Morgan Stanley Reduces PT on Salesforce (CRM) Stock

Salesforce, Inc. (NYSE:CRM) is one of the Top AI and Technology Stocks to Buy According to Hedge Funds. On December 9, Morgan Stanley reduced the price target on the company’s stock to $398 from $405 while keeping an “Overweight” rating, as reported by The Fly. This comes after the firm adjusted estimates and valuations among its software coverage following Salesforce, Inc. (NYSE:CRM)’s strong earnings report.

Morgan Stanley Reduces PT on Salesforce (CRM) Stock

Elsewhere, on December 3, Salesforce, Inc. (NYSE:CRM) announced its Q3 2025 revenue of $10.3 billion, reflecting a rise of 9% YoY and 8% in constant currency, amidst growth in subscription and support revenues. Notably, subscription and support revenues for 3 and 9 months ended October 31, 2025 rose mainly because of volume-driven increases from new business that consists of new customers, upgrades, and additional subscriptions from existing customers.

Salesforce, Inc. (NYSE:CRM)’s net income came in at $2,086 million in Q3 FY 2025, an increase from $1,527 million in Q3 FY 2024. Notably, the company’s Agentforce and Data 360 products were the momentum drivers. The company raised its FY 2026 revenue guidance to $41.45 billion – $41.55 billion, and Q3 cRPO was strong, up by 11% YoY and reaching $29.4 billion, hinting at a robust pipeline of future revenue.

Salesforce, Inc. (NYSE:CRM) offers customer relationship management technology, which connects companies and customers.

While we acknowledge the potential of CRM to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CRM and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.