Market experts are raising concerns about Salesforce’s strategic direction as the software giant prepares to report quarterly results. With the broader market focused on Black Friday trading, attention has shifted to whether Salesforce can justify its massive investments in artificial intelligence amid slowing growth in its core cloud business.
Key Earnings Report Looms
All eyes are on Wednesday, December 3, 2025, when Salesforce will disclose its third-quarter financial performance after market close. Analyst projections point toward earnings per share of approximately $2.86, with revenue expected to reach $10.3 billion.
The timing is crucial for investors. Since the beginning of the year, Salesforce shares have declined nearly 39%, currently trading around €197.86—hovering dangerously close to their 52-week low. Options market activity indicates traders are bracing for significant price movements following the earnings release.
Citi Analysis Fuels Skepticism
Adding to the pressure, Citi analyst Tyler Radke recently adjusted his outlook for the technology company. He reduced his price target from $276 to $253 while maintaining a “Neutral” rating on the stock. This assessment, released just before the shortened Black Friday trading session, has intensified scrutiny of Salesforce’s growth strategy.
The central concern revolves around whether Salesforce can effectively monetize its substantial investments in artificial intelligence, particularly through its “Agentforce” platform and related AI initiatives. Market observers worry that revenue from these emerging technologies may not materialize quickly enough to offset deceleration in the company’s traditional cloud services.
Should investors sell immediately? Or is it worth buying Salesforce?
Operational Strength Versus Market Performance
In a revealing contrast, Salesforce’s own data demonstrates the platform’s ongoing importance to global commerce. On Thanksgiving, worldwide online sales processed through its systems increased by a solid 7.9% compared to the previous year.
This creates a complex picture for shareholders:
- Positive indicator: The Salesforce ecosystem remains essential to international retail operations, demonstrating resilience even during uncertain economic periods.
- Investment challenge: High transaction volume alone doesn’t resolve the stock’s profitability concerns. The market requires concrete evidence that this activity translates into stronger financial performance for Salesforce itself.
The AI Accountability Moment
Wall Street’s patience with AI promises appears to be wearing thin. The upcoming earnings report represents a pivotal moment for Salesforce to demonstrate that its artificial intelligence ambitions can generate tangible returns. Until then, the negative trend in share performance combined with cautious analyst commentary suggests continued pressure on the stock.
The fundamental question remains: Can Salesforce convert its technological vision into measurable financial success, or will investor skepticism trigger further selling? The December 3rd earnings release will provide the answer markets are waiting for.
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