Is Salesforce's (CRM) AI Strategy a Bold Move or a Risky Bet? RBC Remains Cautious

Salesforce Inc. (NYSE:CRM) is one of the best stocks to buy according to Citadel LLC. October 15 was an important day for the company, as it held its annual Dreamforce 2025 event, during which management outlined its long-term strategy. Among other things, management announced its FY 2030 target of exceeding $60 billion in sales, implying an organic CAGR of over 10% from FY 2026 sales of $41.3 billion.

This guidance excludes Informatica, as its acquisition by CRM, announced in May 2025, is expected to close in early FY 2027.

However, this was not enough to impress analysts at RBC Capital, who reiterated their cautious view with a Sector Perform rating and an unchanged price target of $250 after attending the CRM event. The analysts noted that Salesforce is signalling a significant strategic shift, with its platforms evolving towards AI-centric Agentforce 360 from its long-standing Customer360 framework.

However, the analysts argued that with this move, Salesforce is moving deeper into automation capabilities, where it will directly compete with ServiceNow’s offerings. As a result, the analysts applied a 15x CY 2026 free cash flow multiple, similar to the company’s existing trading multiple, suggesting the shares are fairly valued.

Salesforce Inc. (NYSE:CRM) is a global enterprise software company that provides customer relationship management (CRM) and cloud-based business applications across sales, service, marketing, and data analytics.

While we acknowledge the potential of CRM as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.