UBS Lifts Salesforce Price Target to $260 Amid AIforce Optimism
UBS has revised its price target for Salesforce (CRM) to $260 from $240, while maintaining a Neutral rating on the stock. The company's current P/E ratio is 22.7 and its PEG ratio is a relatively low 0.36, suggesting attractive valuation relative to growth.
According to UBS, Salesforce's new AIforce offering has potential to drive usage, but the premium upgrade pricing may be too high to achieve material near-term traction. The firm trimmed its fiscal 2028 revenue growth estimate, citing a view that the path to $63 billion in fiscal 2030 revenue might be more back-end loaded than previously expected.
UBS analysts attended Salesforce's Dreamforce conference in San Francisco, where they met with customers and management to discuss AIforce. The firm views AI capabilities like Headless 360 and Claudeforce as significant additions to the CRM platform.