UPDATE—Aug. 28, 2024: This article has been updated to reflect more recent analyst estimates and share price information.

Salesforce (CRM) will release its fiscal 2025 second-quarter results after the bell Wednesday, with investors likely watching for improving operating margins and updates on 澳洲幸运5官方开奖结果体彩网:artificial intelligence (AI) initiatives.

Analysts project revenue to grow to $9.24 billion from $8.6 billion a year ago, according to estimates compiled by Visible Alpha. Net income is expected to be $1.34 billion, or $1.36 per share, a rise from the year-ago period but down from the previous quarter.

Key Metrics: Margin Improvement

After Salesforce's 澳洲幸运5官方开奖结果体彩网:first-quarter results sent shares tumbling, raising concerns about the company's future growth, Deutsche Bank analysts said they expect investors to focus on operating margin, where they see a slight upside.

They wrote, "Investor sentiment on Salesforce leans more bearish vs. prior quarters" due to debates around margin potential, medium-term growth trajectory, and AI monetization. The analysts added they are "hard pressed to come away from the quarter changing viewpoints on GenAI monetization and revenue trajectory, though anticipate performance/commentary on margin will likely signal the margin opportunity" for the second half of the fiscal year and fiscal 2026.

According to Visible Alpha, analysts expect operating income to be $1.74 billion on $9.24 billion in revenue, which would translate to an 澳洲幸运5官方开奖结果体彩网:operating margin of 18.8%.

Business Spotlight: AI Opportunity

Despite concerns about growth, some analysts highlighted 澳洲幸运5官方开奖结果体彩网:Salesforce's potential for AI-related ga🍬ins.

In a note titled "Don't Count Software Out of Gen-AI," Goldman Sachs analysts said that application software incumbents, like Salesforce, have developed Gen-AI products amid the AI boom.

The company likely will provide updates on its AI initiatives and customer adoption of its AI platform Einstein 1.

Salesforce shares were 0.8% lower at $261.83 in early trading Wednesday ahead of the company's earnings after the bell, and were little changed from the start of the year.