Is Salesforce (CRM) a Sleep-Now-Wake-Later AI Play?

The phrase "sleep-now-wake-later" has become a shorthand for companies that appear undervalued in the short term but hold transformative potential as artificial intelligence reshapes industries. For Salesforce (CRM), the question of whether it fits this archetype hinges on two critical factors: its ability to drive value-driven AI adoption among enterprise clients and its capacity to convert early momentum into sustainable long-term growth. Recent data suggests the company is navigating this transition with a mix of strategic foresight and operational execution, positioning itself as a compelling, if not yet fully realized, AI play.

A Strategic Shift: From Cautious to Aggressive AI Adoption

Salesforce's AI strategy has evolved in lockstep with shifting corporate attitudes toward the technology. According to a report by Salesforce, 70% of CFOs adopted a conservative AI approach in 2020, but by 2025, that figure had plummeted to just 4%, with a third of CFOs now pursuing aggressive AI integration. This shift reflects a broader recognition of AI's role in driving efficiency and revenue growth, particularly in functions like sales, marketing, and customer service. Salesforce has capitalized on this trend by prioritizing "agentic AI"-systems capable of autonomous decision-making-which now accounts for a quarter of its AI budgets. This focus extends beyond traditional ROI metrics, emphasizing outcomes like risk reduction and revenue generation, a pivot that aligns with the evolving priorities of enterprise leaders.

Financial Performance: Momentum in AI-Driven Platforms

The financial results underscore Salesforce's progress in monetizing its AI bets. In Q3 of fiscal 2026, the company reported a combined $1.4 billion in annual recurring revenue (ARR) from Agentforce and Data 360, a 114% year-over-year increase. Agentforce alone saw its ARR surge 330% to $500 million, driven by a 58% quarter-on-quarter rise in paying customers. This growth is not merely a function of new sales but also of customer retention and expansion: 50% of Q3 bookings for these platforms came from existing clients. Such metrics highlight Salesforce's ability to convert early AI adoption into recurring revenue, a critical factor for long-term sustainability.

Moreover, the company's broader financial performance, while not explosive, remains resilient. Third-quarter net income reached $2.09 billion, up from $1.53 billion in the prior year. While overall revenue growth has slowed due to market saturation and competition, the AI segment's performance-particularly in automating complex business tasks-positions it as a key differentiator. Analysts note that Salesforce's pre-built AI tools, such as those integrated with Slack, offer a "less intimidating" entry point for enterprises wary of overhauling their tech stacks. This low-friction approach could accelerate adoption in sectors like financial services, where AI's potential for fraud detection and customer personalization is particularly high.

Long-Term Growth: Risks and Opportunities

Despite these positives, Salesforce faces challenges. The AI market is crowded, with competitors like Microsoft and Google offering cloud-based solutions that integrate seamlessly with their broader ecosystems. Additionally, the company's slower overall growth rate-partly due to a mature CRM market-raises questions about how much AI can offset these headwinds. However, the trajectory of Agentforce and Data 360 suggests that Salesforce is not merely defending its core but actively redefining it. The platform's ability to process 3.2 trillion tokens in Q3 and close over 9,500 paid deals indicates a scalable infrastructure that could support further innovation.

Analysts project that Salesforce's AI initiatives will strengthen its position in the financial services sector, where demand for predictive analytics and automation is surging. This sector-specific focus could create a flywheel effect: as AI tools demonstrate tangible value in high-margin industries, they may serve as a gateway to broader enterprise adoption.

Conclusion: A Sleep-Now-Wake-Later Play?

Salesforce's AI strategy is neither a moonshot nor a sure thing. The company has made significant strides in aligning its offerings with the evolving priorities of CFOs and enterprise leaders, but its long-term success will depend on sustaining this momentum in a competitive landscape. For investors, the key question is whether the current valuation reflects the full potential of its AI-driven platforms. At present, the data suggests a "sleep-now" phase: the company is laying the groundwork for a future where AI becomes a core driver of growth, but the "wake-later" payoff remains conditional on execution.

If Salesforce can continue to demonstrate that its AI tools deliver measurable business outcomes-reducing risk, increasing efficiency, and unlocking new revenue streams-it may well emerge as one of the most compelling AI plays in the enterprise software space. For now, the numbers tell a story of cautious optimism: a company that has moved from skepticism to action, and from experimentation to scale.