Salesforce

Salesforce (CRM) is in a slightly stronger “operating environment” in Q4 with stock valuation at reasonable levels, given its growth prospects and cash generation, Oppenheimer said in an earnings preview Friday. The cloud-based software company is expected to deliver positive Q4 results that should “exceed a low bar” and constructive updates on Agentforce, although guidance may fall short of some investors’ estimates, Oppenheimer said. The company is due to report Q4 results on Wednesday. Oppenheimer analysts said they project revenue of about $10 billion for Q4 and predict $2.60 in earnings per share for the quarter. Investor sentiment on Salesforce turned more cautious this year due to a sales leadership transition that may affect the company’s go-to-market approach in 2025, as well as the uncertain timing of revenue from Agentforce, the investment firm said. The upcoming departure of Salesforce’s president and COO was unexpected, raising worries about possible sales restructuring […]

Salesforce’s (CRM) Agentforce artificial intelligence platform is a “good” catalyst for the company this year even though initial deployments are small, Oppenheimer said in a Thursday note where the firm discussed its conversation with a Salesforce global system integrator. “The generative AI messaging and Agentforce cycles resonate with customers with greater investor appreciation for Salesforce’s AI positioning following,” Oppenheimer said. The firm said that some of the other catalysts for the company this year are topline reacceleration and continued margin growth. “While recognizing that sub-10% top-line growth and negative [foreign exchange] fluctuations are headwinds to higher estimates and multiples, we like the risk/reward profile,” the firm said. Oppenheimer maintained the company’s outperform rating and $415 price target.

By Tae Kim Salesforce will generate more revenue from its clients thanks to new artificial-intelligence features in its software for managing relations with customers, according to Wedbush Securities. On Thursday, analyst Daniel Ives reiterated his Outperform rating on the software company and raised his target for the stock price to $325 from $315. “We believe CRM will be a clear 2nd derivative beneficiary of the AI revolution,” he wrote. Salesforce shares rose 0.2% to $276.39 in afternoon trading Friday. The analyst said by adding new capabilities such as AI agents that can handle routine sales and service interactions, he estimates Salesforce could add more than $4 billion of revenue a year starting in 2025. Conversations with clients at the recent Salesforce Dreamforce conference indicate the company’s AI strategy is resonating with customers, he said. “We are incrementally more bullish on Salesforce given positive customer feedback,” he wrote. Salesforce shares are

Salesforce (CRM) unveiled a new business model in which it will charge $2 per conversation held by its new generative AI-powered bots, Bloomberg reported Tuesday. The business model represents a change for Salesforce from building human-assisting AI tools to increasing dependence on AI-powered bots, the Bloomberg report said.

Low expectations make for unfamiliar ground at Salesforce. Given the uncertainty that artificial intelligence has cast over the cloud software industry, they may also be welcome. As Salesforce kicks off its annual confab known as Dreamforce this week, the pioneer of the software-as-a-service — or SaaS — category finds itself with a lot to prove. Years of turbocharged revenue growth through relentless sales deals and acquisitions has finally slackened, with Salesforce’s revenue expected to rise at a single-digit percentage for the first time ever in the current fiscal year. That has put a bit of a cloud over the company’s stock price, which is down about 2% since the start of the year. At least Salesforce has plenty of company. Adobe, Workday, Atlassian and Snowflake are just a few of the SaaS providers that have seen their shares take a hit; the BVP Nasdaq Emerging Cloud Index has shed more

Salesforce shares erased trading day losses after the company raised full-year earnings guidance and logged strong second-quarter results. The stock rose 3.3% to $267.49 in after hours trading. Shares fell 2% during the day’s trading session. The business software provider said after the bell that revenue in the quarter ended July 31 jumped 8% to $9.33 billion, beating analyst projections for $9.22 billion, according to FactSet. Subscription and support revenue, which makes up most of the company’s business, rose 9% to $8.76 billion. Salesforce is maintaining its revenue outlook for the year, but lifted its adjusted earnings target to $10.03 to $10.11 a share from a prior range of $9.86 to $9.94 a share. Chief Financial Officer Amy Weaver said operating margins closed the second quarter at record highs. Separately on Wednesday, Salesforce said Weaver has decided to resign. She will vacate the C-suite once her successor is found and

The following is a summary of the Salesforce, Inc. (CRM) Q2 2025 Earnings Call Transcript: Financial Performance: Salesforce reported Q2 revenue of $9.33 billion, an 8% increase year-over-year in nominal and 9% in constant currency. Subscription and support revenue grew 9% year-over-year in nominal and 10% in constant currency. Non-GAAP operating margin reached 33.7%, a 210 basis point increase year-over-year. Operating cash flow for the quarter was $892 million, up 10% year-over-year. Business Progress: Salesforce introduced Agentforce, a new AI-driven platform set to enhance enterprise software automation and customer interaction. Data Cloud, Salesforce’s fastest growing product, continues to gain traction with a 130% year-over-year increase in paid customers and significant consumption growth. The company is prioritizing AI integration across its platforms, reflecting substantial innovation and improvements in functionality and efficiency. On the international front, strong growth was noted in Japan, India, and Canada. Opportunities: With the introduction of Agentforce, Salesforce

Salesforce, Inc. (NYSE:CRM) Q2 2025 Earnings Conference Call August 28, 2024 5:00 PM ET Company Participants Mike Spencer – EVP, Finance and Strategy, IR Marc Benioff – Chair and CEO Amy Weaver – President and CFO Brian Millham – President and COO Sabastian Niles – General Counsel Conference Call Participants Keith Weiss – Morgan Stanley Kash Rangan – Goldman Sachs Kirk Materne – Evercore ISI Brent Bill – Jefferies Operator Welcome to Salesforce’s Fiscal 2025 Second Quarter Results Conference Call. [Operator Instructions] I would now like to hand the conference over to your speaker, Mike Spencer, Executive Vice President of Finance and Strategy and Investor Relations. Sir, you may begin. Mike Spencer Good afternoon. Thanks for joining us today on our fiscal 2025 second quarter results conference call. Our press release, SEC filings and a replay of today’s call can be found on our website. Joining me on the call

$Salesforce (CRM.US)$ late Wednesday reported revenue that fell short of Wall Street estimates and offered a downbeat outlook for the ongoing three-month period, though earnings topped expectations. Revenue gained 11% to $9.13 billion, but fell short of the $9.15 billion consensus compiled by Capital IQ. Adjusted per-share earnings rose to $2.44 during the three months ended April 30 from $1.69 a year earlier, topping the Street view of $2.38. Subscription and support revenue gained 12% to $8.59 billion, while professional services and other fell to $548 million from $605 million. For the current quarter, Salesforce projects adjusted EPS of $2.34 to $2.36 on revenue between $9.2 billion and $9.25 billion. The Street’s view is $2.40 and $9.34 billion, respectively. Salesforce said it continues to expect fiscal 2025 revenue at $37.7 billion to $38 billion. The company now forecasts adjusted EPS of $9.86 to $9.94, up from the prior $9.68 to $9.76

Salesforce says customers are eager to get their hands on the company’s AI offerings, but tight budgets are getting in the way. COO Brian Millham says on a call with analysts that there is strong demand as companies recognize the value of AI-related offerings. He says CEOs are excited about the opportunity of using AI to improve operations. That said, he said the company is still seeing measured buying behavior. Salesforce saw elongated deal cycles, deal compression and significant scrutiny on budgets in the first quarter. Shares drop 17% to $225.30 post-market.

By Emily Bary Stock could notch steepest daily decline since 2008 as company sees ‘elongated deal cycles, deal compression and high levels of budget scrutiny’ Investors have been jittery about the software sector this year, and Salesforce Inc.’s latest earnings adds fuel to the fire. The company, seen as a juggernaut in the software industry, came up short with its quarterly revenue guidance, sending its shares sliding 17% in Wednesday’s after-hours trading. Such a decline, if it holds through Thursday’s close, would be the steepest for Salesforce shares (CRM) since they fell 18% on Aug. 21, 2008. In looking at the current quarter, Salesforce models $9.20 billion to $9.25 billion in revenue, as well as adjusted earnings per share of $2.34 to $2.36. That compares with a consensus view of $9.35 billion and $2.40, respectively. See also: Nvidia, AMD shares see their rallies cool. Will software stocks soon get their

Salesforce management held its full-year revenue guidance steady, despite a key leading indicator showing some weakness. Current remaining performance obligations, a proxy the company uses for deferred revenue and backlog, came in below Wall Street expectations, which can signal a hit to sales in future quarters. CFO Amy Weaver says on a call with analysts that the measured buying environment is incorporated in guidance, but the company has also seen strong product demand. Attrition rates remain healthy and the company is central to customers’ businesses, she says. “When I step back and really take a holistic view of the full year, we do feel confident that we will be within our guided range,” she says.