Salesforce Soars to Six-Month High After 'Narrative-Changing' Q2 Earnings

Salesforce's (CRM) second-quarter earnings report has sent its stock soaring to a six-month high, with analysts calling it 'narrative-changing'.

The company's shares gained over 20% in morning trade on Thursday, with some analysts predicting they could reach as high as $310. Raymond James' Brian Peterson raised his price target on CRM to $310 from $290, with a 'Strong Buy' rating.

Analysts were impressed by Salesforce's stronger bookings and growing adoption of its Agentforce platform. The company's net new annual order value growth reached a four-year high, while its constant-currency current Remaining Performance Obligations (cRPO) grew 14% year-over-year.

However, some analysts remain cautious, noting that Salesforce still needs to prove the durability of its AI growth. Morgan Stanley's Adam Wood called Q2 'a step in the right direction', but maintained an 'Equal Weight' rating due to concerns about whether Agentforce can sustain stronger growth.