Salesforce (NYSE:CRM) Stock Price Expected to Rise, BMO Capital Markets Analyst Says

Salesforce (NYSE:CRM) had its target price boosted by analysts at BMO Capital Markets from $230.00 to $260.00 in a research report issued to clients and investors on Thursday. The brokerage currently has an “outperform” rating on the CRM provider’s stock. BMO Capital Markets’ target price would suggest a potential upside of 6.52% from the stock’s current price.

Several other equities analysts have also issued reports on the company. The Goldman Sachs Group reiterated a “buy” rating on shares of Salesforce in a research note on Thursday. Erste Group Bank upgraded Salesforce from a “hold” rating to a “buy” rating in a research report on Wednesday, August 5th. Citizens Jmp reaffirmed a “market outperform” rating and issued a $315.00 price objective on shares of Salesforce in a research note on Tuesday. HC Wainwright cut Salesforce to a “negative” rating in a research report on Thursday, June 18th. Finally, HSBC boosted their target price on Salesforce from $350.00 to $356.00 and gave the stock a “buy” rating in a research note on Friday, May 29th. Two research analysts have rated the stock with a Strong Buy rating, twenty-eight have assigned a Buy rating, fifteen have assigned a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $254.33.

Salesforce Price Performance

Salesforce stock traded up $38.47 during trading hours on Thursday, reaching $244.09. 9,952,909 shares of the stock were exchanged, compared to its average volume of 13,603,953. The company has a current ratio of 0.79, a quick ratio of 0.79 and a debt-to-equity ratio of 1.15. Salesforce has a twelve month low of $146.32 and a twelve month high of $269.11. The company has a market cap of $199.91 billion, a P/E ratio of 28.16, a price-to-earnings-growth ratio of 1.11 and a beta of 1.16. The stock has a 50 day moving average of $177.13 and a two-hundred day moving average of $181.60.

Salesforce (NYSE:CRM) last issued its quarterly earnings results on Wednesday, August 26th. The CRM provider reported $5.90 earnings per share for the quarter, topping analysts’ consensus estimates of $3.27 by $2.63. The company had revenue of $11.35 billion during the quarter, compared to the consensus estimate of $11.33 billion. Salesforce had a net margin of 18.73% and a return on equity of 18.72%. The firm’s quarterly revenue was up 10.8% on a year-over-year basis. During the same quarter in the prior year, the firm posted $2.91 EPS. Salesforce has set its FY 2027 guidance at 16.670-16.710 EPS and its Q3 2027 guidance at 3.420-3.440 EPS. Equities analysts expect that Salesforce will post 10.27 EPS for the current fiscal year.

Institutional Investors Weigh In On Salesforce

Several institutional investors and hedge funds have recently made changes to their positions in the stock. California State Teachers Retirement System raised its position in shares of Salesforce by 13,260.5% in the 2nd quarter. California State Teachers Retirement System now owns 188,085,056 shares of the CRM provider’s stock worth $29,465,405,000 after acquiring an additional 186,677,290 shares in the last quarter. BlackRock Inc. bought a new stake in shares of Salesforce during the 2nd quarter valued at about $11,396,844,000. State Street Corp grew its stake in Salesforce by 1.3% during the fourth quarter. State Street Corp now owns 50,080,230 shares of the CRM provider’s stock worth $13,286,909,000 after purchasing an additional 659,573 shares during the period. J. Stern & Co. LLP increased its holdings in Salesforce by 24,056.7% in the fourth quarter. J. Stern & Co. LLP now owns 47,385,511 shares of the CRM provider’s stock worth $12,552,896,000 after purchasing an additional 47,189,352 shares in the last quarter. Finally, Capital International Investors increased its holdings in Salesforce by 13.3% in the fourth quarter. Capital International Investors now owns 22,721,010 shares of the CRM provider’s stock worth $6,019,199,000 after purchasing an additional 2,669,891 shares in the last quarter. Institutional investors and hedge funds own 80.43% of the company’s stock.

Key Stories Impacting Salesforce

Here are the key news stories impacting Salesforce this week:

• Positive Sentiment: Earnings beat expectations: Salesforce reported adjusted earnings of $5.90 per share, well above the $3.27 analyst consensus, while revenue rose 10.8% year over year to $11.35 billion, slightly exceeding estimates. Salesforce Q2 Earnings and Revenues Top Estimates
• Positive Sentiment: Raised outlook: Management increased fiscal 2027 guidance to $46.1 billion-$46.4 billion in revenue and $16.67-$16.71 in EPS. Third-quarter EPS guidance of $3.42-$3.44 also exceeds the $3.16 consensus, signaling confidence in sustained growth. Salesforce Raises Annual Revenue Forecasts on AI Product Momentum
• Positive Sentiment: AI adoption is accelerating: Agentforce annual recurring revenue reached $1.5 billion, and management said AI usage on the platform increased sixfold. These metrics help counter fears that generative AI could replace traditional enterprise software. Salesforce Q2 2027 Earnings Call Highlights
• Positive Sentiment: Anthropic partnership expands: Salesforce and Anthropic introduced “Claudeforce,” integrating Claude with Salesforce data, workflows and 37 prebuilt sales skills. The collaboration supports Salesforce’s effort to make AI agents a growth engine and reinforces its competitive positioning. Salesforce and Anthropic Announce Claudeforce
• Neutral Sentiment: Analyst sentiment improved: Needham reaffirmed its Buy rating with a $400 target, while Monness Crespi & Hardt raised its target to $266 and Cantor Fitzgerald maintained Overweight with a $250 target. These targets imply substantial upside but do not guarantee future performance.
• Negative Sentiment: Risks remain: Revenue growth remains near 11%, and Salesforce’s stock has been volatile amid concerns about AI-driven software disruption. The large investment gain cited in the quarter may also be less recurring than operating results.

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.