Salesforce Stock Rises 4% Amid Activist Investor Starboard Value's 50% Stake Increase in Q2

Activist investor Starboard Value has increased its stake in Salesforce by nearly 50% to 1.25 million shares in Q2, following a sharp drop in the company's stock price. This move comes three years after Starboard pushed for changes at Salesforce. Salesforce stock has dropped 27% since January, which may have caught Starboard's attention. Starboard has also taken new positions in online travel company TripAdvisor and the iShares Russell 2000 ETF, and boosted its stake in Pfizer. The company has a Moderate Buy consensus rating with an average price target of $349.43, implying a 44.04% upside potential.

Activist investor Starboard Value has significantly increased its stake in Salesforce, boosting its holdings by nearly 50% to 1.25 million shares in the second quarter [1][2]. This move comes three years after Starboard initially pushed for changes at the U.S. software company. The increase in stake follows a sharp drop in Salesforce's stock price, which has declined by 27% since January [1][2].

The hedge fund's decision to increase its holding in Salesforce is a notable development, as many activist investors who publicly advocated for changes at the company in late 2022 and early 2023 had either cut their stakes or exited completely by mid-2023 [1][2]. Starboard, however, is known for revisiting earlier investments if it perceives the company is backsliding on promises [1][2].

Starboard's move is not limited to Salesforce. The hedge fund has also taken new positions in online travel company TripAdvisor and the iShares Russell 2000 ETF, and has boosted its stake in Pfizer [3][4]. These moves suggest that Starboard is actively seeking new investment opportunities while maintaining a significant presence in its existing portfolio.

Salesforce's stock price gained nearly 100% in 2023, but Starboard's chief executive, Jeffrey Smith, has indicated that the company still has room to become more efficient and profitable [1][2]. This perspective aligns with Starboard's strategy of investing in companies with potential for improvement.

The company has a Moderate Buy consensus rating with an average price target of $349.43, implying a 44.04% upside potential [3]. This rating reflects the market's view on Salesforce's future performance and the potential for the company's stock to appreciate further.

The increase in Starboard's stake in Salesforce and its other moves highlight the hedge fund's active investment strategy and its focus on companies with growth potential. As investors closely watch Starboard's actions for possible investment trends, the latest filings provide valuable insights into the hedge fund's current portfolio and its investment thesis.

References:
[1] Reuters. (2025). Activist Starboard Value Buys More Salesforce Stock After First Demanding Change in 2022. Retrieved from [https://www.tradingview.com/news/reuters.com,2025:newsml_L1N3U6149:0-activist-starboard-buys-more-salesforce-stock-after-first-demanding-change-in-2022/](https://www.tradingview.com/news/reuters.com,2025:newsml_L1N3U6149:0-activist-starboard-buys-more-salesforce-stock-after-first-demanding-change-in-2022/)
[2] Svea Herbst-Bayliss. (2025). Activist Starboard Buys More Salesforce Stock. Retrieved from [https://ca.finance.yahoo.com/news/activist-starboard-buys-more-salesforce-230031366.html](https://ca.finance.yahoo.com/news/activist-starboard-buys-more-salesforce-230031366.html)
[3] Investopedia. (2025). Top Stock Movers Now: UnitedHealth, Salesforce, Applied Materials, and More. Retrieved from [https://www.investopedia.com/top-stock-movers-now-unitedhealth-salesforce-applied-materials-and-more-11791735](https://www.investopedia.com/top-stock-movers-now-unitedhealth-salesforce-applied-materials-and-more-11791735)
[4] Seeking Alpha. (2025). Starboard Takes New Position in TripAdvisor, Adds Salesforce and Pfizer Among Q2 Moves. Retrieved from [https://seekingalpha.com/news/4485801-starboard-takes-new-position-in-tripadvisor-adds-salesforce-and-pfizer-among-q2-moves](https://seekingalpha.com/news/4485801-starboard-takes-new-position-in-tripadvisor-adds-salesforce-and-pfizer-among-q2-moves)