Key Takeaways
- Braze shares jumped 51% after Salesforce agreed to buy the company for $47.50 a share in cash, about $5.66 billion in enterprise value.
- Braze now trades just under the offer price, so the market expects the deal to close, which leaves little upside for shareholders.
- Braze shareholders and regulators still have to approve the deal, and it isn’t expected to close until Salesforce’s fiscal 2028.
- Salesforce shares fell 3%, while Braze rival Klaviyo jumped 12%.
Braze (BRZE) shares soared 51% today after Salesforce (CRM) agreed to buy the company for $47.50 a share in cash, about $5.66 billion in enterprise value.
That’s a 58% premium to Monday’s close. (Not a bad way to wake up.)
What exactly happened
Salesforce announced the deal at 8:00 a.m. ET, before the open. Braze’s board approved it unanimously. Co-founders Bill Magnuson (Braze’s CEO) and Jon Hyman, along with Battery Ventures’ Neeraj Agrawal, have also agreed to vote their shares for it, according to a voting agreement Braze filed this morning.
Salesforce wants Braze’s real-time engagement tools inside Marketing Cloud and Agentforce. Patrick Stokes, Salesforce’s President of Applications and Marketing, made the pitch:
“Braze was built to turn live customer behavior into personalized engagement at scale. Bringing that capability together with Salesforce Marketing Cloud, CRM, and Data 360 will deliver that wow moment in every customer interaction.”
A growth story at a growth price
Salesforce is getting a business that’s still growing fast. Braze’s revenue more than doubled in three years, to $738 million in the year ended January 2026. Analysts expect it to pass $1.2 billion by the year ending January 2029…
That growth doesn’t come cheap. At $47.50, Salesforce is paying close to 60x Braze’s expected earnings over the next twelve months. So I’m not shocked Salesforce shares slipped [3%] today.
TIKR tracks 21 analysts on Braze. How many say “Buy”?
See the full breakdown of Buy, Hold, and Sell ratings on Braze, along with Wall Street’s revenue and earnings estimates, all in one place. More than 500,000 investors use TIKR to research stocks like this one. See Braze’s Analyst Ratings
Not much left on the table
Even after today’s jump, Braze trades a few percent below the offer. That small gap is the market’s price for waiting and for the risk. Braze shareholders still have to vote, regulators have to approve, and the deal isn’t expected to close until Salesforce’s fiscal 2028, which starts in early February 2027.
The founders have already committed their votes, so regulatory approval is the bigger unknown. Even so, a gap that narrow says the market isn’t too worried about it.
The deal moved Braze’s rivals as well. Klaviyo (KVYO), which competes directly with Braze, jumped [12%]. My guess (and this is pure speculation) is that investors are betting Klaviyo, which is roughly Braze’s size, could be next on someone’s shopping list.
My take: Braze is priced like a done deal, and I think that’s the right read. For shareholders, nearly all the upside is already in the stock.
Of course, regulators still get a say, and that gap would widen quickly if they push back.
So what is Braze stock actually worth if the deal doesn’t go through?
TIKR lets you forecast the future price of any stock in less than a minute. Just enter a few assumptions into TIKR’s valuation model and see what Braze could be worth. Start from Wall Street consensus estimates, or adjust the inputs to reflect your own view of the business. It’s free to use.
Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any of the stocks mentioned. Thank you for reading, and happy investing!
