SAP SE (1SAP.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1SAP - DE0007164600 - Common Stock
206.1 EUR
+1.35 (+0.66%)
Overall 1SAP gets a fundamental rating of 6 out of 10. We evaluated 1SAP against 114 industry peers in the Software industry. While 1SAP has a great profitability rating, there are some minor concerns on its financial health. 1SAP has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year 1SAP was profitable.
In the past year 1SAP had a positive cash flow from operations.
Each year in the past 5 years 1SAP has been profitable.
In the past 5 years 1SAP always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 10.35%, 1SAP belongs to the top of the industry, outperforming 82.46% of the companies in the same industry.
1SAP has a better Return On Equity (16.54%) than 72.81% of its industry peers.
With an excellent Return On Invested Capital value of 13.05%, 1SAP belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
1SAP had an Average Return On Invested Capital over the past 3 years of 8.58%. This is below the industry average of 13.10%.
The 3 year average ROIC (8.58%) for 1SAP is below the current ROIC(13.05%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.35% | ||
| ROE | 16.54% | ||
| ROIC | 13.05% |
ROA(3y)5.45%
ROA(5y)6.51%
ROE(3y)8.93%
ROE(5y)11.53%
ROIC(3y)8.58%
ROIC(5y)8.51%
1.3 Margins
1SAP has a Profit Margin of 19.41%. This is in the better half of the industry: 1SAP outperforms 76.32% of its industry peers.
In the last couple of years the Profit Margin of 1SAP has declined.
With an excellent Operating Margin value of 27.47%, 1SAP belongs to the best of the industry, outperforming 87.72% of the companies in the same industry.
1SAP's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 73.83%, 1SAP is in line with its industry, outperforming 57.89% of the companies in the same industry.
In the last couple of years the Gross Margin of 1SAP has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.47% | ||
| PM (TTM) | 19.41% | ||
| GM | 73.83% |
OM growth 3Y7.42%
OM growth 5Y1.05%
PM growth 3Y-21.47%
PM growth 5Y-5.38%
GM growth 3Y0.43%
GM growth 5Y0.66%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1SAP is still creating some value.
1SAP has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, 1SAP has less shares outstanding
The debt/assets ratio for 1SAP is higher compared to a year ago.
2.2 Solvency
1SAP has an Altman-Z score of 7.60. This indicates that 1SAP is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 7.60, 1SAP belongs to the top of the industry, outperforming 82.46% of the companies in the same industry.
The Debt to FCF ratio of 1SAP is 1.41, which is an excellent value as it means it would take 1SAP, only 1.41 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 1.41, 1SAP is doing good in the industry, outperforming 72.81% of the companies in the same industry.
1SAP has a Debt/Equity ratio of 0.14. This is a healthy value indicating a solid balance between debt and equity.
1SAP has a Debt to Equity ratio of 0.14. This is in the better half of the industry: 1SAP outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 1.41 | ||
| Altman-Z | 7.6 |
ROIC/WACC1.75
WACC7.46%
2.3 Liquidity
1SAP has a Current Ratio of 1.10. This is a normal value and indicates that 1SAP is financially healthy and should not expect problems in meeting its short term obligations.
1SAP's Current ratio of 1.10 is on the low side compared to the rest of the industry. 1SAP is outperformed by 60.53% of its industry peers.
A Quick Ratio of 1.10 indicates that 1SAP should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.10, 1SAP perfoms like the industry average, outperforming 42.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
1SAP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 30.11%, which is quite impressive.
Measured over the past years, 1SAP shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.38% on average per year.
Looking at the last year, 1SAP shows a quite strong growth in Revenue. The Revenue has grown by 9.70% in the last year.
The Revenue has been growing slightly by 4.40% on average over the past years.
EPS 1Y (TTM)30.11%
EPS 3Y-12.45%
EPS 5Y-2.38%
EPS Q2Q%29.27%
Revenue 1Y (TTM)9.7%
Revenue growth 3Y7.07%
Revenue growth 5Y4.4%
Sales Q2Q%7.15%
3.2 Future
The Earnings Per Share is expected to grow by 21.58% on average over the next years. This is a very strong growth
Based on estimates for the next years, 1SAP will show a quite strong growth in Revenue. The Revenue will grow by 12.52% on average per year.
EPS Next Y35.07%
EPS Next 2Y26.32%
EPS Next 3Y23.94%
EPS Next 5Y21.58%
Revenue Next Year9.2%
Revenue Next 2Y10.08%
Revenue Next 3Y10.96%
Revenue Next 5Y12.52%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 34.81, the valuation of 1SAP can be described as expensive.
1SAP's Price/Earnings ratio is a bit cheaper when compared to the industry. 1SAP is cheaper than 62.28% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.15. 1SAP is valued slightly more expensive when compared to this.
The Price/Forward Earnings ratio is 28.51, which means the current valuation is very expensive for 1SAP.
1SAP's Price/Forward Earnings ratio is in line with the industry average.
1SAP's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 36.12.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.81 | ||
| Fwd PE | 28.51 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as 1SAP.
Based on the Price/Free Cash Flow ratio, 1SAP is valued a bit cheaper than 63.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.91 | ||
| EV/EBITDA | 20.88 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of 1SAP may justify a higher PE ratio.
A more expensive valuation may be justified as 1SAP's earnings are expected to grow with 23.94% in the coming years.
PEG (NY)0.99
PEG (5Y)N/A
EPS Next 2Y26.32%
EPS Next 3Y23.94%
5. Dividend
5.1 Amount
1SAP has a Yearly Dividend Yield of 1.14%.
In the last 3 months the price of 1SAP has falen by -21.89%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
1SAP's Dividend Yield is rather good when compared to the industry average which is at 2.24. 1SAP pays more dividend than 84.21% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.41, 1SAP's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.14% |
5.2 History
The dividend of 1SAP is nicely growing with an annual growth rate of 7.95%!
Dividend Growth(5Y)7.95%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1SAP pays out 38.73% of its income as dividend. This is a sustainable payout ratio.
1SAP's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP38.73%
EPS Next 2Y26.32%
EPS Next 3Y23.94%
BIT:1SAP (11/26/2025, 7:00:00 PM)
206.1
+1.35 (+0.66%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners40.23%
Inst Owner ChangeN/A
Ins Owners8.07%
Ins Owner ChangeN/A
Market Cap239.13B
Revenue(TTM)36.49B
Net Income(TTM)7.08B
Analysts78.95
Price Target294.09 (42.69%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.14% |
Yearly Dividend2.2
Dividend Growth(5Y)7.95%
DP38.73%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.84%
Min EPS beat(2)1.63%
Max EPS beat(2)4.05%
EPS beat(4)3
Avg EPS beat(4)3.48%
Min EPS beat(4)-1.57%
Max EPS beat(4)9.81%
EPS beat(8)4
Avg EPS beat(8)-3.11%
EPS beat(12)7
Avg EPS beat(12)10.96%
EPS beat(16)8
Avg EPS beat(16)6.85%
Revenue beat(2)0
Avg Revenue beat(2)-1.7%
Min Revenue beat(2)-1.8%
Max Revenue beat(2)-1.6%
Revenue beat(4)1
Avg Revenue beat(4)-0.84%
Min Revenue beat(4)-1.8%
Max Revenue beat(4)1.74%
Revenue beat(8)2
Avg Revenue beat(8)-0.54%
Revenue beat(12)3
Avg Revenue beat(12)-1.13%
Revenue beat(16)4
Avg Revenue beat(16)-1.25%
PT rev (1m)0.43%
PT rev (3m)0.44%
EPS NQ rev (1m)-4.45%
EPS NQ rev (3m)-4.43%
EPS NY rev (1m)-0.84%
EPS NY rev (3m)0.14%
Revenue NQ rev (1m)-0.19%
Revenue NQ rev (3m)-0.57%
Revenue NY rev (1m)-0.4%
Revenue NY rev (3m)-0.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.81 | ||
| Fwd PE | 28.51 | ||
| P/S | 6.55 | ||
| P/FCF | 36.91 | ||
| P/OCF | 32.73 | ||
| P/B | 5.59 | ||
| P/tB | 21 | ||
| EV/EBITDA | 20.88 |
EPS(TTM)5.92
EY2.87%
EPS(NY)7.23
Fwd EY3.51%
FCF(TTM)5.58
FCFY2.71%
OCF(TTM)6.3
OCFY3.06%
SpS31.45
BVpS36.89
TBVpS9.82
PEG (NY)0.99
PEG (5Y)N/A
Graham Number70.1
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.35% | ||
| ROE | 16.54% | ||
| ROCE | 19.55% | ||
| ROIC | 13.05% | ||
| ROICexc | 16.19% | ||
| ROICexgc | 67.39% | ||
| OM | 27.47% | ||
| PM (TTM) | 19.41% | ||
| GM | 73.83% | ||
| FCFM | 17.75% |
ROA(3y)5.45%
ROA(5y)6.51%
ROE(3y)8.93%
ROE(5y)11.53%
ROIC(3y)8.58%
ROIC(5y)8.51%
ROICexc(3y)10.69%
ROICexc(5y)10.46%
ROICexgc(3y)47.04%
ROICexgc(5y)47.34%
ROCE(3y)12.97%
ROCE(5y)12.91%
ROICexgc growth 3Y10.63%
ROICexgc growth 5Y-0.71%
ROICexc growth 3Y15.06%
ROICexc growth 5Y4.05%
OM growth 3Y7.42%
OM growth 5Y1.05%
PM growth 3Y-21.47%
PM growth 5Y-5.38%
GM growth 3Y0.43%
GM growth 5Y0.66%
F-Score9
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 1.41 | ||
| Debt/EBITDA | 0.54 | ||
| Cap/Depr | 62.59% | ||
| Cap/Sales | 2.27% | ||
| Interest Coverage | 17.84 | ||
| Cash Conversion | 64.38% | ||
| Profit Quality | 91.49% | ||
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z | 7.6 |
F-Score9
WACC7.46%
ROIC/WACC1.75
Cap/Depr(3y)55.18%
Cap/Depr(5y)51.03%
Cap/Sales(3y)2.6%
Cap/Sales(5y)2.73%
Profit Quality(3y)146.95%
Profit Quality(5y)133.59%
High Growth Momentum
Growth
EPS 1Y (TTM)30.11%
EPS 3Y-12.45%
EPS 5Y-2.38%
EPS Q2Q%29.27%
EPS Next Y35.07%
EPS Next 2Y26.32%
EPS Next 3Y23.94%
EPS Next 5Y21.58%
Revenue 1Y (TTM)9.7%
Revenue growth 3Y7.07%
Revenue growth 5Y4.4%
Sales Q2Q%7.15%
Revenue Next Year9.2%
Revenue Next 2Y10.08%
Revenue Next 3Y10.96%
Revenue Next 5Y12.52%
EBIT growth 1Y30.45%
EBIT growth 3Y15.02%
EBIT growth 5Y5.49%
EBIT Next Year56.23%
EBIT Next 3Y28.74%
EBIT Next 5Y21.39%
FCF growth 1Y15.2%
FCF growth 3Y-6.56%
FCF growth 5Y10.55%
OCF growth 1Y14.03%
OCF growth 3Y-5.69%
OCF growth 5Y8.35%
SAP SE / 1SAP.MI FAQ
What is the ChartMill fundamental rating of SAP SE (1SAP.MI) stock?
ChartMill assigns a fundamental rating of 6 / 10 to 1SAP.MI.
What is the valuation status of SAP SE (1SAP.MI) stock?
ChartMill assigns a valuation rating of 5 / 10 to SAP SE (1SAP.MI). This can be considered as Fairly Valued.
How profitable is SAP SE (1SAP.MI) stock?
SAP SE (1SAP.MI) has a profitability rating of 7 / 10.
What are the PE and PB ratios of SAP SE (1SAP.MI) stock?
The Price/Earnings (PE) ratio for SAP SE (1SAP.MI) is 34.81 and the Price/Book (PB) ratio is 5.59.
What is the financial health of SAP SE (1SAP.MI) stock?
The financial health rating of SAP SE (1SAP.MI) is 6 / 10.