Key Takeaways
Salesforce’s Agentforce AI platform hit $800 million in annual recurring revenue, up 82% in six months
Full-year FY26 revenue rose 10% to $41.5 billion, with Q4 revenue up 12% to $11.2 billion
Combined ARR for Agentforce and Data Cloud hit $2.9 billion, growing over 200%
Management raised its FY2030 revenue target to $63 billion and expanded a $50 billion buyback
Salesforce stock is down 25% this year despite strong AI growth numbers
Salesforce’s AI revenue is growing fast, and the numbers are hard to ignore. Agentforce, its agent platform, went from $440 million in annual recurring revenue last July to $800 million by the end of the fourth quarter — a jump of 82% in roughly six months.
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That said, $800 million is still a small slice of Salesforce’s overall business. Total FY26 revenue came in at $41.5 billion, up 10% year-over-year. Q4 alone brought in $11.2 billion, a 12% rise.
Remaining performance obligations — a key forward-looking metric — climbed to $72 billion. That points to a healthy pipeline heading into FY27.
When you combine Agentforce with Data Cloud (now called Data 360), ARR reached $2.9 billion, growing over 200%. That’s driving some of the largest enterprise deals the company has ever closed.
Management guided FY27 revenue growth at 10%-11%, and pushed the long-term FY2030 target up to $63 billion. That’s a meaningful lift from prior guidance.
Buybacks and Margin Story
On the capital return side, Salesforce expanded its buyback program to $50 billion and raised its dividend. The company returned 99% of FY26 free cash flow to shareholders — a number that tends to get Wall Street’s attention.
Margins are edging higher, though some investors are watching legacy segments like Marketing Cloud, Commerce Cloud, and Tableau, which have shown softness. There’s also some caution around the company’s plan to change how it reports cloud-level data going forward.
Still, analysts largely see the AI upsell as an opportunity rather than a threat. Salesforce has deep customer relationships, embedded workflows, and large amounts of proprietary business data — things that are hard for AI startups to replicate overnight.
The broader concern hitting software stocks this year has been a narrative around AI disruption — the idea that agents could replace traditional seat-based software. Anthropic’s head of Americas acknowledged last month that “2025 was meant to be the year where AI agents transformed the enterprise. But the hype turned out to be mostly premature.”
OpenAI has made similar admissions, noting that enterprise AI deployments require IT consultants and experience they don’t yet have. That’s been a continuous tailwind for established software players like Salesforce, which already have the enterprise relationships in place.
AI Adoption Still Climbing Slowly
U.S. Census data shows that only 18% of businesses were using AI as of early 2026, though that number rises to 32% for companies with 250 or more employees. The numbers have been ticking up since 2023.
Salesforce also recently extended its Formula 1 partnership through 2030, launching an Agentforce-powered Fan Companion on F1.com. The rollout is designed to explain the sweeping 2026 rule changes to fans. Salesforce stock rose about 3% on the day of that announcement.
Wall Street has maintained a Moderate Buy rating on Salesforce, as analysts have pointed to roughly 35%-40% upside over the next year. The stock has been trading near one of its lowest historical forward multiples. It should be noted that Salesforce is down 25% year-to-date.
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