UBS Group Reiterates "Neutral" Rating for Salesforce (NYSE:CRM)

Key Points

• UBS Group reaffirmed its "Neutral" rating on Salesforce, even as several other analysts remain more bullish with multiple buy ratings and a consensus Moderate Buy view.
• Salesforce stock was down 1.7% and opened at $161.74, near its 52-week low of $160.50 and well below its 52-week high of $276.80.
• The company recently beat quarterly expectations, reporting $3.88 EPS on $11.13 billion in revenue, while also maintaining a large $25 billion share repurchase plan and pursuing AI growth through its planned acquisition of Fin.

Salesforce (NYSE:CRM - Get Free Report)'s stock had its "neutral" rating reaffirmed by stock analysts at UBS Group in a research note issued to investors on Tuesday,MarketScreener reports.

A number of other analysts have also recently weighed in on CRM. Roth Mkm restated a "buy" rating and issued a $325.00 price target on shares of Salesforce in a research note on Thursday, May 28th. BTIG Research reaffirmed a "buy" rating and set a $255.00 price objective on shares of Salesforce in a research report on Tuesday, May 26th. Wells Fargo & Company cut their target price on Salesforce from $210.00 to $200.00 and set an "equal weight" rating on the stock in a research report on Thursday, May 28th. KeyCorp decreased their target price on Salesforce from $300.00 to $290.00 and set an "overweight" rating for the company in a research note on Thursday, May 28th. Finally, The Goldman Sachs Group reaffirmed a "buy" rating and issued a $281.00 price target on shares of Salesforce in a report on Thursday, February 26th. One analyst has rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating, ten have given a Hold rating and two have issued a Sell rating to the company's stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $259.26.

Salesforce Trading Down 1.7%

NYSE CRM opened at $161.74 on Tuesday. Salesforce has a 52 week low of $160.50 and a 52 week high of $276.80. The firm has a 50 day moving average of $179.14 and a two-hundred day moving average of $205.79. The company has a quick ratio of 0.79, a current ratio of 0.79 and a debt-to-equity ratio of 1.15. The stock has a market capitalization of $132.47 billion, a PE ratio of 18.72, a price-to-earnings-growth ratio of 1.02 and a beta of 1.16.

Salesforce (NYSE:CRM - Get Free Report) last announced its quarterly earnings data on Wednesday, May 27th. The CRM provider reported $3.88 earnings per share for the quarter, beating analysts' consensus estimates of $3.13 by $0.75. The business had revenue of $11.13 billion for the quarter, compared to analyst estimates of $11.05 billion. Salesforce had a net margin of 18.73% and a return on equity of 18.72%. The company's revenue was up 13.3% on a year-over-year basis. During the same period last year, the business earned $2.58 EPS. Salesforce has set its FY 2027 guidance at 14.060-14.120 EPS and its Q2 2027 guidance at 3.250-3.270 EPS. As a group, research analysts expect that Salesforce will post 10.29 EPS for the current fiscal year.

Salesforce announced that its board has approved a stock repurchase plan on Monday, March 16th that allows the company to repurchase $25.00 billion in shares. This repurchase authorization allows the CRM provider to reacquire up to 14.1% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company's board of directors believes its shares are undervalued.

Insider Activity at Salesforce

In other Salesforce news, Director Laura Alber bought 2,571 shares of Salesforce stock in a transaction dated Thursday, March 19th. The stock was acquired at an average cost of $194.58 per share, with a total value of $500,265.18. Following the completion of the acquisition, the director owned 9,530 shares of the company's stock, valued at approximately $1,854,347.40. This represents a 36.94% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 3.50% of the company's stock.

Institutional Trading of Salesforce

Hedge funds have recently added to or reduced their stakes in the stock. Commonwealth Retirement Investments LLC acquired a new stake in shares of Salesforce during the fourth quarter worth $25,000. Board of the Pension Protection Fund acquired a new position in Salesforce in the 4th quarter valued at $26,000. Key Capital Management INC purchased a new position in Salesforce during the 4th quarter worth $26,000. Gilpin Wealth Management LLC acquired a new stake in Salesforce in the fourth quarter valued at about $26,000. Finally, Legacy Bridge LLC acquired a new stake in shares of Salesforce in the 4th quarter valued at approximately $27,000. 80.43% of the stock is owned by institutional investors and hedge funds.

Key Headlines Impacting Salesforce

Here are the key news stories impacting Salesforce this week:

• Positive Sentiment: Salesforce announced a $3.6 billion acquisition of Fin, an AI customer-service platform, which analysts say strengthens its Agentforce strategy and supports its push into the fast-growing agentic AI market. Salesforce to acquire AI customer service company Fin for $3.6B
• Positive Sentiment: Several analysts remained constructive, with buy ratings reaffirmed and price targets such as $225 and $250 implying meaningful upside from current levels. This Analyst Believes Salesforce (CRM) Stock Is Trading At A 52% Discount
• Positive Sentiment: Supportive commentary also pointed to record cash generation, improving margins, and Salesforce’s $50 billion buyback plan as evidence the company can keep rewarding shareholders while funding AI growth. Can CRM's Record Cash Generation Support Robust Shareholder Returns?
• Neutral Sentiment: The latest quarter showed solid execution, with revenue up 13.3% year over year and EPS above expectations, but investors remain focused on whether growth can reaccelerate in the second half of fiscal 2027.
• Neutral Sentiment: Some reports framed Salesforce as a cheaper valuation play after its sharp selloff, but the market is still waiting for clearer proof that AI monetization can translate into faster top-line growth. Salesforce (CRM) Stock Sees Fair Value Cut As Analysts Question AI Growth Path
• Negative Sentiment: A research update cut Salesforce’s fair value estimate by about 19.5%, reflecting investor skepticism about the pace of AI-driven growth and potential execution risk. Salesforce (CRM) Stock Sees Fair Value Cut As Analysts Question AI Growth Path
• Negative Sentiment: The stock’s heavy decline this year and move toward annual lows suggest investors are still worried that Salesforce’s acquisition-heavy strategy may not be producing the expected payoff. Salesforce stock wipeout hits $212B as acquisition spree backfires

Salesforce Company Profile

Salesforce, founded in 1999 and headquartered in San Francisco, is a global provider of cloud-based software focused on customer relationship management (CRM) and enterprise applications. The company popularized the software-as-a-service (SaaS) model for CRM and has built a broad portfolio of products designed to help organizations manage sales, service, marketing, commerce and analytics through a unified, cloud-first platform.

Core offerings include Sales Cloud for sales automation, Service Cloud for customer support, Marketing Cloud for digital marketing and engagement, and Commerce Cloud for e-commerce.

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