Citizens Jmp Downgrades SAP (NYSE:SAP) to Market Perform

SAP (NYSE:SAP) was downgraded by research analysts at Citizens Jmp from an “outperform” rating to a “market perform” rating in a research note issued to investors on Friday, MarketBeat.com reports.

Several other research analysts also recently weighed in on the company. Barclays increased their price target on SAP from $322.00 to $348.00 and gave the stock an “overweight” rating in a research note on Friday, October 24th. Jefferies Financial Group reissued a “buy” rating on shares of SAP in a research note on Monday, October 27th. BMO Capital Markets decreased their price target on shares of SAP from $330.00 to $320.00 and set an “outperform” rating on the stock in a report on Thursday, October 23rd. Arete Research raised shares of SAP to a “strong-buy” rating in a report on Thursday, December 11th. Finally, TD Cowen reaffirmed a “buy” rating on shares of SAP in a research note on Thursday, October 23rd. Two analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $340.75.

SAP Price Performance

SAP stock opened at $200.07 on Friday. The company has a debt-to-equity ratio of 0.14, a current ratio of 1.11 and a quick ratio of 1.10. The company’s 50-day moving average is $240.14 and its 200-day moving average is $260.93. SAP has a 1 year low of $195.12 and a 1 year high of $313.28. The stock has a market capitalization of $290.06 billion, a PE ratio of 29.95, a price-to-earnings-growth ratio of 2.81 and a beta of 1.18.

Hedge Funds Weigh In On SAP

Hedge funds and other institutional investors have recently modified their holdings of the stock. Windacre Partnership LLC grew its stake in SAP by 130.9% during the 3rd quarter. Windacre Partnership LLC now owns 2,357,225 shares of the software maker’s stock valued at $629,874,000 after purchasing an additional 1,336,325 shares during the last quarter. Fisher Asset Management LLC grew its holdings in shares of SAP by 9.0% during the second quarter. Fisher Asset Management LLC now owns 14,157,321 shares of the software maker’s stock worth $4,305,242,000 after buying an additional 1,163,616 shares in the last quarter. Bank of America Corp DE boosted its position in shares of SAP by 58.1% during the 2nd quarter. Bank of America Corp DE now owns 2,650,418 shares of the software maker’s stock valued at $805,992,000 after acquiring an additional 973,779 shares during the last quarter. Sustainable Growth Advisers LP grew its position in SAP by 1,126.3% in the third quarter. Sustainable Growth Advisers LP now owns 842,416 shares of the software maker’s stock worth $225,102,000 after acquiring an additional 773,720 shares during the period. Finally, M&T Bank Corp raised its holdings in SAP by 1,582.7% in the 4th quarter. M&T Bank Corp now owns 817,295 shares of the software maker’s stock valued at $198,529,000 after buying an additional 768,725 shares during the period.

Key Stories Impacting SAP

Here are the key news stories impacting SAP this week:

• Positive Sentiment: SAP reported robust cloud growth, with cloud revenue and backlog up materially year-over-year, underpinning management’s view of accelerating sales into next year. SAP Quarterly Statement Q4 2025
• Positive Sentiment: The company beat EPS and reported higher-than-expected quarterly revenue, showing profitability resilience (non-IFRS EPS and operating profit improvements). MarketBeat: SAP earnings summary
• Positive Sentiment: SAP announced a new €10 billion, two‑year share repurchase program — a shareholder-friendly action that supports EPS and can prop the share price over time. SAP Quarterly Statement Q4 2025
• Neutral Sentiment: SAP met FY2025 revenue forecasts and reiterated that cloud demand remains resilient, suggesting enterprise spend has not collapsed despite macro uncertainty. Reuters: SAP meets Q4 revenue forecasts
• Neutral Sentiment: Company materials and the earnings/press-call transcripts provide detail on backlog and bookings trends — useful for assessing how much the miss was a timing vs. structural issue. Seeking Alpha: Q4 presentation
• Negative Sentiment: Investors reacted strongly to a weaker-than-expected growth in the cloud contract backlog and cautious 2026 cloud outlook — this triggered the biggest one-day share drop since 2020 and amplified fears about AI-driven competition. Proactive Investors: cloud backlog disappointment
• Negative Sentiment: Market commentary tied the miss to broader AI disruption worries (ServiceNow/Microsoft moves raised competitive concerns), pressuring software peers and SAP’s valuation. Reuters: AI disruption fears
• Negative Sentiment: Sustained selling pushed SAP to multi‑month lows and cost it the title of Germany’s most valuable company after market cap decline headlines — negative headlines can prolong volatility. Seeking Alpha: Siemens overtakes SAP
• Negative Sentiment: Operational/management noise — including reports of dismissed executives over alleged trade-secret issues — adds governance risk at a sensitive time. Heise: Executives dismissed

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.