Salesforce gets back on track — heres what the software giant needs to deliver next
Summary
Competitors : SAP , Microsoft , HubSpot Most recent buy : Dec. 21, 2022 Initiation : June 15, 2018 Bottom line Investor expectations were low into Salesforces release Wednesday after the company shockingly missed on revenues and lowered its GAAP margin guidance last quarter — a double whammy to the profitable growth thesis thats been central for well over a year. CEO Marc Benioff pushed back on this idea early in the conference call with the following remarks: "I have been out there very disappointed with the huge amount of money that so many of these customers have wasted on AI. We also wont be surprised to see a hangover in tech stocks Thursday after fellow Club holding Nvidia s better-than-expected results failed to satisfy Wall Streets lofty expectations. Quarterly results From a macro perspective, there wasnt much talk about the buying environment or whether widely expected interest rate cuts from the Federal Reserve will spur more deals. When it was pointed out that Salesforces Americas region, its largest, grew only 8% in the quarter, COO Brian Millham attributed the softness to a "measured buying environment" and not a market saturation.