NEW YORK, August 2, 2026, 13:06 EDT
- Salesforce, Inc. NYSE:CRM advanced 12.4% last week, finishing Friday at $184.02. The S&P 500 added 1.05%.
- Early guidance estimates suggest Q2 organic revenue will rise approximately 6%-7%, following roughly 8.8% organic growth in Q1.
- Shares are valued at 13.1 times the midpoint of FY27 adjusted EPS guidance and are still 31.6% under their 52-week peak.
U.S. cash markets did not open on Sunday. Salesforce closed at $184.02 on Friday, rising 12.4% across five sessions, exceeding the S&P 500 by 11.4 percentage points.
The change is significant as short-term underlying growth remains subdued. Salesforce’s Q2 guidance factors in just over four percentage points of uplift from Informatica. An early breakdown shows around 6%-7% derived from the core business.
The majority of the recovery occurred earlier in the week. Shares rose 15.1% by Wednesday, before declining 2.3% over Thursday and Friday. Trading volume was higher than usual at the start of the week, but Friday’s activity dropped significantly below the average.
| Session | Close | Daily move | Volume |
|---|---|---|---|
| July 27 | $173.60 | up 6.07% | 17.32 million |
| July 28 | $181.50 | rose 4.55% | 17.20 million |
| July 29 | $188.38 | gained 3.79% | 18.14 million |
| July 30 | $180.71 | fell 4.07% | 12.19 million |
| July 31 | $184.02 | added 1.83% | 9.69 million |
FactSet provides daily pricing and volume information. Percentage changes are calculated using the previous day’s closing prices.
From Monday to Wednesday, volume ran 18.8% higher than Salesforce’s 65-day average. On Friday, volume ended up 34.4% under the same benchmark. The lighter trading on Friday provided fewer signs of ongoing buying as the week closed.
The surge was also driven by widespread software demand. Microsoft Corporation NASDAQ:MSFT recorded the biggest weekly increase following robust cloud earnings. Oracle Corporation NYSE:ORCL, ServiceNow, Inc. NYSE:NOW, and Adobe Inc. NASDAQ:ADBE experienced similar recoveries alongside Salesforce.
| Security | July 24 close | July 31 close | Weekly move |
|---|---|---|---|
| Salesforce NYSE:CRM | $163.66 | $184.02 | +12.4% |
| Microsoft NASDAQ:MSFT | $381.70 | $464.72 | +21.8% |
| Oracle NYSE:ORCL | $114.99 | $129.87 | +12.9% |
| ServiceNow NYSE:NOW | $98.78 | $111.23 | +12.6% |
| Adobe NASDAQ:ADBE | $225.11 | $250.41 | +11.2% |
| iShares software ETF (BATS:IGV) | $87.98 | $94.58 | +7.5% |
Weekly performance reflects closing prices from Friday to Friday.
Gains in broader markets on Friday provided support. Robust cloud earnings soothed worries over AI investment returns. The Nasdaq climbed 1%, and Salesforce gained 1.83%.
Salesforce’s growth trajectory is still uncertain. First-quarter revenue increased by 13% to reach $11.13 billion, boosted by a $444 million contribution from Informatica. Without that addition, early estimates place organic growth at roughly 8.8%.
| Operating measure | Q1 FY27 actual | Forward marker |
|---|---|---|
| Revenue growth as reported | 13% | Q2: 10%-11% |
| Organic growth estimate | Roughly 8.8% | Q2: close to 6%-7% |
| Growth in current RPO | 14% | Q2: around 14% |
| Non-GAAP operating margin | 34.8% | FY27: 34.3% |
| Non-GAAP diluted EPS | $3.88 | FY27: $14.06-$14.12 |
*Initial estimates reflect reported Informatica contributions. The firm does not provide organic revenue guidance in this structure.
Growth in backlog and expanding AI usage support the positive outlook. Outstanding performance obligations increased by 14%. Annual recurring revenue from Agentforce and Data 360 climbed above $3.4 billion, up over 200%. Agentforce contributed $1.2 billion alone.
Leadership has clearly outlined the challenge for the latter half of the year. Robin Washington, president as well as chief financial and operating officer, said: “We remain confident in delivering organic revenue acceleration in the second half of FY27.” Salesforce Investor Relations
Growth in earnings per share also indicates capital returns. Q1 GAAP earnings per share climbed 52%, as net income was up 36.7%. The company’s diluted share count declined 10.2% to 871 million. Salesforce announced a $25 billion accelerated share buyback.
Salesforce ended Friday with a valuation of 13.1 times its midpoint FY27 non-GAAP EPS forecast. The GAAP price-to-earnings ratio stood at 23.1. The stock was still down 31.6% from its high on December 29, but had gained 25.8% since hitting its June low.
On July 24, the most recent high-value contract was disclosed. The Department of Veterans Affairs granted Salesforce a $1.6 billion contract spanning three years. The statement did not clarify when revenue from the deal would be recognized.
Upcoming key events for investors include the release of ISM manufacturing data on Monday and ISM services data on Wednesday. July payrolls will be reported on Friday. Salesforce does not have any investor events listed on its calendar.
Risks: Organic expansion might not achieve the anticipated improvement in the second half. AI-native competitors could challenge both pricing and customer base. Elevated interest rates risk compressing software valuations, and the buyback funded by debt raises balance sheet risk.
The price momentum has been restored by the rebound, but signs of genuine acceleration have not yet surfaced. Proof of such acceleration will need to come from the upcoming quarterly results.
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