And I'm Mary Long joined today by Tim Byers. We are both recording virtually but from sunny

Colorado. Tim thanks for being here. Thanks Mary fully caffeinated ready to go.

Love that. Okay we are having a sunny day here, but not such a

sunny day for Salesforce. Today we're shining the spotlight on that company

because it's down more than 20% this morning.

That is largely due to the fact that the company just reported

its first revenue miss since 2006.

That sounds pretty bad, but I will say up top bottom line results were solid gap net income up

almost 700% free cash fill up 43% Tim we've got some good we've got some bad

the street seems to think there's a lot of bad what say you what

stuck out to you is most important in this report well the street doesn't like to

be surprised and they were surprised first quarter revenue coming in at 9.13 billion. That was under the consensus forecast that I got from capital IQ of 9.147 billion. that's a miss the street does not like a miss they like

it even less when you follow that up with a Q2 forecast that is way below what the street wanted and in this particular case

the midpoint in the Q2 guidance Mary was for 9.225 billion and the street wanted at least 9.34 billion.

Man, that is a serious miss.

Also, looking ahead to the full year, Salesforce said that their guidance on margins.

So this is operating margins.

They issued operating margin guidance in Q4.

This is three months ago, and they said, look, we're going to hit our gap operating income is going to be a little over 20%.

It's going to be 20.4%. And then this quarter they said,

nah, you know what, we have maybe a little extra stock-based compensation.

We're going to take that down 50 basis points to 19.9%.

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