Salesforce initiated with an Equal Weight at Stephens

Stephens analyst Brett Huff initiated coverage of Salesforce (CRM) with an Equal Weight rating and $311 price target as part of a broader research note launching coverage on Application and Enterprise Software names. The firm notes that the company has correctly made a very large bet on AI and is likely monetizing AI best of its covered companies, the analyst tells investors in a research note. Stephens adds however that Salesforce systems are older legacy tech, which may make it harder to grow or maintain share in those markets, also stating that a large part of the AI excitement is built into the stock’s current valuation of 6.3-times on enterprise value to expected revenue basis.