Here's How Much Salesforce Stock Is Expected to Move After Earnings

Salesforce shares have lost more than a fifth of their value since the start of the year. Joan Cros / NurPhoto / Getty Images Close Key Takeaways Salesforce is due to report earnings Wednesday afternoon, with the software maker’s stock seen potentially jumping to its highest point since January in the following days. Analysts expect Salesforce to report growing sales and profits, as the company looks to prove to investors that its business isn’t being disrupted by AI. Get personalized, AI-powered answers built on 27+ years of trusted expertise. Ask anything to get started... ASK Salesforce is scheduled to report earnings after the closing bell on Wednesday, with the software maker’s stock seen potentially reaching its highest point since January following the results. Based on current options pricing, Salesforce ( CRM ) shares are seen swinging up to 7% in either direction by the end of the week. From Thursday’s close, a move of that size could see shares rise as high as $220, their highest point since January, or drag them below $191. Shares of Salesforce have lost more than a fifth of their value since the year began. Salesforce, along with many other software stocks, have been pressured by fears that growing AI adoption could lead companies to build their own tools and cut back spending on external software. Why This Matters to Investors Investors and analysts will likely be watching Wednesday’s report for signs Salesforce’s business isn’t being disrupted by AI. Earlier this month, JPMorgan analysts relaunched their coverage of Salesforce with an “overweight” rating and $250 price target, anticipating an acceleration in Salesforce’s core business in the second half of the year, and that AI disruption could be “limited to a small portion of the business.” Salesforce is projected to report second-quarter revenue of $11.33 billion, up about 11% year-over-year, according to estimates compiled by Visible Alpha. Adjusted earnings per share are seen coming in at $3.28, up from $2.91 the same time a year ago. Related Education Understanding SaaS: Definition, Benefits, and Examples How to Trade Options Wall Street analysts are more bullish than bearish on Salesforce. Of the 18 analysts tracked by Visible Alpha, 12 consider it a “buy,” while five have neutral ratings, and only one has issued a “sell” rating. Their average price target of $252 would suggest more than 20% upside from Thursday’s close. Do you have a news tip for Investopedia reporters? Please email us at [email protected] Article Sources Investopedia requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate. You can learn more about the standards we follow in producing accurate, unbiased content in our editorial policy. Salesforce. “ Salesforce Announces Date of Second Quarter Fiscal 2027 Earnings Release and Webcast .” JPMorgan. “Move to OW Rating Due to Overblown Concerns and Shares Pricing in Further Deceleration Rather Than Progress Toward Rule of 50 in FY30; Price Target of $250.” Take the Next Step to Invest Advertiser Disclosure × The offers that appear in this table are from partnerships from which Investopedia receives compensation. This compensation may impact how and where listings appear. Investopedia does not include all offers available in the marketplace. Get personalized, AI-powered answers built on 27+ years of trusted expertise. ASK Read more News Company News Tech Sector News Partner Links Take the Next Step to Invest Advertiser Disclosure × The offers that appear in this table are from partnerships from which Investopedia receives compensation. This compensation may impact how and where listings appear. Investopedia does not include all offers available in the marketplace.