Jefferies says Salesforce’s $5.66 billion deal could spur software industry consolidation, boost marketing abilities and fuel Klaviyo takeover speculation.

  • Jefferies sees Klaviyo as a potential takeover target as software deals increase. 
  • The trend follows $6.1 billion and $6.3 billion buyouts of CCC Intelligent Solutions and Varonis, respectively. 
  • Jefferies expects the Braze deal to strengthen Salesforce’s marketing tools and help it compete with Adobe. 

Salesforce Inc. (CRM) stock is drawing attention as Jefferies said its $5.66 billion deal to acquire Braze (BRZE) could spark further consolidation across the software industry. The firm sees the acquisition strengthening Salesforce’s marketing business and improving its competitive edge against Adobe (ADBE), while raising takeover speculation around peers such as Klaviyo (KVYO). 

Salesforce stock edged 0.4% lower overnight, heading into Wednesday, after a 0.01% slip in the regular session. 

Marketing Software Consolidation Could Ramp Up Post Salesforce-Braze Deal

Jefferies noted that Salesforce’s Braze agreement follows two other major software transactions involving CCC Intelligent Solutions Holdings Inc. (CCCS) and Varonis Systems Inc. (VRNS). The firm identified Klaviyo as a potential acquisition candidate if consolidation continues across the marketing technology sector.

Klaviyo helps consumer brands and online retailers use customer data to personalize marketing and customer communications. In the second quarter, its revenue rose 26% year-on-year to $370.6 million, prompting the company to raise its full-year sales outlook. 

CCC Intelligent Solutions agreed to a $6.1 billion cash buyout by a group led by GTCR and Elliott Investment Management, offering shareholders $7.75 per share. Meanwhile, Varonis Systems (VRNS) agreed to a $6.3 billion all-cash acquisition by Proofpoint, which is backed by private equity firm Thoma Bravo. Both deals would take the companies private. 

Jefferies sees a HubSpot (HUBS) takeover as unlikely, but believes a private equity firm could be a more likely buyer if a deal happens. 

Salesforce Could Strengthen Its Marketing Platform

Jefferies views the Braze transaction positively, explaining that the purchase could refresh Salesforce's marketing and commerce cloud offerings and boost its ability to serve business-to-consumer (B2C) customers. The combined capabilities could also help Salesforce compete more effectively with Adobe in digital marketing and customer engagement.

Braze completed 18 acquisitions in 18 months, helping it expand its products and technology. Jefferies sees this plan as fruitful. The firm kept its ‘Buy’ rating on Salesforce and its $300 price target, showing confidence after the Braze deal. 

Twilio Faces Pressure

The deal could create challenges for Twilio (TWLO), which helps businesses manage communications. Jefferies said the acquisition shows the growing importance of customer engagement tools, but Salesforce’s stronger capabilities could increase competition for Twilio. 

Salesforce could rely less on outside messaging providers or push them to lower their prices. This could increase competition in business messaging and customer engagement services. 

What CRM Retail Traders Are Saying 

On Stocktwits, retail sentiment around the stock remained ’neutral’. The stock saw an 820% surge in message volume over the past 24 hours. 

A user said, “Salesforce paying a 58% cash premium for Braze flips the software trade: three years of shorting software as an AI loser, and now the biggest platforms are buying it. If the next phase of the AI trade is M&A, the crowded software short book is exposed.”

Another user believes software stocks have been oversold in 2026, pointing to Adobe (ADBE), Salesforce and ServiceNow (NOW). The user argues that despite sharp valuation declines, the “businesses are still generating massive cash flow, pushing deeper into AI, and sitting at the center of how companies actually operate”.  

For updates and corrections, email newsroom[at]stocktwits[dot]com.<