Key Stats for Salesforce Stock
- Price Change: +4.03%
- Current Price: $191.75
- Valuation Model Target: $376.29
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What Happened?
Salesforce (CRM) shares are gaining massive momentum, trading near the $191.75 level after the enterprise software giant delivered a blowout fourth quarter that silenced fears of a structural slowdown in the SaaS sector.
The company reported phenomenal full-year revenue of $41.5 billion (up 10% year over year) and eclipsed a massive milestone by reaching $72 billion in total remaining performance obligation (RPO).
However, the real story is the explosive adoption of Agentforce, the company’s new AI agent platform.
In its first 15 months, Salesforce closed 29,000 Agentforce deals (up 50% quarter over quarter), driving total Agentforce and Data 360 Annual Recurring Revenue (ARR) to $2.9 billion.
Furthermore, CEO Marc Benioff detailed exactly how the transition from static applications to autonomous AI agents is fundamentally expanding the company’s total addressable market.
Benioff stated verbatim: “This level of financial performance is a clear signal that companies across every industry and region are investing in Salesforce to become Agentic enterprises. Our market is bigger than ever because not only selling apps, we’re selling apps and agents.”
Due to the company generating massive cash flow, the Board of Directors just authorized a staggering $50 billion share repurchase program to aggressively buy back stock at current valuations.
See analysts’ growth forecasts and price targets for Salesforce stock (It’s free!) >>>
Is Salesforce Undervalued Today?
The TIKR Model indicates that the market is severely underestimating the massive operational leverage and profitability Salesforce is achieving as it transitions into an AI infrastructure provider.
The model projects a massive target price of $376.29, representing an exceptional 96.2% potential total return from current levels.
Instead of relying solely on API calls and token consumption, Salesforce is fundamentally shifting how it measures enterprise value through a new metric: the Agentic Work Unit (AWU).
To date, AI agents on the Salesforce platform have delivered 2.4 billion AWUs, representing actual business tasks completed without human intervention, such as records updated, workflows triggered, and customer service inquiries resolved.
Furthermore, Chief Revenue Officer Miguel Milano explained exactly how this AI integration is allowing the company to aggressively monetize its massive installed base of over 100 million seats.
Milano stated verbatim: “We have found the formula to monetize AI. Number one is our large installed base of 100 millions of seats, we are upgrading to our premium SKUs that contain already embedded AI and unlimited access to agentic for employee use cases.”
Read the full Salesforce Transcript on TIKR to see the revenue breakdown >>>
Valuation Deep Dive
The TIKR Advanced Valuation Model identifies Salesforce as a cash-generating behemoth that has successfully engineered a highly profitable transition into the artificial intelligence era.
- Target Price: $376.29
- Current Price: $191.75
- Annualized Return (IRR): 14.6%
The $50 Billion Cash Cannon: Salesforce has evolved from a high-growth software company into a massive capital return machine. In fiscal year 2026, the company returned over $14 billion (99% of its free cash flow) to shareholders. By authorizing a massive new $50 billion share repurchase program alongside a 5.8% dividend increase, management is violently shrinking the outstanding share count while earnings continue to accelerate.
Surging Profitability and Margins: The transition to the “Agentic Enterprise” is not just driving top-line growth; it is creating structural margin expansion. According to the TIKR Historical Breakdown, Salesforce drove its Net Income Margin to an incredible 26.2% over the last year, massively outperforming its 10-year historical average of just 7.6%. As the company scales Agentforce without requiring proportionate increases in human headcount, this operational leverage provides a clear path to the $376.29 target.
Conclusion: A dominant software monopoly is successfully weaponizing its cash flow to conquer the enterprise AI market. Salesforce offers a highly compelling 96.2% projected total return potential. The path to the $376.29 target is paved by record RPO, a massive $50 billion buyback, and surging profitability driven by Agentforce.
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How Much Upside Does Salesforce Stock Have From Here?
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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 stocks mentioned. Thank you for reading, and happy investing!
