Salesforce experienced a significant decline in its stock price following its Q1 earnings report for fiscal 2025. The company reported an earnings per share (EPS) of $2.44, which beat the estimate of $2.38. However, its revenue of $9.13 billion missed the expected $9.15 billion. Salesforce's guidance for Q2 and the full fiscal year was also below analyst expectations, contributing to a sharp drop in its stock price by nearly 20%, including a 14.5% plunge in after-hours trading and a 17% drop overall. This marks Salesforce's first revenue miss since 2006 and its first-ever single-digit growth outlook. The disappointing results have raised concerns about the company's future growth, particularly in the context of increasing competition in the AI sector. Salesforce is the 28th weighted company in the S&P 500. The broader tech sector also felt the impact, with stock futures sliding as a result.