Salesforce, Inc. (NYSE:CRM) is one of the stocks Jim Cramer put under the microscope. Cramer highlighted the company’s AI division during the episode, as he said:
Marc actually brought on two clients of Agentforce, the AI division that’s generating $800 million in annual recurring revenue. Wyndham Hotels, that’s the largest hotelier, and SharkNinja, we’ve had them on the show. Each talked about how Agentforce is saving them money by doing the easy stuff, saving the hard calls for humans. They described an almost euphoric world where robots handle the drudgery so that the people can focus on the real work… Initially, the stock sold off in after-hours trading, but it ultimately managed to catch fire today, rallying 4%. And I think one of the big reasons for that is that Marc announced a $50 billion buyback.
Now, that’s not bad for a $187 billion company. He said the cash flow can cover it as well as a small dividend boost. Basically, if the stock market refuses to give Salesforce the benefit of the doubt, then well, they’re just happy to repurchase their own shares at a big discount to what they think it’s worth. I think he’s serious about snapping up all that stock because he’s certain that the sellers are making a mistake, and they do have a ton of cash flow. Overall, Marc was trying to communicate a very simple idea. Salesforce sees the damage that AI can do to enterprise software, which is why his company’s invested so heavily in AI agents that are taking share and taking names…
He’s heard what the bears are saying, which is why he’s mad as hell, and he is not going to take it anymore. This is my favorite version of Marc Benioff, a fired-up CEO with a new product that I think can take the world by storm… Sure, it could be tough for a couple of quarters as Salesforce transitions to a much more agent-heavy model. But I’m now convinced that they can pull it off, if only because I’ve seen this company down before, and it’s always been a mistake to count them out. And I’m betting this time, it will be no different.
Stock market data. Photo by Burak The Weekender on Pexels
Salesforce, Inc. (NYSE:CRM) provides CRM-focused tools that help businesses manage customer interactions, use AI agents, analyze data, collaborate, and run marketing, commerce, and field service operations.
While we acknowledge the risk and potential of CRM as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CRM and that has 10,000% upside potential, check out our report about this cheapest AI stock.
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