesforce is seeing increased spending as employees are returning to the office, and we believe the global pandemic has only improved its prospects.”

You can also take a look at 10 Best Energy Stocks To Buy and 13 Best Semiconductor Stocks To Buy. 

Follow Insider Monkey on Twitter