Salesforce (NYSE:CRM) is a leading customer relationship management (CRM) platform known for its innovative use of artificial intelligence (AI) to enhance business operations. On July 10, 2025, Cantor Fitzgerald downgraded Salesforce from an "Overweight" to a "Cautious" grade, with the stock priced at $267.07. This downgrade comes amidst significant developments in Salesforce's AI initiatives.
Adam Evans, Salesforce's head of AI, emphasizes the transformative potential of AI in boosting productivity, as discussed on Bloomberg The Close. This aligns with Salesforce's strategic focus on AI, which is evident in the remarkable growth of its Data Cloud. The platform's annual recurring revenue (ARR) has surged by 120% year-over-year, surpassing $1 billion in the first quarter of fiscal 2025.
Salesforce's Data Cloud, which manages over 22 trillion customer records, is a key driver of this growth. Nearly 60% of Salesforce's top 100 deals in the first quarter included Data Cloud and AI features, underscoring their importance. Additionally, half of the new Data Cloud bookings came from existing clients, indicating strong customer satisfaction and demand.
The company has also strengthened its leadership by appointing Amy Chang and David B. Kirk to its Board of Directors. Their expertise in technology and AI is expected to further drive Salesforce's innovation. Despite the recent downgrade, Salesforce's market capitalization remains robust at $255.25 billion, with a current stock price of $267, reflecting a slight decrease of 1.45%.
