Salesforce Trades at Historic 14x Earnings After 43% Drop, Cramer Says Bottom Near
Cramer noted Salesforce’s earnings are growing at a 12% clip this year, trailing the S&P, while its shares are down 43% from their 52-week high. The stock trades at 14 times projected 2026 earnings—its lowest price-to-earnings multiple ever, including 2008—prompting Cramer to call it “near a bottom.”
1. Cramer Highlights Valuation Low
Jim Cramer screened software stocks for undervaluation and noted Salesforce’s forward P/E multiple has fallen to 14—its lowest level on record, including during the Great Recession. He highlighted that this multiple and the share-price decline have created what he believes is a near-term market bottom.
2. Share Performance and Growth Rates
Salesforce shares have plunged 43% from their 52-week peak amid concerns over its 12% earnings growth forecast, modest relative to broader market indices. The company’s core CRM offerings and AI investments remain intact, but the market is pausing for clearer signs of accelerated revenue and profit trajectories.