CRM Salesforce, Inc.

BULLISH Impact: 7/10 8-K
Horizon days Filed May 27, 2026 Processed 9d 4h ago SEC 0001108524-26-000125
8-K Item 2.02: Earnings release

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Executive Summary

Salesforce reported a record Q1 FY27 with revenue of $11.1B (+13% YoY) and non-GAAP EPS of $3.88 (+50% YoY), far exceeding consensus of $3.13. The company guided FY27 revenue to $45.9-$46.2B (up ~11% YoY, raised midpoint) while announcing a $25B accelerated share repurchase (ASR) that delivered 103M shares upfront (~80% of expected repurchase). Agentforce ARR surpassed $1B and combined AI/Data ARR hit $3.4B, but the massive ASR and $24.8B debt issuance to fund it added significant balance sheet leverage, with total debt surging to $39.3B from $14.4B quarter-over-quarter.

Key Financial Metrics

Guidance
$45.9B-$46.2B
raised
Free Cash Flow
$6.6B
Gross Margin
76.91%

Actionable Insight

The record revenue and massive EPS beat combined with the $25B ASR (retiring ~12% of float upfront) create a powerful bullish catalyst. However, watch for the ~$25B debt-funded buyback that quadrupled total debt — credit rating impact and interest expense trajectory will be key. The raised FY27 guidance midpoint and accelerating cRPO (+14%) suggest continued momentum. Monitor Q2 FY27 for organic growth acceleration and ASR final settlement in Q3.

Key Facts

  • Record Q1 FY27 revenue of $11.1B, up 13% YoY (12% CC), including $444M from Informatica
  • Non-GAAP EPS $3.88, up 50% YoY; GAAP EPS $2.42, up 52% YoY — both well above $3.13 consensus
  • cRPO of $33.6B, up 14% YoY; total RPO of $67.9B, up 11% YoY
  • Agentforce ARR surpassed $1B; combined AI+Data ARR reached $3.4B, up over 200% YoY
  • Raised full-year FY27 revenue guidance to $45.9-$46.2B (up ~11% YoY), initiated Q2 FY27 guidance at $11.3B
  • Entered into $25B ASR with 103M shares delivered upfront; total debt jumped to $39.3B from $14.4B QoQ to fund the ASR
  • Operating cash flow $6.7B, up 3% YoY; free cash flow $6.6B, up 4% YoY
  • Non-GAAP operating margin 34.8%, up 250bps YoY; GAAP operating margin 21.1%
  • Returned $27.5B to shareholders in Q1 ($27.1B buybacks + $365M dividends)
  • Informatica acquisition contributed ~4 points to Q1 revenue growth

Financial Impact

Non-GAAP EPS of $3.88 beat $3.13 consensus by 24%; revenue of $11.1B beat $11.06B consensus by ~0.6%

revenueepscfofcfdebtdilution

Risk Factors

  • Debt ballooned from $14.4B to $39.3B QoQ to fund the $25B ASR, increasing interest expense ($317M vs $68M YoY) and leverage
  • Operating cash flow growth slowed to just 3% YoY vs historical double-digit growth — cash conversion efficiency may be plateauing
  • Stock comp remains elevated at $870M (7.8% of revenue), above historical norms for a company of this maturity
  • Growth is increasingly M&A-driven — Informatica contributed ~4pts to Q1 revenue; organic revenue acceleration in 2H is not guaranteed
  • Historical model performance on CRM shows negative T+20 alpha (-3.5% average) with 29% win rate — past reads have been too optimistic

Market Snapshot

Exchange
NYSE
Sector
Services-Prepackaged Software
Analyst Consensus
76% bullish (58 analysts)

Documents Analyzed

This report is based on 6 SEC documents filed with EDGAR.

DocumentAccession Number
8-K Filing (Primary)0001108524-26-000125
Document: crm-20260527.htm0001108524-26-000125
Document: 0001108524-26-000125-index-headers.html0001108524-26-000125
Document: 0001108524-26-000125-index.html0001108524-26-000125
Document: 0001108524-26-000125.txt0001108524-26-000125
8-K Data (Synthetic)0001108524-26-000125
11 reports for CRM
Performance horizon

Track record builds as more directional reports settle.

Filters
Rows
Reports for CRM — sortable, filterable
Type Now
Jun 1, 2026
4d ago
8-K
NEUTRAL ★ 3/10
awaiting T+20
May 31, 2026
5d ago
ANALYST-UPGRADE
NEUTRAL ★ 3/10
$242.33 $242.39▲ +0.02%▼ −2.67%$185.66 (−23.38%)
May 27, 2026
9d ago
8-K
BULLISH ★ 7/10
awaiting T+20
May 1, 2026
5w ago
ANALYST-UPGRADE
NEUTRAL ★ 3/10
$242.33 $242.39▲ +0.02%▼ −2.67%$185.66 (−23.38%)
Apr 16, 2026
7w ago
DEFA14A
NEUTRAL ★ 2/10
$181.95 $167.58▼ −7.90%▼ −13.27%$185.66 (+2.04%)
Apr 8, 2026
8w ago
Court Ruling
BULLISH ★ 5/10
$176.26 $181.07▲ +2.73%▼ −5.82%$185.66 (+5.33%)
Apr 2, 2026
9w ago
Court Ruling
NEUTRAL ★ 2/10
$186.90 $183.59▼ −1.77%▼ −11.65%$185.66 (−0.66%)
Mar 18, 2026
11w ago
Insider Cluster
NEUTRAL ★ 3/10
$194.23 $181.11▼ −6.76%▼ −12.80%$185.66 (−4.41%)
Mar 18, 2026
11w ago
Insider Cluster
NEUTRAL ★ 4/10
$194.23 $181.11▼ −6.76%▼ −12.80%$185.66 (−4.41%)
Feb 28, 2026
13w ago
Institutional Cluster
MIXED ★ 7/10
$192.79 $184.84▼ −4.12%▲ +3.81%$185.66 (−3.70%)
Showing 10 of 11

US Market Status

Market Closed — Opens Mon (36h 26m)

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