Salesforce Beats Q2 Earnings, 6 Analysts Raise Forecasts For This ‘Under-Appreciated AI Winner’

Shares of Salesforce Inc (NYSE:CRM) climbed in early trading on Thursday before sliding on the heels of an upbeat second-quarter financial report.

Here are some key analyst takeaways.

Check out other analyst stock ratings.

Goldman Sachs analyst Kash Rangan maintained a Buy rating, while lifting the price target from $315 to $325.

• Salesforce’s quarterly results came as a “relief for investors,” as they affirmed a “stabilizing demand environment” and the reiteration of the full-year revenue guidance de-risks the back half, Rangan said.
• The number of paid Data Cloud customers grew 130%, the company signed 1,500 AI deals, and bookings for AI products more than doubled sequentially, the analyst stated. “We continue to see Salesforce as an under-appreciated AI winner as its differentiated data and early success in creating/deploying Gen-AI agents can solidify Salesforce’s first mover advantage in enterprise-grade Gen-AI applications.”

Stifel analyst Parker Lane reiterated a Buy rating, while raising the price target from $300 to $320.

• Contrary to the previous quarter, Salesforce delivered stronger bookings and cRPO (current remaining performance obligation) figures, “driven by improved sales execution and early renewal favorability,” Lane said. Agentforce, Einstein-powered genAI agents across Salesforce’s product portfolio, was “front-and-center on the call,” he added.
• The company continued to witness strong trends in Data Cloud, the analyst stated. “We continue to believe Salesforce is well-positioned to be a leader in delivering genAI solutions to enterprises, and are pleased with the company’s progress from a profitability standpoint,” he further wrote.

DA Davidson analyst Gil Luria reaffirmed a Neutral rating, while raising the price target from $230 to $250.

• Salesforce generated total revenues of $9.33 billion, beating consensus of $9.23 billion, “driven by resilient core product …

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