# Bank of America Double Upgrades Salesforce to Buy on AI Growth

- URL: https://stocks.freetheai.org/news/bank-of-america-double-upgrades-salesforce-to-buy-on-ai-growth-2944c1
- Published: 2026-10-12T15:40:28Z
- Category: analyst_ratings; sentiment: bullish; impact: medium
- Symbols: [NYSE:CRM](https://stocks.freetheai.org/symbols/NYSE-CRM)
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Salesforce Inc. (NYSE:CRM) received a double upgrade to a Buy rating on Monday, with its price target raised from $160 to $285. Analysts shifted their outlook after concluding that artificial intelligence tools are more likely to deepen corporate reliance on established software platforms rather than replace them. The updated price target implies about 24% upside from Friday's closing price.

Concerns over software disintermediation had previously weighed on the business. However, discussions with chief information officers revealed that large organizations remain hesitant to replace core platforms housing workflows, business data, and compliance rules. Salesforce's AI platform, Agentforce, saw annual recurring revenue reach $1.5 billion in the second quarter of fiscal 2027, up over 240% compared to the prior year. Additionally, roughly half of Agentforce quarterly bookings came from customers refilling usage credits.

Looking ahead, fiscal 2028 revenue projections were increased to $50.9 billion, followed by $55.98 billion in fiscal 2029. Investors will monitor whether growing customer adoption translates into sustained sales momentum and how the company integrates Loops, an AI-powered analytics developer it recently agreed to acquire. Although shares remain down roughly 11% this year, the stock has recovered about 60% from its 52-week low set in June.

## Key points

- Salesforce was upgraded directly from Underperform to Buy, with its price target raised to $285 from $160.
- Enterprise IT leaders indicated large firms are unlikely to replace core software platforms holding primary business logic and workflows.
- Agentforce annual recurring revenue hit $1.5 billion in fiscal Q2 2027, growing more than 240% year-over-year.
- Salesforce agreed to acquire Loops, an AI-powered analytics platform, to expand its software capabilities.

## Questions and answers

### Why was Salesforce upgraded by Bank of America?

The upgrade was driven by evidence that enterprise customers rely heavily on Salesforce's platform for business logic and data, reducing the risk of AI replacing its software.

### What is the new price target for Salesforce stock?

The new price target is $285 per share, raised from $160, implying about 24% upside from the previous week's close.

### How fast is Salesforce Agentforce growing?

Agentforce annual recurring revenue reached $1.5 billion in fiscal Q2 2027, representing a year-over-year increase of over 240%.