J.P. Morgan is removing Salesforce from its list of top stock picks after the stock's AI-driven boom so far this year.
He pointed to sequential degradation in the company's software-as-a-service earnings and muted second-quarter bookings expectations, based on a proprietary vendor survey by J.P. Morgan.
Salesforce's stock price has skyrocketed this year, gaining nearly 60%.
Analysts surveyed by FactSet are calling for earnings per share of $1.90 and revenue of $8.53 billion when the company reports quarterly figures Wednesday.
Correction: This story has been updated to reflect that Salesforce's guidance suggests its revenue will range between $8.51 billion and $8.53 billion.
Persons:
Morgan, Mark Murphy, Murphy, Salesforce, — CNBC's Michael Bloom
Organizations:
Dow Jones Industrial, Morgan, Oracle, Microsoft
Locations:
Morgan, Monday's, Tuesday's