Buy This Megacap Tech Stock Down 20% Before Earnings for AI Growth?
From Nasdaq: 2025-05-22 08:00:00
Salesforce (CRM) stock has been underperforming the Tech sector due to concerns about slowing growth and the impact of AI on cloud software. However, the company is fighting back with investments in AI, profitability, and dividends. Despite challenges, Salesforce’s earnings outlook has improved.
Investors may consider buying Salesforce stock ahead of its Q1 fiscal 2026 earnings release. Salesforce’s diverse software offerings support various business functions and are essential for many companies. The company has shown strong revenue growth over the years, although recent growth rates have slowed.
Salesforce has shifted focus to profitability, cutting costs, and returning value to shareholders through buybacks and dividends. The company’s AI push with Agentforce has shown promising results, driving revenue growth and customer adoption. Salesforce’s outlook remains positive with steady EPS growth projections.
Despite recent underperformance, Salesforce has a strong track record of growth and innovation. The company’s stock presents a buying opportunity at a discounted price, with potential for long-term growth. Salesforce’s improved earnings outlook and AI initiatives position it well for future success in the tech industry.
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