Salesforce is set to release its fiscal first-quarter results on Wednesday after the market closes, and analysts are largely optimistic about the company’s performance. A recent survey by Visible Alpha indicates that 18 out of 23 analysts maintain a “buy” or equivalent rating for Salesforce’s stock, with only four ratings labeled as “hold” and one as “sell.” The average price target stands at approximately $361, suggesting a potential upside of 31% from the current intraday level of $275.13. However, it’s important to note that Salesforce shares have experienced a decline of about 18% this year.
The cloud software giant is expected to report first-quarter revenue of $9.75 billion, reflecting a year-over-year increase of roughly 7%. The projected adjusted earnings per share is $2.55, up from $2.44 in the same period last year.
Oppenheimer analysts lauded Salesforce as one of the healthiest long-term growth stories in the software sector, highlighting strong momentum for the company’s AI platform, Agentforce. Despite the prevailing macroeconomic uncertainty, Oppenheimer maintains an optimistic price target of $380 for Salesforce shares.
Conversely, Citi analysts have adopted a more cautious stance, reducing their price target for Salesforce to $320 from $335 as they await more substantial information regarding the commercialization of Agentforce. Meanwhile, Deutsche Bank remains bullish with a target of $400, while Jefferies has set its target at $375.
In a significant development, Salesforce announced its acquisition of Informatica for approximately $8 billion. This move is part of Salesforce’s strategy to strengthen its offerings in AI-based data management, with the deal expected to close early in fiscal year 2027.
This promising outlook for Salesforce highlights the growing importance of AI in software development, particularly with the traction that Agentforce is gaining in the market. As companies continue to navigate a challenging economic landscape, Salesforce’s strategic investments and focus on innovation may position it well for future growth.