GuruFocus News
09/17/2026 09:32
Salesforce CRM Analyst Rating Update
On October 3, 2023, Salesforce (CRM) received an updated analyst rating from Stifel, maintaining a “Buy” rating with the price target raised to $300 from a prior target of $275. This adjustment reflects a percentage increase of 9.09%.
- GF Value™ verdict: 29.4% undervalued (Current Price: $242.50 vs GF Value™: $343.34)
- GF Score™: 91/100, indicating strong overall performance
- Insider activity shows significant selling, with $1,172,740 in insider sell value over the last three months
What’s Behind the Analyst Rating?
The recent rating change by Stifel reflects confidence in Salesforce’s growth trajectory and market position. The increase in the price target suggests that analysts expect continued strong performance from the company, particularly in light of its robust product offerings and market demand for customer relationship management solutions. Other analysts have also shown optimism, with Mizuho and BTIG maintaining their positive ratings and adjusting their price targets upwards, indicating a consensus on Salesforce’s potential.
Salesforce Inc, headquartered in San Francisco, is a leading provider of cloud-based customer relationship management CRM software. With a market capitalization of approximately $199.58 billion, the company operates within the technology sector, specifically in the software industry. Its Customer 360 platform integrates various services, including sales, marketing, and customer support, making it a critical player for organizations looking to enhance customer engagement and operational efficiency.
Is CRM Overvalued or Undervalued?
According to GuruFocus, Salesforce’s GF Value™ is calculated at $343.34, indicating that the stock is currently 29.4% undervalued compared to its market price of $242.50. This margin of safety presents a compelling case for potential investors, as it suggests that the stock may be trading below its intrinsic value. Furthermore, the company’s P/E (TTM) stands at 22.1x, significantly lower than its 5-year median P/E of 70.08x, which further supports the notion that CRM is undervalued at its current price point. 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 GF Score™ of 91/100 highlights its strong performance across various metrics, particularly in profitability and growth, where it ranks 9 and 10, respectively. However, its momentum rank of 5 suggests that while the company is performing well, it may not be experiencing the same level of upward price momentum as some of its peers.
| 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 rankings, indicating a strong business model and operational efficiency. However, the moderate momentum rank suggests that the stock may be experiencing fluctuations in price performance, which investors should monitor closely. For further details, check the CRM stock page.
What Are Gurus and Insiders Doing with CRM?
Currently, 19 gurus hold shares of CRM, with 9 adding to their positions and 9 trimming their holdings in recent quarters. This mixed activity indicates a cautious but generally positive sentiment among institutional investors. Additionally, insider activity has shown significant selling, with a total of $1,172,740 in insider sell value over the last three months, which could be a point of concern for potential investors.
What This Means for Investors
The combination of a strong GF Value™ indicating undervaluation, a high GF Score™ reflecting solid financial health, and mixed guru sentiment suggests that Salesforce CRM presents a compelling case for investors looking for growth opportunities in the technology sector. However, the insider selling activity should be taken into account as part of a comprehensive investment strategy. For more detailed analysis, visit the CRM stock page.
Frequently Asked Questions
What is CRM’s GF Score™?
CRM’s GF Score™ is 91/100, indicating strong overall performance across various financial metrics.
CRM is currently undervalued by 29.4%, with a GF Value™ of $343.34 compared to its market price of $242.50.
What do analysts recommend for CRM?
Analysts maintain a “Buy” rating for CRM, with several increasing their price targets, reflecting confidence in the company’s growth potential.
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.
