Salesforce and Nvidia Surge on Strong AI Earnings

Shares of Salesforce, Inc. surged up to 22% following second-quarter financial results that significantly exceeded Wall Street expectations. The company reported revenue of $11.35 billion and adjusted profit of $5.90 per share, beating the consensus estimate of $3.27. This growth marked the company's strongest sales increase in four years, driven by the adoption of artificial intelligence products. Agentforce annual recurring revenue reached $1.5 billion, while Slackbot surpassed 1 million active users.

Salesforce also announced Claudeforce, a partnership with Anthropic to integrate the Claude AI into Salesforce and Slack workflows. Based on these results, management raised its full-year revenue outlook to approximately $46.25 billion and increased adjusted EPS guidance to $16.69 at the midpoint.

The performance triggered a broader rally in the enterprise software sector, with ServiceNow shares rising 10%. The surge countered investor fears of a SaaS-pocalypse, suggesting that agentic AI is augmenting rather than displacing traditional software providers. Simultaneously, Nvidia shares rose 8% after reporting better-than-expected quarterly results and projecting fiscal 2028 revenue growth of 70%, far exceeding the 45% expected by analysts. This growth was further supported by Amazon Web Services announcing plans to purchase 2 million Nvidia GPUs.