Salesforce Reports Q4 EPS of $2.78 on $9.99B Revenue, Shares Drop 5% Amid Q1 Guidance of $2.53 to $2.55 EPS

Salesforce (CRM) reported fourth-quarter earnings per share of $2.78 on revenue of $9.99 billion, falling short of analysts' expectations of $2.61 per share and $10.04 billion in revenue. The company's guidance for the fiscal first quarter estimates adjusted earnings between $2.53 and $2.55 per share, with revenue projected at $9.71 billion to $9.76 billion, also below market expectations. Following the earnings report, Salesforce shares dropped approximately 5% in after-hours trading. Analysts have responded with mixed revisions to their price targets: Stifel lowered its target to $375 from $425, while RBC Capital maintained its target at $420, citing a solid quarter despite foreign exchange challenges. Other analysts have adjusted their targets, with Loop Capital cutting its price target to $300 from $330, and several firms raising targets for Snowflake (SNOW), including Piper Sandler to $215 from $208 and UBS to $200 from $190.