11:30 AM EDT, 07/11/2024 (MT Newswires) -- Salesforce ( CRM ) is seeing good data cloud momentum, though business trends are likely "sluggish," Oppenheimer said Thursday, citing an interview with a Salesforce ( CRM ) global system integrator.

The customer relationship management software provider's generative artificial intelligence trends seem mixed, though demand is supported by better pricing transparency and bundling it with data cloud, the brokerage said, citing the partner.

"Salesforce ( CRM ) is operating in a bad demand neighborhood and there is renewal pressure from customer shelfware issues and less hiring," Oppenheimer analysts said in a note to clients.

Microsoft ( MSFT ) continues to be the company's biggest competitive threat, according to the note. "Microsoft ( MSFT ) differentiates on price and platform usability; however, comprehensiveness and its Co-pilot technology for sales remain underwhelming comparably," the analysts said.

Oppenheimer reiterated its outperform rating on the Salesforce ( CRM ) stock, with a $280 price target.

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