Salesforce, Inc. (CRM), the cloud computing giant, is gearing up to announce its third-quarter earnings results after the market closes on Tuesday, December 3rd. The anticipation is high, with analysts projecting robust growth compared to the same period last year. Earnings per share are expected to reach $2.45, a significant jump from $2.11 in Q3 2023. Revenue is projected to hit $9.35 billion, exceeding last year’s $8.72 billion, according to Benzinga Pro data. This robust projected growth underscores continued confidence in Salesforce’s market position and its ability to drive revenue in a dynamic business environment.
Adding to the positive outlook, Salesforce recently unveiled Agentforce Testing Center, a groundbreaking tool designed to streamline the management of artificial intelligence (AI) agent lifecycles. This innovative system is poised to reshape how businesses leverage and manage autonomous agent technology, providing a significant competitive advantage in the rapidly evolving AI landscape. The introduction of such a sophisticated AI management tool signals Salesforce’s commitment to innovation and its forward-thinking approach to the technology sector.
Despite this positive news, Salesforce shares experienced a minor dip, closing at $329.99 on Friday, down 0.01%. However, several leading analysts remain bullish on the company’s prospects. A review of recent analyst ratings reveals a generally optimistic sentiment. Piper Sandler’s Brent Bracelin, boasting a 76% accuracy rate, maintained an Overweight rating and raised the price target from $325 to $395 on December 2nd. This represents a strong vote of confidence, suggesting significant upside potential for the stock.
Other prominent analysts echo this positive sentiment. Citigroup’s Tyler Radke (73% accuracy rate) maintained a Neutral rating but increased the price target to $368 from $290. Similarly, Truist Securities’ Terry Tillman (70% accuracy rate) maintained a Buy rating, raising the price target from $315 to $380. Wedbush’s Daniel Ives (80% accuracy rate), known for his strong track record, maintained an Outperform rating and increased the price target from $325 to $375. Finally, UBS analyst Karl Keirstead (77% accuracy rate) maintained a Neutral rating while boosting the price target from $275 to $360. The consistency of price target increases, even from analysts maintaining neutral ratings, highlights a broader belief in Salesforce’s growth potential.
The convergence of strong earnings expectations, a game-changing AI tool, and positive analyst ratings paints a compelling picture for Salesforce’s upcoming earnings announcement. While the slight dip in share price might seem concerning, the overall outlook remains promising for investors considering CRM stock. The upcoming earnings release will be a key event to watch for confirmation of these projections and further insight into Salesforce’s future trajectory.
