Salesforce Q4 Earnings Report Scheduled for February 25, Analysts Lower Price Target to $250
Salesforceis scheduled to report results of its fourth fiscal quarter after the market close on Wednesday, February 25, with a conference call scheduled for 5:00 pm ET. What to watch for:GUIDANCE:Along with its third quarter earnings report, Salesforce guided to FY26 earnings per share of $11.75-$11.77 on a revenue of $41.45B-$41.55B, which compared to analyst estimates of $11.38 and $41.25B, respectively, at the time of the report. Consensus for EPS has since risen to $11.77, while estimates for revenue have jumped to $41.49B. The company also provided Q4 EPS guidance of $3.02-$3.04 on revenue of $11.13B-$11.23B. Consensus for earnings, which was at $3.04 at the time, has increased to $3.05, and consensus for revenue, which was at $10.9B, has risen to $11.19B.PARTNERSHIPS, FEATURES:In November, ASGNannounced a multi-year, 360-degree partnership with Salesforce to deliver AI solutions across enterprise platforms. Additionally in November, Salesforce announced the opening of a Mexico City office and the launch of Salesforce Saudia Arabia. In December, Salesforce, in collaboration with Amazon Web Services, introduced Agentforce 360 for AWS. The company also announced in December that AstraZenecahas selected Agentforce Life Sciences for Customer Engagement to help transform its customer engagement globally. Additionally, Salesforce announced an expanded agencywide transformation initiative with the U.S. Department of Transportation in December. The company also announced that Novartishas selected Salesforce's Agentforce Life Sciences for Customer Engagement to connect patient and healthcare professional experiences. In January, Salesforce announces general availability of Slackbot. Additionally in January, Lockheed Martin, PG&E Corporation, Salesforce and Wells Fargoannounced the launch of EMBERPOINT, a purpose-built venture to integrate next-generation wildfire solutions to help first responders detect, prevent and fight catastrophic wildfires. Also in January, Salesforce subsidiary Computable Insights was awarded $5.64B Army contract.ACQUISITIONS:In November, Salesforce completed its acquisition of Informatica. The company said, "The close of the acquisition brings Informatica's rich data catalog, integration, governance, quality and privacy, metadata management, and Master Data Management services to the Salesforce platform, establishing a unified and comprehensive data foundation for agentic AI — and enabling AI agents to operate safely, responsibly, and at scale across the modern enterprise."Salesforce also announced in November that it signed a definitive agreement to acquire Spindle AI, an agentic analytics platform. The company said, "Spindle AI's technology combines advanced AI agents and machine learning with powerful data modeling to help businesses make faster and more effective data-driven decisions. Co-founded by Ryan Atallah, previously the founder of ClearGraph, and Carson Kahn, previously the founder and CTO of Volley ML, Spindle AI has deep expertise in multi-agent systems, machine learning, and high-performance data applications. Spindle AI's agentic technology complements world-class analytics platforms, like Tableau, by focusing on the next step: using AI to autonomously model agentic scenarios and forecast business outcomes."Additionally in November, Salesforce announced it had signed a definitive agreement to acquire Doti, an agentic enterprise search company. "The acquisition will bring Doti's world-class talent to Salesforce, strengthening its AI R&D hub in Israel, and accelerating the development of unified, agentic search and knowledge discovery for customers. The Doti team's expertise will build on Salesforce's powerful enterprise search foundation to advance a unified, agentic search layer across the platform. With Slack as the conversational interface for this new capability, Salesforce will empower humans and AI agents to collaborate as teammates - surfacing connected data, insights, and actions from across the enterprise," Salesforce said.In December, Salesforce announced it signed a definitive agreement to acquire Qualified, a provider of agentic AI marketing solutions. The company said, "Qualified provides an agentic AI marketing product designed to engage and convert inbound buyers. Its flagship product serves as an 'always-on' AI worker that transforms websites into engaging, multi-modal conversational experiences to qualify and nurture leads. Bringing Qualified into the Salesforce ecosystem will allow customers to quickly deploy fully-featured marketing agents that autonomously generate pipeline."ANALYST VIEWS:KeyBanc lowered the firm's price target on Salesforce to $300 from $400 to better reflect current market multiples, while keeping an Overweight rating on the shares. Channel conversations have finally turned on Agentforce, the firm said. Most of 2025 was a waiting game, but pilots and trials are now turning into actual contracts and add-ons to existing contracts. This also matches up with the direction of metrics which imply per-customer spend on Agentforce has more than doubled since KeyBanc wrote its initial framing of Agentforce's path to $1B.Additionally, Morgan Stanley lowered the firm's price target on Salesforce to $287 from $398 and kept an Overweight rating on the shares. With shares down about 30% year-to-date amid peak SaaS concerns, a largely inline Q4 report and FY27 guidance is "unlikely to reset the narrative," the analyst said. However, the firm added that ongoing improvement in organic demand with signs of a maturing and "economically favorable" Agentforce product cycle "could foreshadow stronger growth through FY27."Meanwhile, Jefferies lowered the firm's price target on Salesforce to $250 from $375 and kept a Buy rating on the shares. The firm said the apps software names have been hit harder than overall software.
