Salesforce Stock Maintains Outperform Rating Amid AI Focus

Baird maintains Salesforce stock at Outperform By Investing.com

On Friday, Baird reaffirmed its Outperform rating on shares of Salesforce.com (NYSE:CRM), maintaining a $315.00 price target. The firm's positive stance follows its attendance at the Dreamforce event, as well as a Salesforce-hosted investor reception. The focal point of discussions at the event was Salesforce's recently introduced Agentforce, which is set to become generally available in mid-October. The analyst from Baird expressed optimism about the potential of Agentforce and Data Cloud for Salesforce's future growth. There was a strong sense of encouragement based on the customer interest and engagement observed at the event. However, it was noted that Agentforce is not expected to have a significant financial impact until fiscal years 2026 and 2027. The report also highlighted that aligning data could serve as a positive driver for the adoption of Salesforce's Data Cloud services. Still, the firm advised caution, suggesting that expectations should remain in check until there is a clear indication of how quickly clients will adopt the new offerings. Baird's assessment concludes with a positive outlook on Salesforce's stock at its current market price. The firm's reiterated rating and price target reflect confidence in the company's strategic initiatives and their potential to enhance Salesforce's market position in the coming years. In other recent news, Salesforce reported strong second-quarter earnings, with earnings per share reaching $2.56, surpassing the consensus estimate of $2.36 and the previous year's figure of $2.12. The company also noted an 8% increase in sales, driven by a 9% rise in subscription and support revenues. Salesforce has also entered into a definitive agreement to acquire Own Company, a provider of data protection and management solutions, for $1.9 billion in cash. In the analyst realm, Truist Securities, Mizuho Securities, and Evercore ISI maintained their positive ratings on Salesforce, while Erste Group downgraded the stock from Buy to Hold due to projected slower growth. The analysts highlighted Salesforce's potential for continued growth, driven by various strategic moves and product innovations. Other recent developments include Salesforce's partnership with IBM (NYSE:IBM) to integrate advanced AI capabilities into its platform, and the launch of Agentforce, an AI-driven suite of autonomous bots. Salesforce also reported a significant increase in the adoption of its Data Cloud platform, with a 130% year-over-year growth in its paid customer base. As Salesforce.com (NYSE:CRM) continues to innovate with offerings like Agentforce, InvestingPro data underscores the company's solid financial health and strategic market positioning. Salesforce boasts a perfect Piotroski Score of 9, indicating robust financial conditions, which could give investors added confidence in the company's ability to execute its growth plans effectively. Additionally, Salesforce's aggressive share buyback strategy, as noted by InvestingPro Tips, suggests that management is confident in the company's value proposition and future prospects. This aligns with the positive sentiments expressed by Baird. Moreover, with 23 analysts revising their earnings upwards for the upcoming period, there is a clear expectation of continued financial performance improvement. InvestingPro also highlights Salesforce's impressive gross profit margins, a testament to the company's operational efficiency and pricing power. While the company trades at a high earnings multiple, this could reflect the high growth potential that analysts see in the firm, especially with new product launches like Agentforce on the horizon. For investors seeking more detailed analysis, additional InvestingPro Tips are available, offering deeper insights into Salesforce's market dynamics and financial metrics.

Salesforce stock holds price target, buy rating with new AI focus By Investing.com

On Friday, BofA Securities maintained a Buy rating on Salesforce.com (NYSE:CRM) shares with a steady price target of $325.00. The endorsement comes after Salesforce's Dreamforce conference in San Francisco, where the company spotlighted its new autonomous agents, Agentforce, previously known as Einstein Copilot. This addition is a significant enhancement to Salesforce's AI offerings, complementing Data Cloud and Agent Builder, tools for data management and custom agent development, respectively. During the event, BofA Securities gathered insights from conversations with a dozen key partners, revealing a promising early interest in Agentforce. This has reportedly led to a growing pipeline of deals for Data Cloud. The conference also shone a light on stable activity in Salesforce's Sales and Service Cloud and highlighted the strength of Mulesoft and industry-specific clouds. Partners at the conference indicated a surge in the Slack pipeline, attributed to its tighter integration within the Salesforce ecosystem and the introduction of new AI features. These developments suggest a positive outlook for Salesforce's suite of products and services, with Agentforce being a notable driver of future growth. The analyst's report underscores the potential for Agentforce to enhance Salesforce's AI stack, which is becoming an increasingly critical component for businesses seeking to leverage artificial intelligence. With the positive feedback from partners, Salesforce appears well-positioned to capitalize on this burgeoning demand. Salesforce's strategic focus on AI and the integration of Slack demonstrates the company's commitment to innovation and its efforts to remain at the forefront of the customer relationship management (CRM) industry. The maintained price target of $325.00 by BofA Securities reflects confidence in Salesforce's direction and its ability to deliver value to its customers and investors alike. In other recent news, Salesforce.com has reported robust second-quarter earnings, with earnings per share reaching $2.56, surpassing the consensus estimate of $2.36. The company also saw an 8% increase in sales, primarily driven by a 9% rise in subscription and support revenues. In addition, Salesforce entered a definitive agreement to acquire Own Company, a provider of data protection and management solutions, for $1.9 billion in cash. Salesforce's recent DreamForce conference showcased Agentforce, a major development in AI Agent platforms, which has been met with enthusiasm despite challenging market conditions. Analyst firms such as TD Cowen, Needham, and Baird have maintained their ratings on Salesforce, while Truist Securities revised its price target for Salesforce to $300, maintaining a Buy rating. However, Erste Group downgraded the stock from Buy to Hold due to projected slower growth. Recent developments include the launch of Agentforce, an AI-driven suite of autonomous bots, and a partnership with IBM (NYSE:IBM) to integrate advanced AI capabilities into its platform. Salesforce also reported a significant increase in the adoption of its Data Cloud platform, with a 130% year-over-year growth in its paid customer base. As Salesforce.com (NYSE:CRM) continues to make waves with its innovative AI offerings such as Agentforce, the InvestingPro data and tips provide a deeper understanding of the company's financial health and market position. Salesforce's market capitalization stands at a robust $255.62 billion, and it boasts an impressive gross profit margin of 76.35% over the last twelve months as of Q2 2025. This margin is a testament to the company's efficient operations and strong pricing power. Salesforce has demonstrated a solid revenue growth of 10.26% over the same period, signaling a consistent ability to expand its market share and product offerings. InvestingPro Tips highlight that Salesforce has a perfect Piotroski Score of 9, indicating a very healthy financial state, and that management has been actively buying back shares, a sign of confidence in the company's future prospects. Moreover, 23 analysts have revised their earnings upwards for the upcoming period, further underscoring the positive sentiment surrounding Salesforce's performance and strategic initiatives like Agentforce. For those interested in further analysis and tips, InvestingPro offers additional insights on Salesforce.com at InvestingPro Salesforce. The data and insights from InvestingPro reinforce the optimistic outlook presented by BofA Securities, painting a picture of a company that is not only leading in innovation but also demonstrating solid financial metrics and garnering confidence from both management and analysts alike.