SAN FRANCISCO, August 26, 2026, 16:38 (EDT)
- At 16:37 EDT, Salesforce was up 12.73% in after-hours trading at $231.80.
- Agentforce and Data 360 reported annual recurring revenue nearing $3.9 billion, increasing more than threefold compared to the previous year.
- The midpoint for fiscal-2027 revenue guidance was raised by $200 million, and the midpoint for adjusted EPS climbed 18.5%.
Salesforce, Inc. NYSE:CRM stock surged 12.73% in postmarket trading on Wednesday. The gain came after fiscal second-quarter results reinforced the company’s AI-driven growth outlook.
The share price hit $231.80 at 16:37 EDT, compared with a closing level of $205.62. The advance boosted quoted equity value by about $22.8 billion, using the closing market capitalization and the after-hours change Yahoo Finance quote.
The change in valuation far exceeded the adjustment in guidance. Salesforce raised the midpoint of its fiscal-2027 revenue projection by $200 million, or 0.4%. However, investors concentrated on contract growth and steady income linked to AI.
Revenue for the second quarter increased by 11% to $11.35 billion. Adjusted earnings came in at $5.90 per share, compared with a consensus estimate of $3.27. The result was boosted by strategic-investment gains; without those, adjusted earnings per share were $3.37 Reuters.
| Q2 metric | Reported | Comparison | Investor read-through |
|---|---|---|---|
| Revenue | $11.35 billion | $11.33 billion consensus | 0.2% ahead; 11% up |
| Adjusted EPS | $5.90 | $3.27 consensus | Gains from investments lifted results |
| Adjusted EPS excluding investment gains | $3.37 | $3.27 consensus | 3.1% beat on core performance |
| Agentforce and Data 360 ARR | About $3.9 billion | Over 210% increase | AI-driven recurring revenue approaches 9% of past-year sales |
Salesforce has revised its fiscal-2027 revenue forecast to between $46.1 billion and $46.4 billion, up from its earlier estimate of $45.9 billion to $46.2 billion. The company also raised its adjusted EPS outlook to a range of $16.67–$16.71, compared with the previous $14.06–$14.12.
Management forecast third-quarter revenue between $11.42 billion and $11.50 billion, with adjusted EPS expected at $3.42 to $3.44. The guidance indicates double-digit growth and more stable earnings performance.
Remaining performance obligations stood at approximately $33.5 billion, slightly exceeding prior expectations of around $33.4 billion. Chief Financial Officer Robin Washington noted net-new annual order growth reached its highest point in four years MarketWatch.
Agentforce and Data 360 annual recurring revenue (ARR) neared $3.9 billion, rising over 210%. This marks the most direct link between AI adoption and signed revenue. It also addresses worries that AI agents simply substitute for conventional software licenses.
The after-hours surge pushed the implied market capitalization to approximately $201.9 billion, or about 4.7 times its most recent revenue of $42.83 billion. Despite the climb, the share price stayed nearly 12% under where it started the year.
Wall Street approached the results with cautious optimism. Out of 18 analysts surveyed ahead of the earnings release, 12 advised buying, five rated the stock as neutral, while one suggested selling Investopedia. Yahoo reported an average price target of $243.98, which is 5.3% higher than the stock’s after-hours price.
On August 25, Citizens reaffirmed its Market Outperform rating and set a price target of $315, which suggests a 35.9% gain from the previous level of $231.80. Analysts are currently assessing the extent to which AI momentum is stemming from organic drivers versus acquisitions.
Risks: Investment returns boosted headline EPS to atypically high levels and could unwind. Informatica supported growth, though upcoming acquisitions might cloud organic performance patterns. Agentforce rollouts continue to show variability between customers.
The upcoming 17:00 EDT earnings call marks the next key event. Investors are expected to focus on Agentforce bookings, organic cRPO growth, guidance for free cash flow, and assumptions regarding acquisitions. These specifics will determine if the $22.8 billion revaluation stands.
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