Salesforce, a leading cloud-based software company, saw its shares surge 11% in Wednesday’s session as executives expressed confidence in the demand for its new Agentforce product. The product is designed to automate tasks and has been hailed by industry bigwigs as the future of work.
According to Marc Benioff, Salesforce’s CEO, the company has signed several major deals, including a $28 million deal with one of its clients, which included significant revenue from Agentforce usage. The company closed 200 Agentforce deals in the quarter and has a “pipeline in the thousands” for additional deals.
The news has been well-received by analysts, with JPMorgan’s Mark Murphy maintaining an Outperform rating on Salesforce shares due to the strong demand for Agentforce. However, some analysts have expressed skepticism about the stock’s long-term prospects, citing concerns over the durability and monetization of the product.
Citi analyst Tyler Radke said that while the results were “good enough,” he remains skeptical about the stock’s ability to sustain its current momentum. Guggenheim analyst John Difucci also maintained a Neutral rating on the stock, warning that AI may not be as profitable for established players as it could be for new entrants.
Despite these concerns, Salesforce’s shares have risen over 42% since the company introduced new Agentforce solutions at its annual Dreamforce event in September. The company’s quarterly revenue guidance was slightly below estimates, but overall, the news has been seen as positive by investors.
Source: https://finance.yahoo.com/news/salesforce-ceo-marc-benioff-to-wall-street-yes-we-are-making-money-on-digital-agents-002624297.html