Analyst Reaffirms Buy Rating on Salesforce Stock

Top Citizens JMP analyst Patrick Walravens reaffirmed a Buy rating and $430 target on Salesforce ahead of Q2 results, citing long-term confidence in the stock.

In a note to clients, Walravens cited 29 fresh data points gathered on Salesforce’s business, 62% of which were positive, a notable uptick from 47% last quarter. The findings suggest resilience, even as the stock has dropped 26% year to date, underperforming both the S&P 500 and the Russell 3000, which have gained 9% and 8%, respectively.

The drop in CRM stock comes as investors are worried about the company’s slowing revenue growth and cautious enterprise spending. In Q1 of fiscal 2026, revenue rose just 7.7%, and earnings per share grew only 5.7%, a sharp slowdown compared to previous double-digit growth.

Also, they are concerned about whether Salesforce can keep up as tech shifts more toward AI. At the same time, competition is heating up, with rivals Microsoft, Oracle, and newer AI-native platforms gaining ground in enterprise software. Another key concern is the pending acquisition of Informatica, which has raised uncertainty about integration and future strategy.

Despite these concerns, CRM is still pushing forward with its AI strategy. Its Agentforce platform and Data Cloud now contribute over $1 billion in annual recurring revenue. Also, the company has made major acquisitions recently, such as Regrello, Waii, and Bluebirds, to strengthen its AI offerings.

Turning to Wall Street, CRM stock has a Moderate Buy consensus rating based on 33 Buys, 10 Holds, and one Sell assigned in the last three months. At $346.65, the average Salesforce stock price target implies a 40.41% upside potential.