Salesforce stock surges 22% as strong earnings ignite software rally

Salesforce shares surged 22.6% on Thursday, delivering the company’s second-best trading day on record and helping ignite a broader rally across software stocks as investors reassessed fears that artificial intelligence could undermine the traditional software industry.

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The enterprise software giant closed at $252.05 after its shares jumped following a stronger-than-expected fiscal second-quarter earnings report, an upgraded full-year outlook and an expanded artificial intelligence partnership with Anthropic. The gain was Salesforce’s biggest one-day increase since 2020, when its stock rose roughly 26%.

Strong earnings ease AI concerns

Salesforce reported quarterly revenue of $11.35 billion, slightly ahead of Wall Street expectations of around $11.33 billion. Adjusted earnings came in at $5.90 per share, far exceeding the roughly $3.28 analysts had forecast and representing a substantial increase from the same period a year earlier.

The company also raised its full-year revenue forecast to between $46.1 billion and $46.4 billion, up from its previous range of $45.9 billion to $46.2 billion. Its new adjusted earnings outlook of $10.21 to $10.25 per share was also significantly higher than its previous guidance.

The results offered investors a much-needed confidence boost after months of concern that generative AI could disrupt software-as-a-service companies by allowing businesses to replace traditional applications with AI-powered alternatives.

Salesforce CEO Marc Benioff has pushed back against those fears, arguing that the company's latest results demonstrate continued demand for enterprise software.

Software stocks join the rally

The optimism quickly spread beyond Salesforce. The iShares Expanded Tech-Software Sector ETF rose about 2.5%, while shares of ServiceNow, Adobe and Fortinet also posted significant gains. The broader State Street Software and Services ETF jumped 5.2% on Thursday, reaching a record high.

The rally suggests investors are becoming more comfortable with the idea that AI may complement established software providers rather than eliminate them.

Salesforce's expanded partnership with Anthropic reinforced that narrative. The companies unveiled "Claudeforce," which brings Anthropic's Claude AI capabilities into Salesforce's ecosystem, giving businesses another way to interact with enterprise data and workflows.

For investors, Salesforce's dramatic rebound represents more than a strong earnings reaction. It could signal a broader shift in sentiment toward software companies that spent much of 2026 under pressure from fears of AI-driven disruption.