Is Salesforce stock a buy after its $5.6 billion Army contract?

Core Viewpoint - Salesforce has secured a significant contract with the U.S. Army valued at approximately $5.6 billion, which is expected to positively impact its stock performance and accelerate the integration of AI into military operations [1][4]. Group 1: Contract Details - The $5.6 billion contract aims to enhance the Department of War's integration of advanced artificial intelligence into its systems and provide access to Salesforce's Missionforce portfolio [4]. - The Missionforce initiative, launched in September 2025, focuses on transforming defense and intelligence operations by leveraging AI for logistics, personnel support, and decision-making [5]. - Key benefits of the contract include predictable pricing, expedited procurement processes, real-time analytics, enhanced situational awareness, and support for 'hire-to-retire' workflows [6]. Group 2: Market Reaction - Following the announcement of the contract, Salesforce's stock price increased by 2.11%, rising from $229.40 to $234.23 in after-hours trading [1]. - Despite this positive news, CRM shares are down 9.55% year-to-date and 33.91% over the past 12 months, indicating a reversal from previous market trends [3]. Group 3: Industry Context - The contract aligns with the U.S. government's broader initiative to advance defense technology, which includes a 'patent holiday' allowing private companies to access government-owned patents for free for two years [7].