SAP (NYSE:SAP) Given New $200.00 Price Target at BMO Capital Markets

Key Points

• BMO Capital Markets cut its price target on SAP from $210 to $200 but kept an "outperform" rating, implying about a 22.5% upside from the prior close.
• SAP's Q1 beat on EPS ($1.99 vs. $1.92) but narrowly missed revenue ($11.19B vs. $11.21B), while cloud revenue grew ~27% (cc), operating profit rose ~17%, and the company expanded AI partnerships (notably with Google Cloud).
• Analyst views are mixed—MarketBeat shows a consensus "Moderate Buy" with a target near $287.75—while the stock traded down ~6.2% (opening around $163.21) amid several recent downgrades and target adjustments.

SAP (NYSE:SAP - Get Free Report) had its price target dropped by research analysts at BMO Capital Markets from $210.00 to $200.00 in a report released on Friday. The brokerage presently has an "outperform" rating on the software maker's stock. BMO Capital Markets' price objective would suggest a potential upside of 22.54% from the stock's previous close.

Several other brokerages also recently commented on SAP. Piper Sandler downgraded shares of SAP from an "overweight" rating to a "neutral" rating in a report on Tuesday, April 14th. Deutsche Bank Aktiengesellschaft restated a "buy" rating on shares of SAP in a research report on Friday, January 30th. TD Cowen restated a "buy" rating on shares of SAP in a research note on Thursday, April 16th. Citizens Jmp downgraded SAP from an "outperform" rating to a "market perform" rating in a research report on Friday, January 30th. Finally, Wall Street Zen lowered SAP from a "buy" rating to a "hold" rating in a report on Tuesday, February 24th. Two equities research analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and seven have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $287.75.

SAP Stock Down 6.2%

SAP stock opened at $163.21 on Friday. The stock has a 50-day simple moving average of $184.09 and a two-hundred day simple moving average of $223.38. SAP has a twelve month low of $160.66 and a twelve month high of $313.28. The firm has a market capitalization of $200.50 billion, a PE ratio of 23.15, a PEG ratio of 1.95 and a beta of 1.24. The company has a quick ratio of 1.16, a current ratio of 1.16 and a debt-to-equity ratio of 0.13.

SAP (NYSE:SAP - Get Free Report) last announced its quarterly earnings results on Thursday, April 23rd. The software maker reported $1.99 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.92 by $0.07. The firm had revenue of $11.19 billion for the quarter, compared to the consensus estimate of $11.21 billion. SAP had a net margin of 19.92% and a return on equity of 16.54%. The company's revenue for the quarter was up 6.0% on a year-over-year basis. During the same period in the prior year, the firm posted $1.52 earnings per share. On average, equities analysts predict that SAP will post 8.4 EPS for the current fiscal year.

Hedge Funds Weigh In On SAP

Hedge funds and other institutional investors have recently modified their holdings of the company. Sound Income Strategies LLC lifted its position in SAP by 109.4% in the 4th quarter. Sound Income Strategies LLC now owns 111 shares of the software maker's stock worth $26,000 after buying an additional 58 shares during the last quarter. Abich Financial Wealth Management LLC bought a new position in SAP during the third quarter valued at approximately $27,000. Copia Wealth Management purchased a new position in shares of SAP during the third quarter worth approximately $28,000. Bayban bought a new stake in shares of SAP in the 4th quarter worth approximately $28,000. Finally, Guerra Advisors Inc bought a new stake in shares of SAP in the 3rd quarter worth approximately $31,000.

More SAP News

Here are the key news stories impacting SAP this week:

• Positive Sentiment: Q1 beats and cloud momentum — SAP reported EPS above estimates and showed strong cloud growth (cloud revenue +27% at constant currencies; current cloud backlog €21.9bn, +25% cc), driving confidence in revenue durability. Read More.
• Positive Sentiment: Operating profit and margins held up — IFRS and non‑IFRS operating profit rose ~17%, supporting profitability leverage as cloud mix improves. Read More.
• Positive Sentiment: AI positioning and partner momentum — CEO messaging that SAP is “built to win in AI,” plus an expanded multi‑agent AI partnership with Google Cloud (integrations between SAP CX/Joule and Gemini Enterprise), underpin expectations for future product-led growth. Read More. / Read More.
• Neutral Sentiment: Analyst outlook and targets — Broker consensus still shows material upside (average price target reported near $297) and some firms (HSBC) upgraded the stock, giving fundamental endorsement but also signaling divergence among analysts. Read More.
• Negative Sentiment: Top‑line slight miss and prior target cuts — Revenue was marginally below Street consensus ($11.19B vs. $11.21B), and some analysts trimmed price targets ahead of the print, highlighting lingering uncertainty about near‑term demand/visibility. Read More. / Read More.

About SAP

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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