Salesforce ( (CRM) ) has been popular among investors this week. Here is a recap of the key news on this stock.
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Salesforce is at the center of Wall Street’s debate over how artificial intelligence will reshape the software industry, with opinions sharply divided on its stock. UBS analyst Karl Keirstead reiterated a Hold rating and set a $185 price target, only slightly above Salesforce’s recent $180.10 close, signaling caution in the near term despite the company’s strong position in cloud-based customer relationship management.
At the same time, broader analyst sentiment on Salesforce remains upbeat, with a Moderate Buy consensus and an average target of about $255, implying roughly 45% upside from current levels. Bank of America’s Tal Liani, however, is notably bearish, rating Salesforce Underperform and warning that AI could slow new customer growth, limit upselling, and make AI monetization harder, shifting the company from a high-growth play to a more mature cash generator.
Salesforce is aggressively integrating AI into its core platform through Agentforce, blending human agents with autonomous AI and unified data across its Customer 360 suite to automate sales, service, and marketing. The company is also landing notable contracts, including deals with the Veterans Health Administration, Merck Animal Health, and a $72 million award from the U.S. Air Force, reinforcing its relevance in critical enterprise and government workflows.
Despite this operational strength, Salesforce shares have dropped about 32% this year amid the broader “SaaSpocalypse” selloff, as investors worry that AI might erode demand for traditional software and that heavy AI spending may not quickly translate into higher revenue. Yet the stock’s pullback has left it trading well below the Street’s average price target near $255, creating a potential opportunity for investors who believe Salesforce can turn its AI strategy into sustainable growth.
Recent financial results highlight the tension between strong fundamentals and weak sentiment. In fiscal 4Q26, Salesforce posted $11.2 billion in revenue, up 12% year-over-year and slightly above expectations, with non-GAAP EPS of $3.81 beating forecasts by $0.76 and free cash flow jumping to $5.3 billion. With its next quarterly report due on May 27, the market will be watching closely to see whether the company can reassure skeptics and reignite enthusiasm for the stock.