Is Salesforce, Inc. (CRM) The Most Undervalued Tech Giant to Buy?

Salesforce, Inc. (NYSE:CRM) is among the most undervalued tech giants to buy according to hedge funds. On December 24, TheFly reported that Barron’s, in its Stock Picks column, stated that although the software sector has been volatile over the past few years, Salesforce, Inc. (NYSE:CRM) could rally as AI-related concerns ease and the company’s management remains focused on improving profitability. The report cites research from prominent analysts, including Oakmark Funds portfolio manager Bill Nygren and BTIG’s Allan Verkhovski.

According to the report, the stock traded at 9-times expected forward sales a year ago; however, Salesforce, Inc.’s (NYSE:CRM) valuation “currently stands at under six-times expected 2026 after a 30% pullback from all-time highs.” Barron’s emphasized BTIG’s view that investors are pricing in a “CRM demise” and opined that such views appear excessively bearish, noting that Agentforce is gaining momentum, as evidenced by its 330% annual recurring revenue growth in the third quarter.

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Earlier, on December 19, Mizuho set Salesforce, Inc.’s (NYSE:CRM) price target at $340, implying an upside potential of approximately 28%. The analyst believes the company is systematically mitigating constraints to enhance the adoption of Agentforce. That said, Mizuho anticipates an improved year-over-year (CY26 versus CY25) performance, with potential for organic re-acceleration. The firm described the company’s current valuation, at less than 14x CY27E FCF, as “very compelling.”

Overall, Salesforce, Inc. (NYSE:CRM) has a ‘Buy’ or equivalent rating from 78% of the analysts covering the stock, as of December 26. While the price target ranges from $223 to $475, the median price target of $336 implies an upside potential of 26.25%.

Salesforce, Inc. (NYSE:CRM) is a California-based provider of customer relationship management (CRM) technology. Incorporated in 1999, the company connects companies and customers together through its core offerings, including Agentforce, Data Cloud, Industries AI, and Slack.

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