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Salesforce (CRM) is back in focus after a strong quarter tied to its AI-powered Agentforce platform, a multi-billion-dollar Anthropic investment, and new AI commitments in France that together sparked fresh interest in the stock.
After a sharp rally on the recent AI news and Q1 beat, Salesforce’s share price has cooled with a 1-day share price return of down 5.09%. The year-to-date share price return of down 24.84% and 1-year total shareholder return of down 27.03% point to pressure that recent AI announcements, acquisitions and guidance updates are now starting to counter, suggesting momentum has only recently begun to rebuild.
If you are interested in how other AI focused software stocks are trading around similar themes, this is a good moment to scan 30 AI small caps
With Salesforce shares under pressure this year despite solid AI headlines, a large Anthropic stake, and ongoing buyback activity, the key question now is simple: is CRM still trading at a discount, or has the market already priced in the next leg of growth?
Most Popular Narrative: 42.2% Undervalued
According to the most followed narrative, Salesforce’s fair value of $330.03 sits well above the last close at $190.61. This frames the current AI driven pullback as a potential gap between price and long term earnings power.
The “Agentic Upside” is the most compelling part of the bull case. Currently, Data Cloud and AI ARR stands at roughly $1.4 billion (up 114% YoY). If Agentforce continues its trajectory and triples this ARR as projected, it will trigger a revenue re-acceleration.
Want to see what keeps that fair value so far above today’s price? The narrative leans on accelerating AI revenue, expanding margins, and a richer future earnings multiple, all tightly linked.
Result: Fair Value of $330.03 (UNDERVALUED)
However, this hinges on Agentforce adoption and AI consumption actually scaling. Any stumble in AI data quality or customer ROI could quickly challenge that upside story.