SAP and Databricks partner to make AI work across business applications
Software vendors SAP and Databricks are partnering to help companies analyze their most critical data. "The way I think about it, the most important enterprise data on the planet today is actually SAP data, and now you are marrying it with the best data platform," said Databricks CEO Ali Ghodsi.
SAP sees growing demand for sustainability software despite U.S. climate disengagement
Germany's SAP sees a growing global demand for software to manage and document companies' sustainability efforts despite a trend of weakening climate protection targets in the United States, its chief financial officer, Dominik Asam, said in an interview with Reuters.
SAP: Strong Q4 2024 Earnings Reinforce Cloud And AI Growth Potential
SAP's Q4 2024 results reinforce my buy rating, driven by strong cloud revenue growth, AI integration, and improving margins, despite short-term cash flow impacts. Cloud revenue grew 27% y/y, with Cloud ERP Suite seeing 35% growth, signaling robust demand and a favorable shift towards higher-margin, recurring revenues. Despite a high forward PE of ~41x, SAP's accelerating growth and strong earnings potential justify the premium, making it an attractive investment.
SAP: Multiple Contraction In 2025 Appears Likely
SAP delivered robust Q4 and full fiscal year 2024 results and yet, the market does not seem impressed. The stock trades at a significant premium, which has increased even further over the past few months. Expected growth rate and profitability improvements are not enough to justify the recent multiple repricing.
SAP: It Might Be Time To Take Profits
SAP reported strong Q4 results, surpassing consensus estimates on both revenue and earnings, and slightly upgraded its 2025 guidance, highlighting a robust cloud revenue outlook. Looking ahead, SAP anticipates ongoing strong momentum, forecasting a double-digit revenue CAGR through 2027, paired with operating profit expansion. Despite strong performance, SAP shares fell due to valuation concerns, trading at ~38x EV/EBIT, higher than peers like Google (~20x), Meta (~25x), and Microsoft (~26x).
DeepSeek is very good news for us, says SAP CFO
Dominik Asam, CFO of SAP, discusses the firm's strong fourth-quarter earnings and its confidence in its operations despite the threat from Chinese artificial intelligence startup DeepSeek.
SAP shares slip on mixed Q4 earnings
SAP (NYSE:SAP) shares slipped after the Germany-based enterprise software firm reported mixed earnings for the fourth quarter. Q4 earnings per share grew to €1.40 from €1.12 in the year-ago quarter but missed estimates of €1.45.
Software giant SAP upgrades outlook as CFO says DeepSeek is 'good news'
German software giant SAP's full-year profit beat estimates as cloud computing and artificial intelligence operations fueled growth. Revenue from the firm's core cloud and software businesses rose 11% for the period, also slightly ahead of consensus estimates.
SAP's Q4 Earnings & Revenues Up Y/Y on Cloud Demand, 2025 View Updated
SAP's Q4 2024 results gain from robust growth across its cloud and AI-driven offerings. The revised outlook for 2025 succeeds its former Ambition 2025 goals.
SAP SE (SAP) Q4 2024 Earnings Call Transcript
SAP SE (NYSE:SAP ) Q4 2024 Earnings Conference Call January 28, 2024 1:00 AM ET Company Participants Alexandra Steiger - Global Head of Investor Relations Christian Klein - Chief Executive Officer Dominik Asam - Chief Financial Officer Conference Call Participants Adam Wood - Morgan Stanley Jackson Ader - KeyBanc Capital Markets Johannes Schaller - Deutsche Bank Mohammed Moawalla - Goldman Sachs Sven Merkt - Barclays Capital Toby Ogg - JPMorgan Frederic Boulan - Bank of America Mark Moerdler - Bernstein Michael Briest - UBS Limited Operator Ladies and gentlemen, thank you for standing by. Welcome and thank you for joining the SAP Q4 2024 Earnings Conference Call.
SAP: more efficient AI will drive demand for our AI products
SAP said on Tuesday that the prospect of cheaper and more energy-efficient artificial intelligence models, presaged by China's DeepSeek model, bodes well for growing demand for SAP's AI services.
