AI bubble fears are driving Salesforce stock to historic lows

AI was meant to be Salesforce’s next growth engine, not its gravity. But as bubble fears spread and investors rethink which tech names are actually on the right side of the AI build-out, Salesforce has been pushed toward valuation levels that would have sounded unthinkable a few years ago. 

Shares are down close to 30% year-to-date and sitting near the bottom of their 52-week range, even as Wall Street is still being told to expect a fresh era of double-digit growth. Salesforce's revenue growth, which ran closer to 20% annually in the good years, is now expected to sit below 10% for the next few. And the company’s multiple has shrunk, too: The company’s forward P/E is now around 18, trading at about five times forward sales, a steep comedown and below where many large software peers still sit.

https://qz.com/ai-bubble-fears-salesforce-stock-historic-lows