Jefferies Cuts Salesforce to Hold from Buy in Four-Stock Software Reset
Jefferies downgraded Salesforce to hold from buy and lowered its price target as part of a four-company software rating reset. The firm cited stretched valuation multiples and signs of decelerating enterprise subscription growth behind the move.
1. Rating Changes for Salesforce
Jefferies shifted Salesforce’s rating from buy to hold, joining three other major software companies in the downgrade. The firm simultaneously trimmed price targets across its software coverage, reflecting a uniform reassessment of upside potential.
2. Analyst Rationale
Analysts pointed to stretched valuation multiples and indications of slowing enterprise subscription growth as key factors driving the reset. The move underscores concerns that macro headwinds and softer deal activity could damp revenue momentum in the coming quarters.