SAP (NYSE:SAP) Downgraded by Wall Street Zen to "Hold"

Key Points

• SAP was downgraded to a "hold" rating by Wall Street Zen, down from a previous "buy" stance, indicating a cautious outlook.
• Despite the downgrade, other analysts have issued optimistic reports, with BMO Capital Markets raising their price objective from $320.00 to $330.00 and maintaining an "outperform" rating.
• SAP reported earnings of $1.70 per share for the last quarter, surpassing consensus estimates, with revenues reaching $10.58 billion, an increase of 8.9% year-over-year.

SAP (NYSE:SAP - Get Free Report) was downgraded by Wall Street Zen from a "buy" rating to a "hold" rating in a report released on Saturday.

Other research analysts have also issued research reports about the stock. BMO Capital Markets raised their price objective on shares of SAP from $320.00 to $330.00 and gave the company an "outperform" rating in a research note on Friday, May 23rd. Barclays reiterated an "overweight" rating and set a $322.00 target price (up from $308.00) on shares of SAP in a report on Friday, July 25th. UBS Group upgraded shares of SAP to a "strong-buy" rating in a research note on Friday, May 30th. Wells Fargo & Company assumed coverage on SAP in a research note on Tuesday, May 20th. They issued an "overweight" rating on the stock. Finally, Jefferies Financial Group reiterated a "buy" rating on shares of SAP in a report on Friday, May 2nd. One investment analyst has rated the stock with a hold rating, ten have issued a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of "Buy" and an average price target of $281.67.

SAP Trading Down 1.3%

SAP stock opened at $282.95 on Friday. SAP has a 12-month low of $194.93 and a 12-month high of $313.28. The business's 50-day moving average is $298.92 and its 200 day moving average is $284.04. The company has a current ratio of 1.03, a quick ratio of 1.17 and a debt-to-equity ratio of 0.15. The stock has a market cap of $347.60 billion, a price-to-earnings ratio of 46.85, a PEG ratio of 4.12 and a beta of 1.27.

SAP (NYSE:SAP - Get Free Report) last released its quarterly earnings data on Tuesday, July 22nd. The software maker reported $1.70 earnings per share for the quarter, topping analysts' consensus estimates of $1.63 by $0.07. The company had revenue of $10.58 billion for the quarter, compared to analyst estimates of $9.10 billion. SAP had a return on equity of 14.84% and a net margin of 18.26%. The firm's revenue for the quarter was up 8.9% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.10 earnings per share. On average, sell-side analysts anticipate that SAP will post 6.55 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of SAP. Contravisory Investment Management Inc. grew its holdings in shares of SAP by 3.2% during the second quarter. Contravisory Investment Management Inc. now owns 1,113 shares of the software maker's stock valued at $338,000 after buying an additional 34 shares in the last quarter. Principal Street Partners LLC grew its stake in SAP by 1.0% during the 4th quarter. Principal Street Partners LLC now owns 3,688 shares of the software maker's stock valued at $908,000 after acquiring an additional 35 shares in the last quarter. Independent Advisor Alliance grew its stake in SAP by 0.4% during the 1st quarter. Independent Advisor Alliance now owns 9,957 shares of the software maker's stock valued at $2,673,000 after acquiring an additional 35 shares in the last quarter. Cordatus Wealth Management LLC increased its holdings in shares of SAP by 1.1% in the 1st quarter. Cordatus Wealth Management LLC now owns 3,310 shares of the software maker's stock valued at $889,000 after purchasing an additional 37 shares during the period. Finally, Sage Rhino Capital LLC lifted its position in shares of SAP by 1.1% in the second quarter. Sage Rhino Capital LLC now owns 3,438 shares of the software maker's stock worth $1,045,000 after purchasing an additional 37 shares in the last quarter.

SAP Company Profile

SAP SE, together with its subsidiaries, provides applications, technology, and services worldwide. It offers SAP S/4HANA that provides software capabilities for finance, risk and project management, procurement, manufacturing, supply chain and asset management, and research and development; SAP SuccessFactors solutions for human resources, including HR and payroll, talent and employee experience management, and people and workforce analytics; and spend management solutions that covers direct and indirect spend, travel and expense, and external workforce management.

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