Salesforce PT Cut 15% Citing Marketing, Commerce Weakness; RPO Grows 14%
DA Davidson reduced Salesforce’s price target by 15% to $200 following Q4 2026 results that met expectations but saw weakness in marketing and commerce segments. Remaining performance obligations rose 14% to $72.4 billion, and the company projects a 20.9% GAAP operating margin and a 34.3% non-GAAP margin for FY27.
1. Analyst Cuts Price Target
DA Davidson analyst Gil Luria lowered the company’s price target to $200 from $235 and maintained a Neutral rating after Q4 2026 results failed to signal top-line acceleration.
2. Segment Performance in Q4
Q4 revenue drivers in sales, service and Agentforce were offset by underperformance in marketing and commerce, leaving the quarter in line with forecasts and without clear reacceleration signals.
3. RPO Growth and Margin Guidance
Remaining performance obligations reached $72.4 billion, up 14% year-over-year, and management forecasts a 20.9% GAAP operating margin alongside a 34.3% non-GAAP margin for FY27.