GuruFocus News
09/16/2026 12:00
On October 6, 2023, Mizuho analyst Gregg Moskowitz maintained an “Outperform” rating on Salesforce CRM. The price target for CRM was raised to $280, reflecting a 5.66% increase from the prior target of $265.
- GF Value™ verdict: Salesforce is currently 27.1% undervalued, with a GF Value™ of $343.08 compared to the current price of $250.00.
- GF Score™: 91/100, indicating strong overall performance and potential.
- Key financial signal: The P/E (TTM) ratio of 22.79 is significantly lower than its 5-year median P/E of 70.08, suggesting a favorable valuation.
What’s Behind the Analyst Rating?
The recent rating update from Mizuho reflects a growing confidence in Salesforce’s ability to navigate the competitive technology landscape. The increase in the price target indicates that analysts believe the company’s growth trajectory remains robust, supported by its innovative cloud-based CRM solutions. This positive sentiment is echoed by other analysts, with multiple firms maintaining “Buy” or “Overweight” ratings, further solidifying the outlook for CRM.
Salesforce Inc. is a leading provider of customer relationship management CRM software, primarily delivered through the cloud on a subscription basis. With a market capitalization of approximately $205.75 billion, Salesforce operates within the technology sector, specifically in the software industry. The company’s diverse offerings, including Sales Cloud, Service Cloud, and the Customer 360 platform, position it well to serve organizations of all sizes across various industries.
Is CRM Overvalued or Undervalued?
According to GuruFocus, Salesforce’s GF Value™ is calculated at $343.08, which indicates that the stock is currently 27.1% undervalued compared to its market price of $250.00. This margin of safety suggests that investors may have an opportunity to acquire shares at a discount relative to their intrinsic value. Furthermore, the P/E (TTM) ratio of 22.79 is significantly lower than the 5-year median P/E of 70.08, reinforcing the notion that CRM is trading at a favorable valuation. For more insights, visit the GF Value™ page.
What Does CRM’s GF Score™ Tell Us?
The GF Score™ is a comprehensive measure that evaluates a company’s financial strength, profitability, growth potential, valuation, and momentum. Salesforce’s impressive GF Score™ of 91/100 highlights its strong position in these areas, particularly in profitability and growth, where it ranks 9/10 and 10/10, respectively. However, its momentum rank of 5/10 indicates that there may be room for improvement in this area.
| Metric | Rating |
|---|---|
| GF Score™ | 91 |
| Financial Strength | 5/10 |
| Profitability | 9/10 |
| Growth | 10/10 |
| Valuation | 8/10 |
| Momentum | 5/10 |
Salesforce’s strengths lie in its exceptional growth and profitability metrics, indicating a strong operational performance. However, the moderate momentum score suggests that while the company is performing well, it may not be experiencing rapid price appreciation at this time. For further details, visit the CRM stock page.
What Are Gurus and Insiders Doing with CRM?
Salesforce has garnered interest from the investment community, with 19 gurus currently holding shares of CRM. In recent quarters, 9 gurus have added to their positions, while 9 have trimmed their holdings. This mixed activity indicates a balanced sentiment among institutional investors. Additionally, insider activity shows a significant sell value of $1,172,740 over the past three months, which may warrant further observation.
What This Means for Investors
Overall, Salesforce CRM presents a compelling investment opportunity, as indicated by its undervalued status and strong GF Score™. The combination of a favorable valuation and robust growth potential makes CRM an attractive consideration for investors looking to capitalize on the technology sector. For more detailed analysis, check out the CRM stock page.
Frequently Asked Questions
What is CRM’s GF Score™?
CRM’s GF Score™ is 91/100, indicating strong overall performance and potential across various financial metrics.
CRM is currently undervalued by 27.1%, with a GF Value™ of $343.08 compared to its current price of $250.00.
What do analysts recommend for CRM?
Analysts maintain a positive outlook on CRM, with multiple firms issuing “Buy” or “Outperform” ratings and raising price targets, reflecting confidence in the company’s future performance.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
Disclosures
I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.
