Salesforce Inc. (CRM) shares plummeted over 5% in pre-market trading on Thursday as the company's guidance for its new Agentforce AI product fell short of investor expectations.

The customer relationship management (CRM) software giant reported strong fiscal Q4 2025 results, with adjusted earnings of $2.78 per share beating analysts' estimates of $2.61. However, the company's revenue and profit outlook for fiscal 2026 raised concerns about the pace of monetization for its recently launched Agentforce AI platform.

Salesforce forecasted fiscal 2026 revenue of $40.5 billion to $40.9 billion, below Wall Street projections of $41.37 billion. The company acknowledged that Agentforce, its AI agent builder platform, is expected to make only a "modest" contribution to revenue this year, with a "more meaningful contribution" anticipated in fiscal 2027.

Outgoing CFO Amy Weaver stated that the adoption cycle for Agentforce is still in its early stages, as the company focuses on deploying the software to customers. While Salesforce closed over 3,000 paid Agentforce deals in Q4, analysts expressed concerns that the AI product's monetization may be slower than initially expected.

Despite the disappointing Agentforce guidance, Salesforce reported robust growth in its Data Cloud and AI business, with annual recurring revenue (ARR) rising 120% year-over-year to reach $900 million. The company's non-GAAP operating margin is projected to expand by 100 basis points to 34% in fiscal 2026, reflecting continued efficiency and margin improvement efforts.