Tech

Salesforce stock surges 26% a day after its blockbuster earnings report

Key Points
  • Shares of Salesforce soared Wednesday, as investors continued to rally around the enterprise software company's strong fiscal second-quarter earnings. 
  • With the share move, Salesforce stock is up 66% year to date.
Marc Benioff, founder, chairman and co-CEO of Salesforce, speaks at an Economic Club of Washington luncheon in Washington on October 18, 2019.
Nicholas Kamm | AFP | Getty Images

Shares of Salesforce soared 26.04% Wednesday, as investors continued to rally around the enterprise software company's strong fiscal second-quarter earnings. 

Salesforce reported adjusted earnings per share of $1.44 on revenue of $5.15 billion on Tuesday. That blew away analyst expectations of 67 cents earnings per share on revenue of $4.9 billion, according to Refinitiv. 

Salesforce said in its report that its adjusted earnings were positively impacted by mark-to-market accounting for the company's investments. Salesforce's overall revenue grew 29% year over year in the fiscal second quarter, which ended July 31. 

The earnings beat came just a day after the S&P Dow Jones Indices announced that Salesforce would replace Exxon Mobil in the 30-stock Dow Jones Industrial Average. Salesforce's addition to the Dow will go into effect on Aug. 31.

With Wednesday's share move, Salesforce stock is up more than 66.02% year to date, while its market cap sits at roughly $211 billion. 

-- CNBC's Jordan Novet contributed to this report.

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Salesforce EPS crushes at $1.44 adjusted vs. $0.67 estimated