Wedbush has reaffirmed its "outperform" rating for Salesforce (CRM, Financial) and raised its price target from $315 to $325, representing a 17% increase from its current level. Salesforce recently launched Agentforce, allowing customers to build and deploy autonomous AI agents to handle various tasks. This new product has resonated well with clients and will be fully available on October 25.
According to Wedbush analyst Daniel Ives, the AI strategy of Salesforce has strongly resonated with its core customer base. The company offers an agent-first ecosystem capable of interacting across applications with both customers and employees. Ives believes that monetizing AI within Salesforce's extensive install base is a significant market opportunity, potentially adding over $4 billion in annual revenue.
Wedbush sees Salesforce as a secondary beneficiary of the AI revolution and anticipates that its stock price could rise by about $40 over the next 12 to 18 months.
However, Seeking Alpha analyst Yiannis Zourmpanos rates Salesforce as "hold," noting the company's high valuation and slowing revenue growth. He acknowledges Salesforce's strong profitability and expanding footprint in AI and multi-cloud solutions but cautions that investors need to consider if the current stock price is still reasonable given the valuation and growth rates.
Overall, Wall Street analysts give Salesforce a "moderate buy" rating with an average price target of $309.71, which is approximately 12% higher than its current level.
