Jim Cramer Was Worried About Potential Impact On Salesforce Inc. (NYSE:CRM)’s Dreamforce Conference

Customer relationship management software provider Salesforce Inc. (NYSE: CRM )'s shares are down by 19% over the past year and by 22% year-to-date. It is one of the most commonly discussed stocks by Jim Cramer. For instance, in May, Cramer revealed that Salesforce Inc. (NYSE:CRM) was one of his smallest positions because the "market hates software." However, in July, the CNBC TV host countered Keybanc's negative coverage by pointing towards remarks made by Salesforce Inc. (NYSE:CRM) CEO Marc Benioff. In his morning appearance on August 6th, he discussed the firm's decision to promote Miguel Milano to operating chief:

"Yeah, look, I've met Miguel, he's a terrific guy, the guy that just got promoted, but, look, we're not that far from Dreamforce, so I'd hate to see any turmoil there. Miguel Milano is the guy who did, the last time I went, he was part of the major speech. But, you need to see, right before Dreamforce, it's really important. I can't wait to talk to Marc, cause, the stock had been going up but that may have been as part of an unwind of Situational along with Workday, along with ServiceNow, but didn't want to see this. Didn't want to see that departure."

Cramer's remarks about Salesforce Inc. (NYSE:CRM) tie into his earlier sentiments and the broader debate surrounding the firm. On multiple ocasions he has discussed the difference between the firm's AI (Agentforce) and non-AI offerings. With Milano previously being the chief revenue officer, Cramer's worries seem to reflect his concerns about Salesforce Inc. (NYSE:CRM)'s revenue from its AI products.

On the bullish front, Salesforce Inc. (NYSE:CRM)'s market presence and enterprise relationships can drive Agentforce revenue higher and enable businesses to expand their operations without relying on the traditional seat-based business model. Despite being a legacy software firm, it is also growing sales in the AI era. During its fiscal Q1 2027, Salesforce Inc. (NYSE:CRM)'s revenue jumped by 13.3% annually to sit at $11.13 billion, while its earnings marked a whopping 50%+ annual jump. Yet, there are fears that this growth could moderate. As its fiscal Q1 ended, Salesforce Inc. (NYSE:CRM) kept its full-year support-and-subscription guidance growth at 12% while its Q1 growth was 14%. Additionally, $444 of the firm's Q1 revenue came from its Informatica division and didn't reflect organic business.

Looking at the hedge funds, sentiment slightly moderated in Q1. In Q4 2025, 115 out of the 1,041 hedge funds covered by Insider Monkey had owned a stake in Salesforce Inc. (NYSE:CRM), while this figure dropped to 101 out of 1,022 in Q1 2026. The bearish sentiment appears to be reflected in the valuation as well, since Salesforce Inc. (NYSE:CRM)'s forward P/E of 14.51 is lower than ServiceNow's 31.15 and Oracle's 18. Short interest is higher at 4.15% of the float compared to 0.74% for SAP.

While Insider Monkey acknowledges the risk and potential of CRM as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CRM that has 100x upside potential, check out our report about the cheapest AI stock .

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