Street View: Salesforce builds momentum with AI tools, Informatica deal

Informatica

29/05/2025 09:57

** Salesforce CRM.N raises FY26 rev, adj profit outlook on strong cloud spending, monetization ramp-up of its AI agents

** Has also bought Informatica INFA.N for ~$8 bln

** CRM's shares up 2.28% at $282.33 in premarket trading

CLOSING DEALS, OPENING DOORS

** Piper Sandler ("overweight," PT: $335) says CRM's breadth of products and global reach helped it outperform expectations even though there were some weak areas in the U.S. federal sector and manufacturing due to tariff-related uncertainty

** Barclays ("overweight," PT: $347) says growing AI demand is creating more opportunities for AI agent platform Agentforce and also increasing value and use of data tools like Data Cloud, MuleSoft, Tableau

** Raymond James ("strong buy," PT: $375) says Data Cloud and Agentforce ramp continues at healthy clip

** But Jefferies ("buy," $375) notes Sales Cloud and Service Cloud growth continue to decelerate, while FY26 forecast was raised "only slightly" excluding FX impact adjustments

** J.P. Morgan ("overweight," PT: $380) says Informatica deal is "a more disciplined and strategic acquisition ... vs. past large-scale M&A"

** Jefferies though says, "Investors continue to question whether buying INFA was the right choice as opposed to partnering"

 (Reporting by Akriti Shah in Bengaluru)

 ((akriti.shah@thomsonreuters.com))