Corrects Agentforce spelling in headline and revenue figure to $10.26 bln from $9.70 bln in Key Details table; revises revenue comparison to slight miss, from miss
Overview
Salesforce Q3 revenue slightly misses analyst expectations, adjusted EPS exceeded estimates
Company raised full-year FY26 revenue guidance to $41.45 bln-$41.55 bln, up 9%-10% Y/Y
Returned $4.2 bln to shareholders, including $3.8 bln in share repurchases
Outlook
Salesforce raises FY26 revenue guidance to $41.45 bln to $41.55 bln
Company updates FY26 GAAP operating margin guidance to 20.3%
Salesforce expects Q4 revenue between $11.13 bln and $11.23 bln
Result Drivers
AGENTFORCE GROWTH - Agentforce ARR surpassed half a billion in Q3, up 330% Y/Y
DATA 360 EXPANSION - Data 360 ingested 32 trillion records, up 119% Y/Y
CUSTOMER EXPANSION - 50% of Agentforce and Data 360 Q3 bookings came from existing customer expansion
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Slight Miss* | $10.26 bln | $10.27 bln (40 Analysts) |
Q3 Adjusted EPS | Beat | $3.25 | $2.86 (40 Analysts) |
Q3 Adjusted Operating Margin | 35.50% | ||
Q3 Operating Margin | 21.30% |
* Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 41 "strong buy" or "buy", 12 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the it services & consulting peer group is "buy"
Wall Street's median 12-month price target for Salesforce Inc is $322.50, about 37.4% above its December 2 closing price of $234.71
The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 21 three months ago
Press Release: ID:nBwr14zca
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
