SAN FRANCISCO, August 27, 2026, 05:48 EDT
- Salesforce shares gained 10.99%, reaching $228.63 ahead of the market open.
- Revenue for the quarter increased by 11% to reach $11.35 billion.
- Agentforce and Data 360 annual recurring revenue approached $3.9 billion.
- Revenue guidance for fiscal 2027 increased by $200 million.
Shares of Salesforce surged 10.99% to $228.63 during Thursday’s premarket session, after the company reported better-than-expected fiscal second-quarter earnings and raised its full-year forecast. The price was quoted at 05:47:55 EDT Yahoo Finance.
The surge boosted Salesforce’s implied equity value by approximately $18.5 billion. This amount is 4.7 times its annual recurring revenue from AI and data, and about 93 times higher than the $200 million upgrade in guidance.
Salesforce, Inc. (NYSE: CRM) posted revenue of $11.35 billion, an 11% increase from the same quarter a year ago. Subscription and support income totaled $10.8 billion company release.
| Investor signal | Q2 FY2027 | Comparison |
|---|---|---|
| Revenue | $11.345 billion | Rose 10.8% compared to a year earlier |
| Current RPO | $33.5 billion | Increased 14% year on year |
| Agentforce + Data 360 ARR | Nearly $3.9 billion | Up by more than 210% from a year ago |
| Free cash flow | $1.098 billion | Grew 81% compared to last year |
| GAAP operating margin | 20.5% | 22.8% at the same time last year |
The most compelling operational indicators came from AI metrics. Agentforce ARR surpassed $1.5 billion, increasing by over 240%. Salesforce processed 3.2 billion agentic work units in the quarter.
Current remaining performance obligations rose by 14% to $33.5 billion, reflecting contracted revenue anticipated in the next 12 months. The faster growth of this metric outweighs the minor adjustment to guidance.
The updated revenue forecast of $46.1 billion to $46.4 billion factors in acquisitions. Salesforce said $100 million of the increase stems from organic growth, while an additional $200 million is linked to the planned Contentful and Fin acquisitions. Exchange rates add a $100 million negative impact earnings filing.
Cash generation improved, yet margin trends were uneven. Free cash flow increased by 81% to $1.10 billion. GAAP operating margin declined by 230 basis points to 20.5%. The company kept its adjusted margin guidance at 34.3%.
Salesforce unveiled Claudeforce, which leverages Anthropic’s Claude models. Analyst Rebecca Wettemann highlighted “more prepackaged, easier-to-deploy AI agents.” These offerings are positioned to reduce deployment times and help drive consumption revenue Reuters.
The adjusted earnings of $5.90 require additional explanation. Strategic investments accounted for $2.53 per share, while share repurchases lowered the diluted share count by roughly 15%. The company made notable operational gains, but headline profit included nonrecurring elements.
Analysts stayed positive ahead of the market open. Out of 53 analysts, the consensus was a Buy, with the average price target set at $242.64. This figure indicates a potential 6% gain compared to the premarket price MarketScreener consensus.
Risks: The majority of the guidance raise is driven by acquisitions. License revenue continues to fluctuate. There is also a possibility that AI consumption might replace conventional seats more quickly than new demand expands.
The next hurdle comes with Thursday’s market open at 09:30 EDT. Investors will observe if the premarket increase is sustained amid higher trading volume. Upcoming catalysts include the closures of Contentful and Fin, along with October’s buyback settlement.
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