Salesforce Inc (NYSE:CRM) stock has been on a recent tear with gains of 18.5% over the last month, a move the company hopes to expand upon with second-quarter financial results being reported Wednesday after market close.
Here are the earnings estimates, what experts are saying and key items to watch.
Salesforce Q2 Earnings Estimates
Analysts expect Salesforce to report second-quarter revenue of $11.32 billion, up from $10.24 billion in last year’s second quarter, according to data from Benzinga Pro.
The company has beaten analyst estimates for revenue in two straight quarters and in seven of the last 10 quarters overall.
Analysts expect Salesforce to report second-quarter earnings per share of $3.27, up from $2.91 in last year’s second quarter.
The company has beaten analyst estimates for earnings per share in six straight quarters and in nine of the last 10 quarters overall.
What Experts are Saying
Salesforce stock has traded lower after five of the last eight earnings reports, according to Freedom Capital Markets Chief Market Strategist Jay Woods.
"Salesforce earnings reactions have caused investors agita despite the fact that they consistently beat analyst expectations," Woods said in a weekly newsletter.
Woods said the keys to watch in this quarter are Agentforce and Data 360, with investors wanting "evidence" that both can accelerate organic growth, instead of just replacing revenue from other Salesforce subscription products.
"Just as important will be guidance, particularly whether management can deliver the second-half growth acceleration it promised."
Looking at the chart, Woods highlights the $208 area which matches up with resistance levels and June highs.
Here are recent analyst ratings on Salesforce stock and their price targets:
- Citizens: Maintained Outperform rating, with price target of $315
- Canaccord Genuity: Maintained Buy rating, with price target of $225
- BTIG: Maintained buy rating, with price target of $255
- BMO Capital: Maintained Outperform rating, raised price target from $215 to $230
Key Items to Watch
First quarter revenue was up 13% year-over-year with the company also reporting remaining performance obligations of $67.9 billion, up 11% year-over-year.
Those will be among the key items to watch in the second quarter results, with investors and analysts hoping to see double-digit revenue growth and strong remaining performance obligations.
That first quarter saw record revenue, record deals and record cash flow.
Salesforce CEO Marc Benioff called Agentic AI the "biggest growth opportunity for our customers" after the first quarter results.
Investors and analysts will be looking for and listening for clues on the conference call for how the company’s AI products and initiatives are being monetized.
Salesforce has been viewed as one of the companies that can be disrupted and lose business to AI. The company will hope to prove the opposite and that its AI tools can keep customers and win new ones.
Salesforce Stock Price Action
Salesforce stock is down 1.6% to $205.68 on Tuesday versus a 52-week trading range of $146.32 to $269.11. Salesforce shares are down 18.9% year-to-date in 2026, which comes after an 18.5% gain over the last month.
Image via Shutterstock
Login to comment