Motley Fool’s 10 High-Growth Stock Picks

8. Salesforce, Inc. (NYSE:CRM)

Stock Upside Potential: 47.67%

Number of Hedge Fund Holders: 115

Motley Asset Management’s Equity Stake: $32.18 Million

Salesforce Inc. (NYSE:CRM) is one of Motley Fool’s high-growth stock picks. On March 27, BNP Paribas Exane reiterated an Outperform rating on Salesforce Inc. (NYSE:CRM) and raised the price target to $230 from $220.

The price target hike comes amid expectations that the company is poised to conduct significant share buybacks in its fiscal 2027. The research firm has increased its buyback estimate for the year to about $25 billion, up from its previous target of $16 billion.

Earlier, on March 16, Salesforce announced it had commenced its largest-ever $25 billion accelerated share repurchase. The transaction represents the execution of half of the company’s $50 billion aggregate share repurchase announced in February. The massive share buyback underscores strong conviction in the company’s growth and cash trajectory.

The higher buyback is expected to result in an 8% reduction in diluted share count. Despite the share count reduction, BNP Paribas expects Salesforce’s diluted earnings per share to reduce by about 2% in fiscal 2027 and by 3% in fiscal 2028. In addition, it expects interest expense to increase to about $1.7 billion in fiscal 2027.

Salesforce Inc. (NYSE:CRM) is a Customer Relationship Management company that provides cloud-based software designed to help businesses manage customer relationships, automate workflows, and unify sales, service, marketing, and commerce teams. Their “Agentforce 360” platform connects data, AI, and applications to improve customer engagement and operational efficiency across various industries.