Yesterday, Microsoft (NASDAQ:MSFT) made a splash when it showed off its line of AI tools and told everyone just what they would cost. Now it’s just one day later, and Salesforce (NASDAQ:CRM) is rolling out its own line. The announcement had a similar effect on Salesforce shares, ticking up somewhat in Wednesday afternoon’s trading.
Pick the best stocks and maximize your portfolio:
- Discover top-rated stocks from highly ranked analysts with Analyst Top Stocks!
- Easily identify outperforming stocks and invest smarter with Top Smart Score Stocks
Salesforce’s AI tools will come out in three levels: Sales GPT, Service GPT and Einstein GPT. Sales GPT will come in at $50 per user per month, and with that $50, users get a limited amount of use with the Einstein GPT system, a generative AI tool. Meanwhile, Service GPT will have the exact same pricing structure as Sales GPT: $50 per user per month and a limited—though apparently similar—amount of time with Einstein GPT. Salesforce also plans to offer up “Enterprise Expansion” packs for Sales and Service, which will likely include more time with Einstein.
Interestingly, according to Mizuho analyst Gregg Moskowitz, this move was unexpected. Salesforce released early, according to the note Moskowitz put up. While there wasn’t a real surprise in terms of pricing for these packages, their arrival time was somewhat sooner than expected. Still, the news was good enough as far as Mizuho was concerned; sufficiently good, in fact, to hike the price target on Salesforce stock from $250 to $260.
And for the most part, analysts agree that Salesforce is looking sound. With 22 Buy ratings, 10 Holds, and one Sell, Salesforce is a Moderate Buy. Further, with an average price target of $236.63, Salesforce offers a meager 1.12% upside potential.
