Salesforce (NYSE:CRM) Releases Q2 2027 Earnings Guidance

Salesforce (NYSE:CRM) updated its second quarter 2027 earnings guidance on Wednesday. The company provided earnings per share (EPS) guidance of 3.250-3.270 for the period, compared to the consensus estimate of 3.070. The company issued revenue guidance of $11.3 billion-$11.4 billion, compared to the consensus revenue estimate of $11.4 billion. Salesforce also updated its FY 2027 guidance to 14.060-14.120 EPS.

Wall Street Analyst Weigh In

Several analysts recently weighed in on the company. Morgan Stanley dropped their price target on Salesforce from $398.00 to $287.00 and set an “overweight” rating for the company in a report on Monday, February 23rd. Northland Securities decreased their price target on Salesforce from $267.00 to $229.00 and set a “market perform” rating on the stock in a research note on Tuesday, March 10th. BTIG Research restated a “buy” rating and set a $255.00 price objective on shares of Salesforce in a research report on Tuesday. Bank of America initiated coverage on Salesforce in a research report on Monday, May 18th. They set an “underperform” rating and a $160.00 price objective on the stock. Finally, Cantor Fitzgerald restated an “overweight” rating on shares of Salesforce in a research report on Thursday, February 26th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-five have given a Buy rating, ten have assigned a Hold rating and three have issued a Sell rating to the company. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $274.12.

Salesforce Trading Down 0.7%

Shares of NYSE:CRM traded down $1.22 during midday trading on Wednesday, reaching $177.86. The company’s stock had a trading volume of 16,950,055 shares, compared to its average volume of 12,883,027. The firm has a market capitalization of $145.53 billion, a price-to-earnings ratio of 22.77, a PEG ratio of 1.25 and a beta of 1.14. The company has a debt-to-equity ratio of 0.18, a quick ratio of 0.76 and a current ratio of 0.76. The firm has a 50 day moving average price of $181.63 and a two-hundred day moving average price of $211.60. Salesforce has a fifty-two week low of $163.52 and a fifty-two week high of $278.81.

Salesforce (NYSE:CRM) last announced its quarterly earnings data on Wednesday, May 27th. The CRM provider reported $999.00 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.12 by $995.88. Salesforce had a return on equity of 15.38% and a net margin of 17.96%.Salesforce has set its FY 2027 guidance at 14.060-14.120 EPS and its Q2 2027 guidance at 3.250-3.270 EPS. As a group, analysts forecast that Salesforce will post 9.71 earnings per share for the current year.

Salesforce announced that its Board of Directors has approved a share repurchase plan on Monday, March 16th that permits the company to repurchase $25.00 billion in shares. This repurchase authorization permits the CRM provider to repurchase up to 14.1% of its shares through open market purchases. Shares repurchase plans are often a sign that the company’s board of directors believes its stock is undervalued.

Insider Transactions at Salesforce

In related news, Director David Blair Kirk bought 2,570 shares of the business’s stock in a transaction that occurred on Wednesday, March 18th. The shares were bought at an average price of $194.62 per share, with a total value of $500,173.40. Following the completion of the transaction, the director directly owned 13,689 shares in the company, valued at approximately $2,664,153.18. This represents a 23.11% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director Laura Alber acquired 2,571 shares of the business’s stock in a transaction on Thursday, March 19th. The shares were purchased at an average cost of $194.58 per share, for a total transaction of $500,265.18. Following the completion of the acquisition, the director directly owned 9,530 shares in the company, valued at approximately $1,854,347.40. The trade was a 36.94% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders own 3.50% of the company’s stock.

Trending Headlines about Salesforce

Here are the key news stories impacting Salesforce this week:

• Positive Sentiment: Shares are moving up ahead of earnings as traders and analysts look for signs that Salesforce can stabilize growth and reassure investors that AI will support, rather than disrupt, the enterprise software model.
• Positive Sentiment: Jefferies expects an in-line quarter and sees revenue and current remaining performance obligations rising, which supports the view that underlying demand remains solid. Article Title
• Positive Sentiment: BTIG reaffirmed a Buy rating and set a $255 price target, suggesting meaningful upside if the company delivers a constructive outlook. Article Title
• Positive Sentiment: Some bullish commentary argues Salesforce is undervalued and that AI-related products are beginning to drive stronger monetization and cash flow, which could help sentiment if the company confirms progress on the call.
• Neutral Sentiment: Traders are expecting a large post-earnings move, so the stock may stay volatile after results as investors react to guidance more than just the headline numbers.
• Negative Sentiment: Bearish AI-related research from Bank of America highlights a key investor concern: AI could be a growth risk for Salesforce if customers shift spending patterns or adoption fails to meaningfully accelerate. Article Title

Hedge Funds Weigh In On Salesforce

Several institutional investors have recently modified their holdings of CRM. Brighton Jones LLC grew its holdings in shares of Salesforce by 13.7% in the fourth quarter. Brighton Jones LLC now owns 25,668 shares of the CRM provider’s stock valued at $8,582,000 after acquiring an additional 3,102 shares in the last quarter. Revolve Wealth Partners LLC raised its position in shares of Salesforce by 12.6% in the fourth quarter. Revolve Wealth Partners LLC now owns 1,827 shares of the CRM provider’s stock worth $611,000 after buying an additional 205 shares in the last quarter. Bison Wealth LLC raised its position in shares of Salesforce by 9.0% in the fourth quarter. Bison Wealth LLC now owns 2,234 shares of the CRM provider’s stock worth $747,000 after buying an additional 184 shares in the last quarter. Sivia Capital Partners LLC raised its position in shares of Salesforce by 3.7% in the second quarter. Sivia Capital Partners LLC now owns 2,958 shares of the CRM provider’s stock worth $807,000 after buying an additional 106 shares in the last quarter. Finally, United Bank raised its position in shares of Salesforce by 5.2% in the second quarter. United Bank now owns 10,198 shares of the CRM provider’s stock worth $2,781,000 after buying an additional 500 shares in the last quarter. 80.43% of the stock is owned by institutional investors.

Salesforce Company Profile

Salesforce, founded in 1999 and headquartered in San Francisco, is a global provider of cloud-based software focused on customer relationship management (CRM) and enterprise applications. The company popularized the software-as-a-service (SaaS) model for CRM and has built a broad portfolio of products designed to help organizations manage sales, service, marketing, commerce and analytics through a unified, cloud-first platform.

Core offerings include Sales Cloud for sales automation, Service Cloud for customer support, Marketing Cloud for digital marketing and engagement, and Commerce Cloud for e-commerce.