Salesforce May Not Pay Off Soon After Disappointing Guidance for the Current Quarter, According to Wall Street Analysts

Salesforce shares took a hit after the cloud giant delivered weaker-than-expected guidance for the current quarter, leaving many analysts cautious in the short term.

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The company told investors to anticipate third-quarter revenue between $10.24 billion and $10.29 billion, slightly below the $10.29 billion consensus estimate from LSEG.

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Despite the softer outlook, Salesforce posted a strong second quarter, with earnings of $2.91 per share on $10.24 billion in revenue, topping Wall Street forecasts of $2.78 per share on $10.14 billion.

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Still, the stock slid nearly 8% in early Thursday trading, ranking among the Dow Jones Industrial Average’s weakest performers, and has now dropped 29% year-to-date.

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Even with the disappointing forecast, most analysts continue to see long-term upside. According to LSEG data, 41 analysts rate Salesforce a buy or strong buy, while 11 recommend holding and just one maintains a sell rating. Views ranged from cautious on near-term growth to optimistic about Salesforce’s potential to benefit from artificial intelligence.

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Here’s a rundown of what some of Wall Street’s top firms are saying:

Bernstein: Underperform, $221 price target
Bernstein sees downside risk of about 14% from Salesforce’s prior close. The firm argued Salesforce is operating in a mature market with elevated expectations, particularly around Agentforce. It also flagged concerns about the possibility of large, costly acquisitions. Still, Bernstein disagrees with the broader view that generative AI could undermine SaaS models, suggesting Salesforce is well-positioned to monetize AI even if timing remains uncertain.

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UBS: Neutral, $260 price target
UBS predicts just 1% upside over the next year. The firm pointed out that Salesforce once again reaffirmed not raised its FY26 revenue growth target of 8%, despite strength in its AI/Data segment and positive commentary on the pipeline. UBS said this reflects the maturity of the CRM software market and the early stage of AI adoption.

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Wells Fargo: Equal Weight, $265 price target
Wells Fargo’s outlook implies a 3% gain from recent levels. Analyst Michael Turrin said the lack of a full-year raise, despite decent second-quarter results, suggests limited upside for the rest of the year. He also noted slower-than-expected Agentforce uptake and a lack of detailed ARR disclosures.

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Citi: Neutral, $275 price target (down from $295)
Citi sees 7% upside but lowered its target amid cautious sentiment. The firm said partner feedback suggested weakening demand trends, with only pockets of annual contract value (ACV) growth. While interest in Agentforce persists, large-scale rollouts remain rare. Citi expects Salesforce’s revenue growth to remain in the high-single digits near term and noted pricing increases were likely already baked into guidance.

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Barclays: Overweight, $316 price target
Barclays projects 23% upside for Salesforce. While Q2 wasn’t seen as a major catalyst, the firm highlighted improving macro conditions and growing adoption of Agentforce. However, it stressed investors will need patience as adoption metrics are still small.

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Bank of America: Buy, $325 price target
BofA expects 27% upside, citing healthy cRPO growth of 10% for Q3, which signals sustainable low-double-digit expansion. The bank is also optimistic about free cash flow growth, raising its FY26 outlook to 12–13%. Analysts believe AI adoption could accelerate FCF growth into the high teens in the years ahead.

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Deutsche Bank: Buy, $340 price target
Deutsche Bank sees shares climbing 33%. The firm noted Salesforce’s results were in line with muted expectations but highlighted strong momentum in Data Cloud and AI, which grew 120% year-over-year. While implementation is limiting near-term impact, paid deals doubled quarter over quarter, showing progress toward broader usage.

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JPMorgan: Overweight, $365 price target
JPMorgan projects 42% upside, saying Salesforce’s AI momentum and improving pipeline are not getting enough credit from investors. The firm believes shares are trading at a deep discount relative to peers and sees Q2 results as constructive.

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Goldman Sachs: Buy, $385 price target
Goldman expects a 50% rally over the next 12 months. The firm countered concerns that AI could disrupt Salesforce’s model, instead viewing AI as a long-term growth driver. While guidance suggested no immediate reacceleration, Goldman remains confident in Salesforce’s trajectory.

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Morgan Stanley: Overweight, $405 price target
Morgan Stanley set the most bullish target, implying a 72% upside. Analysts said while Q2 was largely in line with expectations, Salesforce is piecing together a stronger growth path through Agentforce, Data Cloud, and an expanding sales pipeline. At 16x forward free cash flow, Morgan Stanley recommends building positions now.

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Salesforce’s weaker guidance rattled investors, but Wall Street remains broadly constructive on the company’s long-term prospects. While some firms are cautious about near-term growth, most see AI, Data Cloud, and expanding customer adoption as powerful drivers ahead. For investors, the message is clear: volatility may continue, but many analysts believe Salesforce still has plenty of room to run.

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