KUALA LUMPUR, Sept 8 (Bernama) -- Bursa Malaysia closed almost flat on Tuesday as buying interest rotated away from index heavyweights towards smaller-cap construction stocks, with sentiment affected by geopolitical uncertainty, said an analyst. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 0.39 of a point to 1,714.40 from Monday’s close of 1,714.79. The benchmark index opened 1.65 points lower at 1,713.14 and moved between 1,710.44 and 1,714.50 throughout the trading session. The broader market was almost evenly balanced, with decliners leading gainers 548 to 546, while 598 counters were unchanged, 1,107 were untraded and 25 were suspended. Turnover expanded to 4.13 billion units valued at RM3.14 billion from 3.60 billion units valued at RM2.45 billion on Monday.
While tech darlings like $NVDA and $MSFT are stealing headlines, Salesforce ($CRM) quietly stands at a powerful inflection point:
- Undervalued fundamentals
- Real-world AI deployment
- Profit margin transformation
Let’s unpack why this could be the most overlooked AI play of 2025 👇
1. From CRM Pioneer to AI Powerhouse
Salesforce isn’t just cloud-based CRM anymore. It’s evolving into a full AI enterprise infrastructure platform, led by:
Agentforce: Its next-gen AI copilot engine, built to automate white-collar tasks at scale.
Data Cloud: Real-time integration across all cloud modules.
Einstein AI: Embedded predictive + generative tools in sales, service, and marketing.
With 8,000+ Agentforce deployments and AI-related ARR now above $1B, Salesforce is no longer pivoting to AI — it’s monetizing it.
2. Profits Are Quietly Exploding
Once known for “growth at all costs,” Salesforce now boasts:
Non-GAAP op margin: 33% in FY25
Free cash flow: $12.4B, up 31%
EPS beat: 2 straight quarters
It now fits the Rule of 40 — combining double-digit growth with healthy margins. This is not a money-burning SaaS story anymore. It’s a high-efficiency cash engine.
3. Valuation? Still Underrated
Despite all this momentum:
Forward PE ~24x, vs historical 40x+
PEG ratio: ~1.3, suggesting growth at a discount
Net cash: $9B+ on hand for buybacks and dividends
Compare that to peers like $ORCL or $MSFT — CRM is priced conservatively, even after the AI run-up.
The Setup
If Salesforce re-rates back to 26–30x forward PE, we're looking at a price target of $300–340.
Add in:
Growing AI revenue
Margin expansion
- Sector rotation toward undervalued techAnd CRM starts to look like the “Oracle of the AI era.”
Bottom Line
“You don’t chase hype. You accumulate compounders before the rerate.”
Salesforce is where strong fundamentals, AI monetization, and valuation discipline meet. If you missed $NVDA at $200 or $ORCL at $70, CRM may be your second chance — with less froth.
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