Evercore ISI has maintained its Outperform rating and $300.00 price target for Salesforce.com (NYSE: NYSE:CRM), following the company's annual Dreamforce keynote.
The event introduced Agentforce, Salesforce's new initiative to integrate intelligent, Gen AI agents into the enterprise environment. Agentforce is built on five foundational elements: established roles within Salesforce, data integration, workflow actions, communication channels, and a trust and security layer.
Agentforce Studio, a feature highlighted during the keynote, enables organizations to develop customer use cases and flows using low-code/no-code technology.
Salesforce also announced the creation of over 100 industry-specific agents to accelerate the implementation process for clients. Additionally, the Agentforce Partner Network was introduced to facilitate complex tasks across various third-party systems, including AWS, Google (NASDAQ:GOOGL) Cloud, and Zoom (NASDAQ:ZM).
Salesforce Foundations, an upgrade available at no additional cost for enterprise and higher editions, will support these new features. The company has set a pricing model at $2 per agent conversation, which is expected to provide a clear understanding of the value delivered by the Agentforce platform.
The pricing and the early customer case studies suggest a time-saving potential that could lead to meaningful adoption and financial impact over time.
Evercore ISI expressed continued belief in the return on investment (ROI) that Agentforce could bring, emphasizing the importance of this next phase in driving adoption and financial benefits for Salesforce.
In other recent news, Salesforce has reported strong second-quarter earnings, with earnings per share reaching $2.56, exceeding the consensus estimate of $2.36 and the previous year's figure of $2.12.
The company also noted an 8% increase in sales, majorly driven by a 9% rise in subscription and support revenues. Additionally, Salesforce announced a definitive agreement to acquire Own Company, a provider of data protection and management solutions, for $1.9 billion in cash, a move expected to strengthen the company's data security and compliance capabilities.
The company has seen changes in its stock rating, with Erste Group downgrading Salesforce's stock from Buy to Hold due to projected slower growth, while Deutsche Bank and CFRA maintained their Buy and Strong Buy ratings respectively. Salesforce has also reported advancements in partnerships with IBM (NYSE:IBM) and Google Cloud to enhance AI capabilities and collaborative efforts.
Furthermore, Salesforce recently launched Agentforce, an innovative suite of AI agents aimed at augmenting business efficiency across various operations. Lastly, Salesforce's CFO, Amy Weaver, announced her plans to step down in early 2025 but will assist in the search for her successor.
InvestingPro Insights
As Salesforce.com (NYSE:CRM) makes strides with its new Agentforce initiative, it's essential to consider the company's financial health and market position. According to InvestingPro data, Salesforce boasts a significant market capitalization of $243.96 billion, underlining its substantial presence in the software industry. The company's gross profit margin for the last twelve months as of Q2 2025 stands at an impressive 76.35%, showcasing its ability to maintain profitability amidst its innovative ventures. Furthermore, with a P/E ratio of 44.02, Salesforce is trading at a premium, reflecting investor confidence in its future growth prospects.
Two InvestingPro Tips that are particularly relevant to Salesforce's current developments include the company's perfect Piotroski Score of 9, indicating strong financial health, and the fact that 23 analysts have revised their earnings upwards for the upcoming period, signaling optimism in its operational performance. These insights suggest that Salesforce's Agentforce could be well-positioned to contribute to the company's continued success. For more detailed analysis and additional InvestingPro Tips, interested readers can explore further at https://www.investing.com/pro/CRM, where 14 more tips are available to provide a comprehensive understanding of Salesforce's market potential.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.