Salesforce Inc. (CRM) shares continued their downward trajectory on Monday, falling 1.44% to $149.60 and extending what is now the company's longest losing streak on record. The stock has declined for 14 consecutive sessions, pushing it to a 52-week low of $146.32 during the selloff.
The prolonged downturn reflects mounting investor anxiety over the impact of artificial intelligence on traditional software-as-a-service (SaaS) business models. Year to date, Salesforce has lost 43% of its value, with much of the recent weakness tied to fears that customers may use AI coding agents to build alternatives to the company's Agentforce platform.
AI Disruption and 'SaaSpocalypse' Concerns
The broader software sector has come under significant pressure amid what some analysts have termed a 'SaaSpocalypse' — a wave of concern that AI could fundamentally reshape or displace established SaaS revenue models. AI agents, which are software systems capable of completing complex tasks using language models, have become central to these worries. While still in early development, the technology raises questions about whether future workflows in knowledge industries could be handled increasingly by machines rather than traditional software platforms.
Salesforce last closed higher on June 1, following mixed first-quarter earnings released on May 27. Since then, shares have fallen 28% over the ongoing losing streak, erasing any optimism that had briefly emerged around a potential re-rating of AI risk in the software sector.
Acquisition Fails to Soothe Investor Nerves
In an attempt to address investor concerns, Salesforce last week announced a $3.6 billion acquisition of an AI agent-focused company, alongside the integration of a proprietary AI model and expanded agent capabilities. Jefferies noted that Salesforce's 15 mergers and acquisitions since May 2025 have helped 'accelerate innovation.' Despite these moves, shares continued to decline, suggesting the acquisition did little to shift near-term sentiment.
Salesforce has also pursued partnerships, including one with a Formula 1 racing team for AI-driven operations, as part of its broader push into applied AI. However, investor caution persists as long-term disruption fears dominate trading behavior.
Analyst Views Remain Mixed
Even as Salesforce stock has fallen sharply, Wall Street sentiment remains broadly constructive. Monness Crespi analyst Brian White upgraded the stock to Buy from Neutral with a $200 price target, citing valuation rather than operational improvements. White noted that Salesforce has 'earned the unflattering title as the second-worst performing stock in our coverage universe in 2026,' but argued that current levels present a compelling valuation opportunity.
According to FactSet data, Salesforce carries an average Overweight rating across 54 analysts, with a $244.58 price target. The stock currently has 40 Buy-equivalent ratings, two Underweight ratings, and 12 Hold ratings. The divergence between analyst optimism and market action highlights the uncertainty surrounding AI's long-term impact on the software industry.
For context, other tech stocks have also faced AI-related headwinds, though some have managed to recover. For instance, Duolingo stock jumped 8% as tech recovery and strong user growth offset AI fears, showing that the market is differentiating between companies. Meanwhile, Micron earnings are set to gauge AI chip demand as the broader market holds near records, underscoring the selective nature of AI-related selling.
Salesforce's record losing streak and 52-week low serve as a stark reminder of the challenges facing legacy SaaS companies as AI continues to evolve. While the company is actively investing in AI capabilities, the market remains skeptical about the pace and magnitude of the transition.
This article is for informational purposes only and does not constitute financial advice.
