The only thing to realize is that CRM is basically a ponzi scheme that is funded by it's employees. If you take back the $200 million in proceeds from equity plans over the last 9 months, spend another $250 mm on non-cash compensation (stock), then basically the employees are pumping over around $500 million a year into company coffers. Contrast that to op cash flow and you realize why the company is able to maintain the illusion of going concern, and why, should the constant flow of employee cash ever come to an end, the company will quickly run out of money.
Also ask yourself why deferred revenue and current assets are roughly equal, and what the implication of that is from an economic standpoint. (i.e., what would they have if they didn't take contract pre-pays?)
Short interest is rising ....Smart $$ already knows. This stock is primed for a huge fall soon. Somehow wall street keeps levitating this POS just like AMZN. The professional analysts and the CNBC talking never say anything negative about either AMZN or CRM, but spend all their time talking AAPL down. go figure!! Wall street is so rigged!
Something else I don't understand is 40% growth in Europe in the face of crippling recession. Do you think big corps in the EU are deciding that now is the right time to shell out millions of dollars for a new CRM system?