Citizens Sticks to Outperform on Salesforce Amid Agentic Momentum
Citizens has reaffirmed its Market Outperform rating for Salesforce.com (ticker not specified), alongside a $315 price target. The firm believes the company's stock is undervalued at current levels, with an attractive PEG ratio of 0.36 indicating shares are trading at a low multiple relative to near-term earnings growth.
Citizens highlighted several product areas that continue to weigh on Salesforce's business, including Commerce, Marketing, Analytics (Tableau), and Integration (MuleSoft). However, the firm remains optimistic about the company's prospects, citing significant upside potential.
Salesforce offers a broad platform for agentic enterprises, incorporating AI capabilities through its AIforce interface and Agentforce digital workforce. The company addresses an estimated $628 billion opportunity in fiscal year 2030, with incremental AI spend expected to reach $1.4 trillion by 2030.