Salesforce Dents SaaS Doomsday Narrative? BofA Cools Enthusiasm: Traditional Per-Seat Pricing Model Still Under AI Erosion, New Business Not Enough to Justify High Valuation

BofA believes that while Agentforce ARR surged 240%, its absolute scale stands at only $1.5 billion, negligible relative to the $46 billion revenue base; AI's substantive contribution to revenue remains in early stages, and the core per-seat pricing business model continues to face structural erosion from agentic AI. Organic growth of just 6.4% remains modest. Current valuation already sits at the high end of peers, presenting asymmetric risk-reward. The firm maintains an Underperform rating on Salesforce.