Salesforce’s Strong Financial Performance and Strategic Growth Drive ‘Buy’ Recommendation

Phillip Securities analyst Paul Chew maintained a Buy rating on Salesforce (CRM – Research Report) on June 2 and set a price target of $364.00.

Paul Chew has given his Buy rating due to a combination of factors that highlight Salesforce’s robust financial performance and strategic growth initiatives. The company’s revenue for the first quarter of fiscal year 2026 exceeded expectations, driven by strong demand in the subscription and support segment, particularly from small to medium-sized businesses. Additionally, Salesforce’s platform growth was bolstered by significant new annual contract values in Tableau and Mulesoft.
Furthermore, Salesforce’s operating margin showed improvement, attributed to operational efficiencies and strategic workforce adjustments. The company’s guidance for total revenue was also increased, reflecting favorable foreign exchange conditions. Overall, the combination of revenue growth, improved margins, and strategic investments in sales personnel supports the positive outlook, leading to the upgrade from an ‘Accumulate’ to a ‘Buy’ recommendation.

In another report released yesterday, DBS also maintained a Buy rating on the stock with a $377.00 price target.

Based on the recent corporate insider activity of 227 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of CRM in relation to earlier this year.