Marc Benioff's Salesforce Spent a Record $27 Billion on Stock Buybacks in a Single Quarter to Fight What He Calls the "SaaSpocalypse." Here's Why the Size of That Repurchase Matters.
The company is making a big change to its balance sheet.
Overview
Few companies have been hit as hard by the "SaaSpocalypse" as Salesforce (NYSE: CRM). The company that practically invented the software-as-a-service (SaaS) category is seen as a potentially big loser in the age of generative AI, which could help companies use "vibe coding" to create custom software to do the same sorts of things they previously paid SaaS companies to handle. After AI tools debuted that made that threat look more acute, Salesforce shares fell sharply. By mid-2026, they were down nearly 60% from their high at the start of 2025.
Salesforce CEO Marc Benioff agrees that AI will have a big impact on his company, but he thinks it'll be for the positive. That's why he had the company take on a huge amount of debt to buy the beaten-down stock. The $25 billion in accelerated repurchases, combined with normal repurchases funded by cash flow, brought the total to a record $27 billion in buybacks during the first quarter.
Details
That's a huge bet on the company's future. Here's why it makes sense.
Source
Originally published at www.fool.com.