Guggenheim downgraded two big winners in software: Salesforce (CRM) and Palo Alto Networks (PANW). The firm believes Palo Alto has had "several questionable quarters," while Salesforce needs to acquire more assets to meaningfully monetize Agentforce.
Under the leadership of technology visionary Marc Benioff, Salesforce (CRM 0.79%) has become one of the most influential companies in the world of enterprise software.
Artificial intelligence-powered chatbots helped consumers purchase and return products during the 2024 holiday season, boosting online sales in the United States by nearly 4% year-over-year, according to a report by Salesforce.
Salesforce has been seen as an early AI winner, but a Guggenheim analyst worries about how the company and its peers will be able to monetize a technology that nearly everyone is offering.
When the closing bell rang on Dec. 31, professional and everyday investors had reason to cheer. The Dow Jones Industrial Average, S&P 500, and Nasdaq Composite respectively ended the year higher by 13%, 23%, and 29%, with all three indexes reaching multiple record-closing highs throughout 2024.
The latest trading day saw Salesforce.com (CRM) settling at $330.66, representing a -1.1% change from its previous close.
Artificial intelligence (AI) developments have accelerated in the last few years.
Recently, Zacks.com users have been paying close attention to Salesforce.com (CRM). This makes it worthwhile to examine what the stock has in store.
Technology stocks have helped power the current bull market, which is now a little over two years old. With the average bull market lasting approximately five and a half years, this group should have some solid room to keep running.
In a recent interview with Yahoo Finance, Salesforce CEO Marc Benioff touted the company's AI agents. But investors may not want to get too excited about them just yet.
Despite mixed Q3 results, CRM's stock surged due to the launch of Agentforce, which signed 200 deals in its first week. Agentforce 2.0, with advanced features and integrations, positions CRM to capitalize on the booming Enterprise AI market, projected to grow significantly. Valuation suggests a 22.5% upside, with a price target of $421, driven by Agentforce's traction and CRM's strategic acquisitions enhancing data quality and security.