Salesforce (CRM) shares fell 4.4% to close at $185 on Wednesday, February 11. This price marks a new 52-week low for the company. The decline occurred during a broader software sector selloff driven by investor concerns that artificial intelligence will disrupt traditional subscription-based business models.
Salesforce stock has declined 30% year-to-date. Wall Street analysts remain largely unfazed and view the downturn as disconnected from long-term fundamentals. The average analyst price target suggests a potential upside of more than 70% from the recent closing price.
Market attention is now shifting toward the company's earnings release on February 25. Investors are looking for evidence of margin expansion. The report is expected to provide a quantifiable impact from Salesforce's various AI initiatives.