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    Salesforce (CRM) Could Be 3% Undervalued After The Braze Deal

    Simply Wall St·10/24/2026 12:27:04
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    Salesforce (CRM) has agreed to acquire customer engagement platform Braze in a cash deal valued at about US$5.66b, a transaction that highlights the growing importance of AI driven marketing to the stock’s overall narrative.

    The Salesforce share price has climbed 51.9% over the past 90 days and gained 4.6% across the last month, even though the year to date share price return is slightly down 2%, while total shareholder return is modestly lower over one and five years.

    Capitalize on the AI marketing momentum around Salesforce by scanning a curated set of 38 AI small caps that could be setting up for the next phase of interest.

    Salesforce now trades about 13% below the average analyst target and at an estimated 52% discount to intrinsic value. After such a sharp 90-day surge, is that caution misplaced or earned by the Braze deal and AI ambitions?

    Most Popular Narrative: 3% Undervalued

    Against a last close of $248.57, the most followed Salesforce narrative anchors fair value near $255.90 and argues that the current quote only requires the business to keep functioning rather than stage a heroic comeback.

    The per-seat licence was only ever the toll booth. The asset is the governed system of record: every customer, every deal, every entitlement, for about 80% of the Fortune 500. And the one thing an autonomous AI agent cannot do is act on a customer without getting into that record first. An agent with no permissions, no governance and no audit trail is not an asset, it is a liability waiting to happen. In this view, the same automation wave that threatens the seat count is exactly what drives every serious enterprise deeper into the data layer Salesforce owns. The meter changes from per-person to per-action. It does not disappear.

    See why 40 investors see Salesforce as 3% undervalued.

    According to michaelyang, that framing rests on a 9% discount rate and a view that the key asset is Salesforce data and workflow control, not the old per-user licence. The result is a fair value that sits only about 3% above the recent share price, which implies limited air gap between the narrative model and the market despite the separate SWS DCF estimate suggesting a much larger intrinsic value gap.

    Result: Fair Value of $255.90 (UNDERVALUED)

    Still, the Salesforce narrative frays quickly if AI agents fail to convert seat-based pricing into usage-based demand, or if Microsoft’s Copilot stack starts displacing workflows inside large enterprises.

    Find out about the key risks to this Salesforce narrative.

    Next Steps

    Mixed messages around Salesforce and AI can pull you in both directions, so move quickly and weigh the evidence yourself by checking the 3 key rewards and 3 important warning signs.

    Looking for more investment ideas beyond Salesforce?

    If you stop with just Salesforce, you risk missing other opportunities that fit your style and could round out your portfolio in a meaningful way.