Stifel Reaffirms Buy at $300; Piper Sandler Cuts Salesforce Target to $280
Stifel Nicolaus reaffirmed its Buy rating on Salesforce, setting a price target of $300, while Piper Sandler cut its Overweight target to $280 from $315. Piper cited seat-compression and vibe coding limiting valuation multiples and anticipates ongoing software sector pessimism favoring hyperscaler, consumption and vertical niches.
1. Ratings Updates
Stifel Nicolaus maintained a Buy rating on Salesforce with a $300 price target on February 5, while Piper Sandler adjusted its Overweight target down to $280 from $315 on February 2, reflecting divergent analyst outlooks on the stock’s near-term potential.
2. Valuation Constraints
Piper Sandler flagged seat-compression and vibe coding narratives as factors capping valuation multiples in the platforms and apps domain, suggesting that these trends could restrain further multiple expansion for software providers.
3. Segment Preferences
Amid broader software pessimism, Piper Sandler recommended investors shift focus toward hyperscaler, consumption-based and vertical sub-sectors, naming Microsoft and ServiceTitan as top picks in its revised coverage universe.
4. Salesforce Cloud Offerings
Salesforce develops cloud-based enterprise software across customer service, sales automation, digital commerce, marketing automation, collaboration, community management and industry-specific platforms, supported by training and advisory services.