What Analysts Think of Salesforce Stock Ahead of Earnings

Salesforce (CRM) is scheduled to report fiscal first-quarter results Wednesday, with analysts largely bullish, anticipating revenue of $9.75 billion and adjusted EPS of $2.55. Oppenheimer analysts cite "strong momentum" for Salesforce's AI platform, Agentforce, while Citi analysts await more data on its commercialization; price targets range from $320 to $400. Salesforce also announced it is acquiring Informatica (INFA) for $8 billion, expected to close in early fiscal year 2027.

Analysis

Salesforce is scheduled to report its fiscal first-quarter results after Wednesday's market close, an event keenly watched as its shares have declined approximately 17% year-to-date in 2025. Despite this pullback, analyst sentiment remains predominantly bullish, with 18 out of 23 Visible Alpha-tracked analysts assigning a "buy" or equivalent rating. Their consensus price target of roughly $361 suggests a 30% potential upside from Tuesday's closing price. For the quarter, Salesforce is expected to announce revenue of $9.75 billion, a year-over-year increase of about 7%, and adjusted earnings per share of $2.55, compared to $2.44 a year ago. Commentary on Salesforce's AI platform, Agentforce, is mixed: Oppenheimer analysts observe "strong momentum" and maintain a $380 price target, describing Salesforce as "one of the healthiest long-term profitable growth stories" in software, whereas Citi analysts have adopted a more cautious stance, lowering their target to $320 from $335, as they "await more meaningful data points" regarding Agentforce's commercialization. Other analysts, such as Deutsche Bank and Jefferies, maintain more bullish targets of $400 and $375, respectively. Strategically, Salesforce also announced its acquisition of Informatica (INFA), an AI-based data management software provider, for approximately $8 billion, a deal anticipated to close early in Salesforce's fiscal year 2027.

Key Decisions for Investors

• Investors should closely monitor Salesforce's upcoming earnings report and subsequent management commentary for detailed insights into Agentforce's commercial progress and the strategic rationale and integration plans for the Informatica acquisition.
• Given the divergence between the stock's recent underperformance and the largely positive analyst consensus, the earnings release and forward guidance will be critical in determining if a re-rating is warranted.
• Particular attention should be given to any updates on the macro environment's impact on customer relationship management software spending and specific metrics demonstrating the monetization of AI initiatives.