Salesforce Shorted by Goldman as P/E Falls to 16–18x on AI Concerns
Salesforce shares trade at an 18x multiple on 2027 P/E and have fallen roughly 28% since January, prompting Goldman Sachs to include the stock in its AI-disruption short basket. Wedbush highlights a forward P/E near 16x and strong data cloud growth as a buying opportunity.
1. Multiple Compression Pressures
Enterprise software valuations have dropped sharply, with the iShares Expanded Tech-Software ETF down over 20% year to date. Salesforce now trades below the S&P 500’s 19x 2027 P/E at 18x and has lost nearly 28% of its market value since January.
2. Goldman’s AI-Disruption Short Basket
Goldman Sachs launched a trade basket betting against companies vulnerable to AI automation, positioning Salesforce among names like Accenture and DocuSign. The firm argues Salesforce’s AI integration may lag infrastructure leaders, making it a potential underperformer.
3. Wedbush Views Pullback as Buying Opportunity
Wedbush Securities notes Salesforce’s forward P/E has dropped to about 16x despite double-digit growth in its data cloud segment. Analyst commentary suggests investors have overreacted to AI fears and that the current selloff offers a chance to acquire high-quality software at a discount.