Salesforce’s introduction of Agentforce 2.0 should further boost demand: Wedbush

Salesforce’s (NYSE:CRM) unveiling of Agentforce 2.0 this week should further boost demand for the cloud software giant’s products and services in the enterprise space, Wedbush Securities said.

Shares rose nearly 1% in premarket trading on Wednesday.

“With the goal of accelerating the path to building next-gen AI agents grounded in customer data to lower costs and increase automation for businesses, Agentforce 2.0 is looking to enable AI to perform advanced actions for humans with elevated trust layers built in for agents paving the way for a new era of digital labor,” Wedbush Securities analyst Dan Ives wrote in a note to clients.

“Data Cloud remains a key part of the Agentforce story as this allows agents to feed into customer data and contextualize businesses to advance AI capabilities with businesses looking to automate low-value and repetitive tasks as 41% of the time is spent on these tasks,” he added.

Ives, who maintained his Outperform rating and $425 price target on Salesforce, pointed out that Agentforce 2.0 boosts the company’s total addressable market to $749B by 2030, up from $439B by 2028, as it further entrenches it in the AI agent space.

And with CEO Marc Benioff announcing that the company will hire 2,000 salespeople to sell its AI software, it appears poised to further boost generative AI revenue, Ives declared.

“With the AI Revolution entering the software phase heading into 2025, CRM is well-positioned to capture its fair share of market expansion as the AI monetization phase will catalyze CRM’s growth over the next 12 to 18 months with a $7 trillion-dollar digital labor market opportunity on the horizon for CRM,” Ives wrote.