After speaking to large enterprise IT executives and services partners of Salesforce, the analyst is concerned that more “front-office/sales and marketing” technology spend was pulled forward in 2020 and 2021 than most investors think.
This dynamic could pressure Salesforce’s growth rate in 2022, Keirstead adds.
Given the risk of “more modest growth rate upside” in 2022, the stock’s valuation is “reasonable but not compelling,” even with an improving margin story, Keirstead notes.
By Anusuya Lahiri
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