Mizuho Securities raised its price target on Salesforce.com to $265 from $250, maintaining an Outperform rating as the software giant’s growth outlook strengthened.
The upgrade follows Salesforce’s second-quarter fiscal 2027 results, which exceeded expectations with non-GAAP earnings per share of $5.90, compared with a consensus estimate of $3.27. Revenue totaled $11.345 billion, slightly above the $11.33 billion forecast, marking an 11% year-over-year increase.
Mizuho highlighted Salesforce’s current remaining performance obligation (cRPO) growth of 14% on a constant currency basis, outperforming both the 10% organic constant currency growth estimate and management’s 13% guidance. The firm also noted the company’s gross profit margin of 77.6% and projected calendar 2027 free cash flow at 13 times the estimated figure.
Other analysts have also revised their targets upward. Jefferies raised its price target to $300 with a Buy rating, while Citizens maintained a Market Outperform rating with a $315 target. DA Davidson increased its target to $200, and Bernstein lifted its forecast to $195, though it retained an Underperform rating.
Salesforce’s Agentforce annual recurring revenue reached $1.5 billion, surging more than 240% year-over-year. Management now expects cRPO growth of approximately 14% in the third quarter on a constant currency basis, exceeding consensus by more than a percentage point. Organic revenue growth is projected to modestly reaccelerate in the second half of fiscal 2027, though guidance does not account for contributions from the pending acquisitions of Contentful and Fin.
DA Davidson also pointed to a partnership with Anthropic to launch Claudeforce, further underscoring Salesforce’s expanding AI-driven offerings.
