Salesforce Posts Reaccelerating Revenue and Big EPS Beat Driven by $27 Billion Buyback

Investors must decide whether the $27 billion buyback inflated earnings or softer RPO points to slower future contract sales.

Overview

Salesforce reported revenue growth that reaccelerated and beat earnings-per-share expectations, with the company’s $27 billion share buyback making a material contribution to the EPS beat.
Key backlog measures tied to contracted future revenue—remaining performance obligation (RPO) and constant-currency RPO—came in lighter than analysts expected, raising concerns about the strength and duration of new contracts.
Broker responses were mixed but cautious: Northland cut its price target to $202 and kept a Market Perform rating citing slowing cRPO, while BMO trimmed its target to $215 but retained an Outperform view.
The stock showed muted trading after hours, reflecting investor uncertainty as markets weigh buyback-driven earnings against weaker signals from contract backlog metrics.
RPO is used as a proxy for contracted future revenue, so sustained weakness could reduce revenue visibility and pressure future growth forecasts and investor confidence even if near-term revenue appears stronger.