Agentforce in 4,000+ Deals: Can Salesforce Monetize the Momentum?

Core Insights - Salesforce's Agentforce platform is experiencing rapid growth, with over 4,000 paid deals and more than 8,000 total deployments in just two quarters, achieving over $100 million in annualized recurring revenues, indicating strong early demand [1][9] - Approximately 30% of Agentforce bookings in the last quarter were from existing customers, suggesting effective product performance and potential for further growth [2][9] - Salesforce is enhancing its sales force and introducing a new pricing model to facilitate customer scaling and faster adoption of Agentforce [3][9] Competitive Landscape - Salesforce faces significant competition from Microsoft and Oracle, both of which have integrated AI into their offerings, with Microsoft leveraging its partnership with OpenAI for its Dynamics 365 suite and Oracle enhancing its Fusion Cloud Applications [5][6] - The competitive environment necessitates that Salesforce accelerates its efforts, as both Microsoft and Oracle possess substantial resources and established customer bases [7] Financial Performance - Salesforce's stock has declined by 20.4% year to date, contrasting with a 9.2% increase in the Zacks Computer – Software industry [8] - The company trades at a forward price-to-earnings ratio of 22.65, which is below the industry average of 32.67, indicating potential undervaluation [11] - The Zacks Consensus Estimate for Salesforce's fiscal 2026 and 2027 earnings suggests year-over-year increases of approximately 10.7% and 11.2%, respectively, with recent upward revisions in earnings estimates [12]