CRM is a buy; revenue growth accelerated to 13% and margins expanded, while valuation at 14.6x forward P/E remains attractive relative to historical levels.

Salesforce management informed investors that it is on track to accelerate revenue growth again in the second half of 2027 and beyond. Management also reaffirmed its goal of generating $63 billion in revenue by 2030.

This is accompanied by strong operating profit margins, which are expected to reach approximately 34% for the second half of the year and for the current fiscal year as a whole.

So, does all this make Salesforce stock a buying opportunity?

The slowdown in revenue growth at Salesforce has caused concern among investors.

In recent quarters, their revenue growth rate approached less than 10%, but the management team succeeded in accelerating this growth to 13% in the last quarter, and they now expect the rate to accelerate in the future.

This is a welcome sign for investors who feared that Salesforce would be one of the companies that would be hurt by artificial intelligence and lose a significant market share.

According to management, the opposite is true. Their revenues are accelerating again, and they are integrating artificial intelligence and persuading customers to use those AI-enhanced services, raising the average selling price per user.

In recent years, Salesforce has done a remarkable job of boosting its operating profit margins. I mentioned a figure of 34% in the last completed quarter. This is significantly higher than the previous 12-month average of 21.5%.

The management team restructured the business in 2022. Salesforce prepared for the recession by restructuring its business, controlling costs, and restricting hiring, and those improvements made during that period paid off handsomely afterwards.

The company announced growth in operating margins and expects those margins to continue improving in the future. This also allowed the company to achieve a better return on invested capital of 12.7% in the last 12-month period.

This is the highest level ever recorded for Salesforce.

They have done a great job in the last six months or so in dispelling fears that this business will be wiped out by artificial intelligence.

It was one of the major companies that experienced a significant drop in share price as a result of the "end of the Software as a Service" (SaaS) era, which occurred as early as 2026.

Salesforce's stock plummeted to below $150 per share in mid-June. It is now rising back above $232 per share.

Of course, throughout the stock price crash, I made videos reaffirming my "buy" rating for Salesforce, pointing out that the fears were exaggerated, the risks were real, the risk of disruption was likely, and that Salesforce needed to adapt to changing conditions.

But the cheaper valuation made the position attractive to investors when balancing risk against reward. Since then, the stock price has experienced a significant surge. I last evaluated the company on August 27th, confirming that buy rating with complete conviction.

Given the recent surge in the share price, Salesforce's valuation has also increased. The stock is now trading at a forward price-to-earnings ratio of 14.6, which is still close to the lowest levels at which the stock has traded according to this metric over the years.

Therefore, those risks related to artificial intelligence and companies that use it, such as OpenAI, Anthropic, and others, and the complete overtaking of Salesforce and integration into those systems, still exist.

The thing is, Salesforce has done a good job of allaying some of those concerns, explaining to investors that it is working to integrate these types of products into its own services, making them a more attractive value proposition for existing customers.

Enterprise customers tend to stick with the suppliers they deal with because changing platforms or switching from one supplier to another requires a lot of time, energy, and effort.

Even if that other supplier promises to offer better value to customers, it needs to be much better to compensate for that tendency, that inertia to stay with the current supplier, to stay with the current systems, and Salesforce takes advantage of that.

I have also updated my assessment of Salesforce discounted cash flows. I am currently valuing the company at $280 per share. The current market price is $233. Therefore, I have calculated an increase of approximately 20% over the next 12 to 18 months for Salesforce stock.

So, to answer the question I posed in the title, I still believe the stock represents a buying opportunity, and I will confirm that rating today.