SAP

SAP SE

Fundamental data last updated:October 14, 2026

We may earn a commission from partner links. This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate.

company profile

SECTOR

Technology

industry

Software - Application

Exchange

NYSE

County of HQ

DE

Next Earnings Date

Pending Announcement

Business Summary

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. The company also provides SAP customer experience solutions; SAP Business Technology platform that enables customers and partners to build, integrate, and automate applications; and SAP Business Network, a business-to-business collaboration platform that helps digitalize key business processes across the supply chain and enables communication between trading partners. In addition, it offers SAP Signavio to help customers to discover, analyze, and understand their business process operations; SAP's industry cloud solutions that provides modular solutions addressing industry-specific functions; Taulia solutions for working capital management to help enable customers mitigate the effects of inflation by providing visibility into working capital and access to liquidity; and sustainability solutions and services. SAP SE was founded in 1972 and is headquartered in Walldorf, Germany.

 


Analyze SAP on TradingView

VALUATION

P/E

28.29

Market Cap ($M USD)

$212.01B

Forward P/E

14.83

PEG

0.16

PRICE TO SALES

4.87

PRICE TO BOOK

4.04

EV / EBITDA

12.84

5-Year Average P/E

Free Cash Flow Yield

4.41%

DCF Value

$151.85

Graham Number

$74.71

Price to FCF

22.66

EV to FCF

21.45

Earnings Yield

4.13%

FCF Yield

4.41%

DIVIDEND

Yield

1.60%

Annual Payout

$2.50

Payout Ratio

36.68%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$6.43

Next Year EPS Growth Estimate

$12.27

Next Year Revenue Growth Estimate

$60.44B

Return on Equity (ROE)

17.25%

FREE CASH FLOW

Operating Margin

27.77%

Debt-to-Equity

0.18

Piotroski F-Score

7

Altman Z-Score

5.69

Return on Invested Capital (ROIC)

19.70%

Current Ratio

1.07

Quick Ratio

1.07

Net Debt to EBITDA

-0.72

Interest Coverage

7.47

Gross Profit margin

73.20%

FCF PER SHARE

$6.90

REVENUE PER SHARE

$32.11

Analyze SAP on TradingView

Gainseekers Quantitative Analysis

Summary

SAP’s valuation presents a mixed picture. While the Forward P/E of 14.32 suggests potential undervaluation compared to its current P/E, the stock has traded above its DCF value, indicating possible overpricing. The Altman Z-score of 5.73 underscores financial stability, while an Earnings Yield of 4.27% hints at moderate returns. Despite these strengths, the Graham Number suggests a more conservative valuation, raising questions about market optimism. Overall, SAP’s financial health appears robust, but its market pricing may not fully align with intrinsic value.

AI Exposure / Tech Reliance

As a leader in the Software - Application industry, SAP is well-positioned to leverage AI advancements. Its focus on enterprise solutions allows it to integrate AI into existing products, enhancing efficiency and customer value. This adaptability ensures SAP remains relevant amidst rapid technological shifts.

The Bull Case

For the discerning GARP investor, SAP offers compelling reasons to buy. A robust ROIC of 19.70% and a healthy Piotroski F-Score of 7 highlight strong operational efficiency and financial health. The company's impressive operating margin of 27.77% and a solid FCF Yield of 4.56% reflect its ability to generate substantial cash flow, underscoring its pricing power and capital efficiency. These metrics paint a picture of a company with a strong competitive edge and the ability to deliver consistent returns.

The Bear Case

Despite its strengths, SAP is not without risks. The Price/Sales ratio of 4.71 and Price/Book ratio of 3.91 suggest a premium valuation, potentially limiting upside. Additionally, the stock's proximity to its 52-week high raises concerns about technical overextension. While debt levels are low, the market's current pricing may not offer sufficient margin of safety for cautious investors.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$391.67

Institutional Ownership %

1-Year Beta

0.71

Insider Buying % (6 Mo)

Distance to 52-Week High

72.18%

Distance to 52-Week Low

12.84%

EARNINGS SURPRISE %

4.69%

50-DAY SMA

$172.31

200-DAY SMA

$225.87

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.