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With a market cap of $242.2 billion, Salesforce, Inc. (CRM) is a global leader in customer relationship management (CRM) technology, offering cloud-based solutions that help businesses of all sizes connect with their customers across sales, service, marketing, commerce, and more. The company provides a robust platform powered by AI, data, and automation to drive customer success and digital transformation. Shares of the San Francisco, California-based company have lagged behind the broader market over the past 52 weeks. CRM stock has dipped 15.1% over this time frame, while the broader S&P 500 Index ($SPX) has gained 17.5%. Moreover, shares of the company have decreased 24.4% on a YTD basis, compared to SPX's 15.6% rise. Looking closer, shares of the technology giant have also underperformed the Technology Select Sector SPDR Fund's (XLK) return of 30.1% over the past 52 weeks. Despite reporting better-than-expected Q2 2026 adjusted EPS of $2.91 and revenues of $10.2 billion on Sept. 3, shares of CRM fell 4.9% the next day as the company issued a weak Q3 revenue forecast of $10.24 billion - $10.29 billion, with the midpoint falling below the estimate. The guidance signaled delayed returns from its AI investments, including its new Agentforce platform, amid a tough macro environment and slower customer spending. For the fiscal year ending in January 2026, analysts expect CRM's EPS to grow 8.8% year-over-year to $8.58. The company's earnings surprise history is promising. It beat the consensus estimates in the last four quarters. Among the 50 analysts covering the stock, the consensus rating is a “Moderate Buy.” That’s based on 35 “Strong Buys,” two “Moderate Buy” ratings, 12 “Holds,” and one “Strong Sell.” This configuration is slightly less bullish than three months ago, with 36 “Strong Buy” ratings on the stock. On Oct. 8, Mizuho Securities analyst Gregg Moskowitz reaffirmed a “Buy” rating on Salesforce and maintained a $350 price target. The mean price target of $330.65 represents a 30.9% premium to CRM’s current price levels. The Street-high price target of $430 suggests a 70.2% potential upside.
