Enterprise software stocks are under pressure this year as investors question whether traditional cloud providers can monetize artificial intelligence (AI) or will be left behind by it. Salesforce (NYSE: CRM) has navigated an approximate 12% year-to-date decline amid these broader sector concerns.
However, recent data points indicate the narrative is changing. Bank of America issued a rare double upgrade for Salesforce, lifting its rating directly from Underperform to Buy with a $285 price target. This analyst action coincided with Salesforce's agreement to acquire Loops, an AI-powered analytics platform, for an estimated $30 million.
