Salesforce Stock Predicted to Reach Record Levels with AI Boost

Salesforce Stock

Morgan Stanley analysts have become bullish on Salesforce Inc. (NYSE:CRM), predicting that the growing wave of artificial intelligence (AI) will drive the software maker’s shares to record levels. Despite Salesforce’s impressive 96% surge in the current year, Morgan Stanley’s Keith Weiss has set a new price target of $350, implying a further 34% gain for the stock over the next 12 months and surpassing the all-time high reached in 2021.

Weiss upgraded his recommendation on Salesforce from equal-weight to overweight, expressing positivity on the stock since a downgrade over the summer. The stock rose as much as 3.1% following the analyst’s bullish outlook.

Weiss highlights low investor expectations compared to the potential upside drivers in price increases, product bundling, and data cloud adoption as factors contributing to an attractive risk-reward profile for Salesforce. While the full adoption of artificial intelligence may take time, Weiss believes Salesforce’s data cloud suite is gaining traction, especially as companies prepare for widespread AI adoption in the future.

While Weiss’s outlook for Salesforce is notably optimistic, consensus estimates suggest a more modest 7.7% upside for the stock over the next year, according to data compiled by Bloomberg. Nonetheless, analysts have previously identified Salesforce as a company poised to benefit from the advancements in artificial intelligence.

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