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Salesforce Stock Drops 5% After Strong Earnings, Due to Cautious 2027 Outlook
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Salesforce Shares Drop 5% Despite Earnings Beat, Subdued 2027 Outlook; $50B Buyback
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CNBC TV18
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26-02-2026, 04:43
Salesforce Shares Drop 5% Despite Earnings Beat, Subdued 2027 Outlook; $50B Buyback
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Salesforce shares fell 5% in extended trading despite Q4 results exceeding analyst expectations.
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The decline was driven by a subdued guidance for 2027, disappointing investors already concerned about AI's impact on software stocks.
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Salesforce reported Q4 2026 revenue of $11.2 billion and EPS of $3.81, both surpassing estimates.
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The company announced a massive $50 billion share buyback, with CEO Marc Benioff citing current "low prices."
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Salesforce raised its fiscal 2030 revenue target to $63 billion, partly due to the Informatica acquisition and gains from its Anthropic investment.
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