Apps & Software

Goldman Sachs Very Bullish on Cloud Software: 6 Red-Hot Stocks to Buy Now

This company blew away Wall Street recently with a gigantic $27.7 billion purchase of Slack Technologies. Inc. (NYSE: CRM) provides enterprise cloud computing solutions, with a focus on customer relationship management to various businesses and industries worldwide.

Salesforce’s enterprise cloud computing applications and platform services include Sales Cloud, which enables companies to store data, monitor leads and progress, forecast opportunities, gain insights through relationship intelligence and collaborate around sales on desktop and mobile devices.

The company also provides Service Cloud, which enables companies to deliver personalized customer service and support, as well as connect their service agents with customers on various devices, and Marketing Cloud, which enables companies to plan, personalize and optimize customer interactions.

Last year Salesforce completed the acquisition of Tableau Software, bringing together the world’s number one customer relationship management company with the world’s number one analytics platform. Salesforce aims to enhance its digital advertising value proposition (and its other existing product offerings) by expanding its data footprint to become the pioneer supplier of a consumer data platform for the corporate market.

Goldman Sachs has a $315 price objective for the shares, while the consensus target is $274.71. Monday’s final print for stock was $225.92.


This stock had an incredible 2020 and remains a top pick. ServiceNow Inc. (NYSE: NOW) develops and sells a hosted, subscription-based suite of services designed to automate various IT department functions, such as help desk, operations management and change/release management.

The company also sells a number of applications that automate various self-service related applications outside of the IT department, such as HR onboarding, facilities requests and governance, risk and compliance.

Goldman Sachs is positive on ramping pipeline builds and deal activity in the employee workflow category to support demand for a central platform/portal to manage employee service requests across payroll, benefits, IT support and employee onboarding to support an increasingly distributed workforce during the pandemic.

The massive $670 Goldman Sachs price objective towers above the consensus target price of $570.29. Service Now stock closed at $537.88 on Monday.