Salesforce price target raised to $275 from $250 at Needham

Needham analyst Scott Berg raised the firm’s price target on Salesforce to $275 from $250 and keeps a Buy rating on the shares. The company’s Q3 results saw a beat on both the top and bottom line, but the most impressive highlight of the quarter was the acceleration in cRPO growth to 14.4%, which was well ahead of guidance and the highest since Q2 of last year, the analyst tells investors in a research note. AI functionality and Data Cloud, which saw the fastest growth of any Cloud at 22.3%, was “the most interesting” commentary as Salesforce is seeing monetization in AI, and this is likely encouraging for software investors skeptical if customers will pay for these technologies, Needham added.