New York, February 4, 2026, 09:07 EST — Premarket
- Salesforce shares slipped around 1.3% in premarket trading following a steep drop the previous day.
- Investors are offloading enterprise software shares amid concerns that emerging AI “agents” might undercut subscription models and pricing power.
- Traders are eyeing CRM to see if it can hold near recent lows before the upcoming earnings report.
Salesforce, Inc. shares dipped roughly 1.3% to $193.88 in premarket trading Wednesday, following a sharp decline the day before. Early trades saw the stock fluctuate between $193.65 and $194.50. (Public)
This matters because Salesforce serves as a key indicator for corporate software spending, and the sell-off has clearly broadened beyond just that stock. Investors are reevaluating what “growth” means now that AI could handle much of the routine work traditionally billed by software companies.
Anthropic’s launch of plug-ins for its Claude Cowork agent, designed to automate tasks in legal, sales, marketing, and data fields, has rattled the market. J.P. Morgan’s Toby Ogg said the sector is being “sentenced before trial.” Ben Barringer of Quilter Cheviot noted investors are retreating amid “a lot of uncertainty” about AI agents’ capabilities. Nvidia CEO Jensen Huang dismissed the notion that AI will replace software as “illogical.” (Reuters)
Salesforce dropped 6.9% Tuesday, ending at $196.38 after dipping as low as $193.11 during the session—its lowest in a year. Trading volume surged to roughly 20.1 million shares, a notable increase from the day before. (StockAnalysis)
The Dow took a hit as well, with Salesforce and IBM leading the decline, according to MarketWatch’s index point impact figures. Salesforce slid $14.53, or 6.9%, while IBM tumbled $24.62, or 7.8%. (MarketWatch)
IG chief markets strategist Chris Beauchamp described Anthropic’s move as a clear message—“parking its tanks on their lawn”—though he added it’s “not an apocalypse.” This stance has contributed to a risk-off mood in software stocks over the last two sessions. (Reuters)
Analyst sentiment has shifted as well. Piper Sandler’s Billy Fitzsimmons cut his Salesforce price target to $280 from $315 but maintained an Overweight rating. He pointed to “seat-compression” and “vibe coding” — industry terms for fewer paid software seats per employee and quicker AI-driven code development — as factors that might restrain valuation multiples. (TipRanks)
Enterprise software peers have been under heavy selling pressure, with investors split on whether AI agents will simply enhance subscriptions or replace them altogether. This uncertainty is affecting multiple product lines, not just one.
This week’s regulatory filing revealed Salesforce director Craig Conway was granted 1,766 restricted stock units. The equity award will vest in increments through 2026. (SEC)
The downside is clear: if customers develop more in-house tools or move to AI-native vendors, it could pressure renewals and pricing power—even for major platforms. Investors are currently trying to price in that risk, though they might be overdoing it.
Traders are set to see if Salesforce can stay above Tuesday’s $193.11 low and if the broader software group’s selling pressure eases before the open. A second straight drop would shift attention back to the sector’s valuations rather than this quarter’s results.
The next major event to watch is earnings: Nasdaq’s schedule lists Salesforce’s report for Feb. 25. Investors will likely zero in on management’s take on demand, pricing, and the impact of AI agents on the sales approach. (Nasdaq)
