Key Takeaways:
- SAP shares see an 8% rise in premarket trading after exceeding Q1 expectations.
- Jefferies and BofA Securities maintain their Buy ratings, with BofA raising the price target to €303.
- Analysts forecast a potential 23.95% upside based on current price targets.
SAP SE (SAP, Financial) has generated substantial excitement in the market, with its shares surging 8% during premarket trading after delivering impressive first-quarter results. The performance exceeded analyst expectations, prompting both Jefferies and BofA Securities to maintain a Buy rating on the stock. BofA also increased its price target to €303, indicating confidence in SAP's growth trajectory, propelled by a robust 13% increase in cloud and software revenue. The company continues to affirm its guidance for 2025, further solidifying investor confidence.
Wall Street Analysts Forecast
According to the latest analysis by 10 industry experts, the average one-year price target for SAP SE (SAP, Financial) stock stands at $312.86, with predictions ranging from a high of $365.83 to a low of $285.99. This average target suggests a potential upside of 23.95% from the current market price of $252.40. For investors seeking further insights and detailed estimate data, additional information is available on the SAP SE (SAP) Forecast page.
SAP SE's (SAP, Financial) investment appeal remains strong among brokerage firms, with an average recommendation rating of 2.1 from 30 brokerage firms. This rating signals an "Outperform" status on the scale, where 1 reflects a Strong Buy recommendation and 5 indicates a Sell. This positive sentiment underscores the market's expectation for strong performance from SAP moving forward.
In terms of intrinsic value, GuruFocus' proprietary metrics estimate the GF Value of SAP SE (SAP, Financial) to be $182.49 in one year's time. This estimation indicates a potential downside of 27.7% from its current price of $252.40. The GF Value metric, a cornerstone of GuruFocus analysis, accounts for historical trading multiples, business growth trajectories, and forward-looking business performance estimates. For a comprehensive view, investors are encouraged to visit the SAP SE (SAP) Summary page for more detailed data.