Burkett Asset Management Ltd Purchases New Holdings in SAP SE $SAP

Key Points

• Burkett Asset Management opened a new position in SAP SE during the fourth quarter, buying 11,023 shares valued at about $2.68 million. The stake represents roughly 2.7% of its portfolio and is its 13th-largest holding.
• SAP is drawing attention for its AI push, including a new AI-led delivery center with Deloitte in Bengaluru that could add up to 500 specialists. Management is also highlighting India as a key future market for AI adoption.
• The stock has faced some recent pressure, falling about 3.9% amid concerns over rival Oracle’s aggressive AI spending and a lowered gross margin forecast from Goldman Sachs tied to rising hardware costs.

Burkett Asset Management Ltd purchased a new stake in shares of SAP SE (NYSE:SAP - Free Report) in the fourth quarter, according to its most recent Form 13F filing with the SEC. The firm purchased 11,023 shares of the software maker's stock, valued at approximately $2,678,000. SAP accounts for approximately 2.7% of Burkett Asset Management Ltd's portfolio, making the stock its 13th largest position.

Other large investors also recently bought and sold shares of the company. Sound Income Strategies LLC lifted its position in SAP by 109.4% during the 4th quarter. Sound Income Strategies LLC now owns 111 shares of the software maker's stock valued at $26,000 after acquiring an additional 58 shares during the period. Abich Financial Wealth Management LLC purchased a new position in SAP during the 3rd quarter valued at about $27,000. Community Bank N.A. purchased a new position in SAP during the 3rd quarter valued at about $32,000. GoalVest Advisory LLC purchased a new position in SAP during the 4th quarter valued at about $35,000. Finally, Annis Gardner Whiting Capital Advisors LLC lifted its position in SAP by 758.8% during the 4th quarter. Annis Gardner Whiting Capital Advisors LLC now owns 146 shares of the software maker's stock valued at $35,000 after acquiring an additional 129 shares during the period.

Key Headlines Impacting SAP

Here are the key news stories impacting SAP this week:

• Positive Sentiment: SAP and Deloitte launched an AI-led delivery center in Bengaluru that could add up to 500 AI specialists, reinforcing SAP’s push into enterprise AI and expanding its India talent base. Deloitte-SAP launch Bengaluru hub, to add up to 500 AI specialists
• Positive Sentiment: SAP is highlighting India as a major future AI market, with CEO Christian Klein saying the country could become a frontrunner in applying AI in industry, which supports the company’s long-term growth narrative there. SAP CEO Christian Klein says India a future AI frontrunner
• Positive Sentiment: SAP released patches for multiple critical vulnerabilities, which may help reduce security risk for customers and protect enterprise confidence in its software platform. Ivanti, Fortinet, and SAP Release Patches for Multiple Critical Vulnerabilities
• Neutral Sentiment: SAP’s presentation at the Bank of America Global Research C-Suite TMT Conference likely offered updates on strategy and operations, but no major new catalyst was evident from the transcript headline alone. SAP SE (SAP) Presents at Bank of America Global Research C-Suite TMT Conference Transcript
• Negative Sentiment: SAP shares weakened after Oracle unveiled aggressive AI investment plans, stoking concerns that a rival could spend heavily to compete more directly in enterprise software and AI. SAP shares retreat after Oracle unveils aggressive AI investment plans (SAP)
• Negative Sentiment: Goldman Sachs reportedly lowered its gross margin forecast for SAP, citing rising hardware costs, which could pressure profitability expectations. SAP falls as Goldman lowers gross margin forecast on rising hardware costs
• Negative Sentiment: Separately, SAP’s stock was also hit by the broader software-sector reaction to Oracle’s spending surge, with investors interpreting the higher AI capex environment as a potential threat to margins and competition. SAP stock tumbles 3%: why Oracle's AI capex surge is hitting software shares

Analyst Ratings Changes

Several research analysts have issued reports on SAP shares. HSBC raised shares of SAP from a "hold" rating to a "buy" rating in a report on Wednesday, April 22nd. TD Cowen reaffirmed a "buy" rating on shares of SAP in a report on Thursday, May 14th. Weiss Ratings cut shares of SAP from a "buy (b-)" rating to a "hold (c+)" rating in a report on Monday, March 16th. Barclays lifted their target price on shares of SAP from $256.00 to $257.00 and gave the stock an "overweight" rating in a report on Monday, April 27th. Finally, JPMorgan Chase & Co. reaffirmed a "neutral" rating on shares of SAP in a report on Tuesday, March 24th. One analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating and seven have given a Hold rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average target price of $283.40.

SAP Stock Down 3.9%

Shares of SAP stock opened at $163.59 on Friday. The company has a 50-day simple moving average of $174.11 and a two-hundred day simple moving average of $202.83. SAP SE has a 52-week low of $158.58 and a 52-week high of $313.28. The stock has a market capitalization of $200.97 billion, a PE ratio of 22.11, a price-to-earnings-growth ratio of 1.90 and a beta of 1.12. The company has a debt-to-equity ratio of 0.11, a quick ratio of 1.07 and a current ratio of 1.07.

SAP (NYSE:SAP - Get Free Report) last announced its quarterly earnings results on Friday, February 27th. The software maker reported $1.99 EPS for the quarter. SAP had a net margin of 20.08% and a return on equity of 17.31%. The firm had revenue of $11.06 billion during the quarter. On average, analysts anticipate that SAP SE will post 8.39 EPS for the current fiscal year.

SAP Increases Dividend

The business also recently declared an annual dividend, which was paid on Friday, May 15th. Stockholders of record on Tuesday, May 5th were paid a $2.9291 dividend. This is a boost from SAP's previous annual dividend of $2.54. This represents a dividend yield of 170.0%. The ex-dividend date was Tuesday, May 5th. SAP's dividend payout ratio (DPR) is presently 28.92%.

SAP Profile

SAP SE is a global enterprise software company headquartered in Walldorf, Germany. Founded in 1972 by five former IBM engineers, the company's name is an acronym for Systeme, Anwendungen und Produkte in der Datenverarbeitung (Systems, Applications & Products in Data Processing). SAP develops and sells software and services that help organizations manage business processes across finance, human resources, procurement, manufacturing, supply chain and customer relationships.

SAP's product portfolio spans on‑premises and cloud offerings, anchored by its enterprise resource planning (ERP) solutions such as SAP S/4HANA and the SAP HANA in‑memory database and platform.

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