In a report released today, Bradley Sills from Bank of America Securities reiterated a Buy rating on Salesforce, with a price target of $325.00.
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Bradley Sills has given his Buy rating due to a combination of factors including Salesforce’s expected revenue and cRPO growth, which are anticipated to align with estimates. Despite a slower start to the year, deal activity in Q2 was consistent with expectations, with no fundamental deterioration observed. This stability is attributed to customers pausing digital transformation projects for evaluation rather than a decline in demand.
Furthermore, the outlook for the second half of the year appears promising, driven by advancements in AI and analytics. Key trends include the transition of Agentforce POCs to deployment, growth in Data Cloud, improved MuleSoft deal activity, and continued strength in Sales and Service clouds. The gradual adoption of Agentforce is expected to create a predictable pipeline, and with sentiment and expectations currently low, the downside risk at the current valuation is limited.
In another report released yesterday, Evercore ISI also maintained a Buy rating on the stock with a $360.00 price target.