SAP (SAP) Shares Drop on Q2 Earnings, CEO Highlights Tariff Challenges

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17 hours ago
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Quick Summary:

  • SAP shares dipped 4% following the release of its Q2 results, affected by U.S. public sector and manufacturing challenges.
  • Analysts forecast a potential 9.80% stock upside, with an average price target of $336.29.
  • GuruFocus estimates indicate a potential 31.52% downside relative to the current stock price.

SAP SE (SAP) experienced a 4% drop in premarket trading upon releasing its second-quarter results. Despite concerns voiced by CEO Christian Klein over U.S. public sector and manufacturing challenges due to tariffs, he emphasized the robustness of SAP's product innovation and its strategic readiness for future market conditions.

Analysts' Stock Price Predictions

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An analysis of price targets from 11 financial analysts reveals an average target price of $336.29 for SAP SE (SAP, Financial), with projections ranging from a high of $405.46 to a low of $287.90. This average target suggests a potential 9.80% upside from the current trading price of $306.29. For further price target insights, visit the SAP SE (SAP) Forecast page.

According to 28 brokerage firms, SAP SE (SAP, Financial) holds an average brokerage recommendation of 2.0, indicating an "Outperform" rating. This assessment is based on a scale from 1 to 5, with 1 reflecting a Strong Buy and 5 suggesting a Sell.

GuruFocus GF Value Estimate

GuruFocus provides an estimated GF Value for SAP SE (SAP, Financial) of $209.76 for the coming year, pointing to a potential 31.52% downside relative to the current stock price of $306.29. The GF Value signifies the estimated fair trading value, derived from historical trading multiples and prior business growth, along with future business performance predictions. For more comprehensive data, refer to the SAP SE (SAP) Summary page.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.