Salesforce weathered a tidal wave Monday after chip leaders Nvidia and Advanced Micro Devices drove a market meltdown. Salesforce stock and HubSpot are also issues that funds are buying, according to Investor's Business Daily's screen for stocks funds are buying.
Chip leaders crashed on Monday amid news that China artificial intelligence lab DeepSeek could train its large language AI model at a fraction of the cost of its U.S.-based rivals. Despite this market-shaking development, Salesforce and HubSpot cleared buy points.
Refine Your Stock Picks With The IBD Stock Screener
Salesforce stock gapped up on third-quarter earnings to an all-time high on Dec. 4. The Dow Jones giant reported sales of $9.44 billion and earnings of $2.41 per share after a one-time loss on strategic investments of 18 cents per share.
Shares have cleared an early entry at the 50-day moving average. The stock is also building a flat base that has a buy point of 369. Volume is running more than 100% higher while the relative strength line is rising sharply, reflecting the stock's outperformance on Monday as the S&P 500 fell nearly 2%.
Salesforce made advances in autonomous AI agents during the quarter and signed 200 contracts for Agentforce, its AI agents and tools that can connect business data for sales, service and marketing purposes.
Salesforce Stock Fund Ownership
Further, Salesforce stock has outperformed 83% of other stocks in the Investor's Business Daily database. Its Composite Rating is 96 out of 99 while earnings growth in recent quarters has boosted its EPS Rating to 94.
Mutual funds own 49% of outstanding shares. Salesforce also holds an Accumulation/Distribution Rating of B+ which shows that funds have been adding the stock to their holdings in the recent thirteen weeks.
The American Century Focused Dynamic Growth Fund (ACFSX) and the Allspring Growth Fund (SGRAX) hold shares of Salesforce stock. Both funds are part of the IBD mutual fund index.
AI Software Leader Breaks Out
HubSpot stock has broken out from a flat base at 762.47 in higher volume. Shares also are outperforming the S&P 500.
The Salesforce rival provides an AI-powered platform for sales and marketing. Shares gapped up on earnings on Nov. 7 after sales grew 20% to $669.7 million while earnings of $2.18 per share rose 35% from the prior year. The software leader's guidance for the fourth quarter stands at $673 million with per-share earnings of $2.19 at the midpoint, in line with estimates.
For the full year, the company gave a midpoint earnings outlook of $7.99 per share on $2.598 billion in sales.
Spot Bases And Buy Points With Pattern Recognition
HubSpot holds an ideal Composite Rating and EPS Rating of 99. The Relative Strength Rating of 88 is also adequate. The Accumulation/Distribution Rating of B also shows recent fund purchases have been strong.
Mutual funds own 66% of outstanding shares. The T. Rowe Price New Horizons Fund (PRNHX) and the Artisan Mid Cap Fund (ARTMX) in the IBD mutual fund index are among those holding shares of HubSpot stock.
Please follow VRamakrishnan on X/Twitter for more news on the stock market today.
