SAP SE (SAP.DE) Fundamental Analysis & Valuation
FRA:SAP • DE0007164600
Current stock price
148.88 EUR
-0.08 (-0.05%)
Last:
This SAP.DE fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. SAP.DE Profitability Analysis
1.1 Basic Checks
- In the past year SAP was profitable.
- In the past year SAP had a positive cash flow from operations.
- In the past 5 years SAP has always been profitable.
- SAP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 10.18%, SAP belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
- SAP's Return On Equity of 16.06% is fine compared to the rest of the industry. SAP outperforms 71.43% of its industry peers.
- With an excellent Return On Invested Capital value of 13.40%, SAP belongs to the best of the industry, outperforming 82.14% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for SAP is in line with the industry average of 12.32%.
- The last Return On Invested Capital (13.40%) for SAP is above the 3 year average (10.60%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.18% | ||
| ROE | 16.06% | ||
| ROIC | 13.4% |
ROA(3y)7.79%
ROA(5y)6.78%
ROE(3y)12.39%
ROE(5y)11.27%
ROIC(3y)10.6%
ROIC(5y)9.29%
1.3 Margins
- SAP has a Profit Margin of 19.46%. This is amongst the best in the industry. SAP outperforms 84.82% of its industry peers.
- In the last couple of years the Profit Margin of SAP has remained more or less at the same level.
- SAP has a Operating Margin of 28.31%. This is amongst the best in the industry. SAP outperforms 87.50% of its industry peers.
- In the last couple of years the Operating Margin of SAP has remained more or less at the same level.
- SAP has a Gross Margin (73.77%) which is comparable to the rest of the industry.
- In the last couple of years the Gross Margin of SAP has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.31% | ||
| PM (TTM) | 19.46% | ||
| GM | 73.77% |
OM growth 3Y8.42%
OM growth 5Y1.28%
PM growth 3Y35.99%
PM growth 5Y0.67%
GM growth 3Y0.31%
GM growth 5Y0.46%
2. SAP.DE Health Analysis
2.1 Basic Checks
- SAP has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- Compared to 1 year ago, SAP has about the same amount of shares outstanding.
- The number of shares outstanding for SAP has been reduced compared to 5 years ago.
- The debt/assets ratio for SAP has been reduced compared to a year ago.
2.2 Solvency
- SAP has an Altman-Z score of 6.26. This indicates that SAP is financially healthy and has little risk of bankruptcy at the moment.
- SAP's Altman-Z score of 6.26 is amongst the best of the industry. SAP outperforms 85.71% of its industry peers.
- The Debt to FCF ratio of SAP is 0.89, which is an excellent value as it means it would take SAP, only 0.89 years of fcf income to pay off all of its debts.
- SAP has a better Debt to FCF ratio (0.89) than 80.36% of its industry peers.
- SAP has a Debt/Equity ratio of 0.14. This is a healthy value indicating a solid balance between debt and equity.
- The Debt to Equity ratio of SAP (0.14) is better than 65.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 0.89 | ||
| Altman-Z | 6.26 |
ROIC/WACC1.76
WACC7.6%
2.3 Liquidity
- SAP has a Current Ratio of 1.16. This is a normal value and indicates that SAP is financially healthy and should not expect problems in meeting its short term obligations.
- SAP has a worse Current ratio (1.16) than 66.07% of its industry peers.
- SAP has a Quick Ratio of 1.16. This is a normal value and indicates that SAP is financially healthy and should not expect problems in meeting its short term obligations.
- SAP has a Quick ratio of 1.16. This is in the lower half of the industry: SAP underperforms 64.29% of its industry peers.
- SAP does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.16 |
3. SAP.DE Growth Analysis
3.1 Past
- SAP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 24.62%, which is quite impressive.
- SAP shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.60% yearly.
- Looking at the last year, SAP shows a small growth in Revenue. The Revenue has grown by 7.68% in the last year.
- Measured over the past years, SAP shows a small growth in Revenue. The Revenue has been growing by 6.12% on average per year.
EPS 1Y (TTM)24.62%
EPS 3Y14.85%
EPS 5Y2.6%
EPS Q2Q%19.47%
Revenue 1Y (TTM)7.68%
Revenue growth 3Y7.62%
Revenue growth 5Y6.12%
Sales Q2Q%6.18%
3.2 Future
- The Earnings Per Share is expected to grow by 18.59% on average over the next years. This is quite good.
- Based on estimates for the next years, SAP will show a quite strong growth in Revenue. The Revenue will grow by 10.55% on average per year.
EPS Next Y18.39%
EPS Next 2Y17.63%
EPS Next 3Y17.41%
EPS Next 5Y18.59%
Revenue Next Year8.81%
Revenue Next 2Y10.27%
Revenue Next 3Y10.69%
Revenue Next 5Y10.55%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. SAP.DE Valuation Analysis
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 23.15, SAP is valued on the expensive side.
- Based on the Price/Earnings ratio, SAP is valued a bit cheaper than 75.00% of the companies in the same industry.
- When comparing the Price/Earnings ratio of SAP to the average of the S&P500 Index (27.15), we can say SAP is valued inline with the index average.
- SAP is valuated rather expensively with a Price/Forward Earnings ratio of 17.50.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of SAP indicates a somewhat cheap valuation: SAP is cheaper than 70.54% of the companies listed in the same industry.
- SAP is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.12, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.15 | ||
| Fwd PE | 17.5 |
4.2 Price Multiples
- 65.18% of the companies in the same industry are more expensive than SAP, based on the Enterprise Value to EBITDA ratio.
- Based on the Price/Free Cash Flow ratio, SAP is valued a bit cheaper than 67.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.73 | ||
| EV/EBITDA | 15.23 |
4.3 Compensation for Growth
- SAP's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- SAP has an outstanding profitability rating, which may justify a higher PE ratio.
- SAP's earnings are expected to grow with 17.41% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.26
PEG (5Y)8.91
EPS Next 2Y17.63%
EPS Next 3Y17.41%
5. SAP.DE Dividend Analysis
5.1 Amount
- SAP has a Yearly Dividend Yield of 1.78%. Purely for dividend investing, there may be better candidates out there.
- SAP's Dividend Yield is rather good when compared to the industry average which is at 0.74. SAP pays more dividend than 87.50% of the companies in the same industry.
- SAP's Dividend Yield is comparable with the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
5.2 History
- On average, the dividend of SAP grows each year by 8.39%, which is quite nice.
Dividend Growth(5Y)8.39%
Div Incr Years2
Div Non Decr Years7
5.3 Sustainability
- 38.30% of the earnings are spent on dividend by SAP. This is a low number and sustainable payout ratio.
- The dividend of SAP is growing, but earnings are growing more, so the dividend growth is sustainable.
DP38.3%
EPS Next 2Y17.63%
EPS Next 3Y17.41%
SAP.DE Fundamentals: All Metrics, Ratios and Statistics
FRA:SAP (4/28/2026, 5:36:15 PM)
148.88
-0.08 (-0.05%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)04-23 2026-04-23/amc
Earnings (Next)07-23 2026-07-23/amc
Inst Owners38.98%
Inst Owner ChangeN/A
Ins Owners8.07%
Ins Owner ChangeN/A
Market Cap182.90B
Revenue(TTM)36.80B
Net Income(TTM)7.16B
Analysts76.59
Price Target241.78 (62.4%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
Yearly Dividend2.35
Dividend Growth(5Y)8.39%
DP38.3%
Div Incr Years2
Div Non Decr Years7
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.87%
Min EPS beat(2)3.69%
Max EPS beat(2)4.05%
EPS beat(4)4
Avg EPS beat(4)4.8%
Min EPS beat(4)1.63%
Max EPS beat(4)9.81%
EPS beat(8)5
Avg EPS beat(8)-1.12%
EPS beat(12)8
Avg EPS beat(12)13.78%
EPS beat(16)8
Avg EPS beat(16)6.36%
Revenue beat(2)0
Avg Revenue beat(2)-1.88%
Min Revenue beat(2)-1.96%
Max Revenue beat(2)-1.8%
Revenue beat(4)0
Avg Revenue beat(4)-1.77%
Min Revenue beat(4)-1.96%
Max Revenue beat(4)-1.6%
Revenue beat(8)1
Avg Revenue beat(8)-0.88%
Revenue beat(12)3
Avg Revenue beat(12)-0.79%
Revenue beat(16)3
Avg Revenue beat(16)-1.45%
PT rev (1m)-4.42%
PT rev (3m)-16.49%
EPS NQ rev (1m)1.3%
EPS NQ rev (3m)3.57%
EPS NY rev (1m)-0.34%
EPS NY rev (3m)0.42%
Revenue NQ rev (1m)0.46%
Revenue NQ rev (3m)-1.3%
Revenue NY rev (1m)-0.11%
Revenue NY rev (3m)-1.94%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.15 | ||
| Fwd PE | 17.5 | ||
| P/S | 4.97 | ||
| P/FCF | 21.73 | ||
| P/OCF | 19.98 | ||
| P/B | 4.1 | ||
| P/tB | 13.76 | ||
| EV/EBITDA | 15.23 |
EPS(TTM)6.43
EY4.32%
EPS(NY)8.51
Fwd EY5.72%
FCF(TTM)6.85
FCFY4.6%
OCF(TTM)7.45
OCFY5.01%
SpS29.96
BVpS36.29
TBVpS10.82
PEG (NY)1.26
PEG (5Y)8.91
Graham Number72.4609 (-51.33%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.18% | ||
| ROE | 16.06% | ||
| ROCE | 19.68% | ||
| ROIC | 13.4% | ||
| ROICexc | 16.4% | ||
| ROICexgc | 57.86% | ||
| OM | 28.31% | ||
| PM (TTM) | 19.46% | ||
| GM | 73.77% | ||
| FCFM | 22.87% |
ROA(3y)7.79%
ROA(5y)6.78%
ROE(3y)12.39%
ROE(5y)11.27%
ROIC(3y)10.6%
ROIC(5y)9.29%
ROICexc(3y)13.16%
ROICexc(5y)11.52%
ROICexgc(3y)50.63%
ROICexgc(5y)48.33%
ROCE(3y)15.52%
ROCE(5y)13.66%
ROICexgc growth 3Y4.2%
ROICexgc growth 5Y-0.69%
ROICexc growth 3Y18.46%
ROICexc growth 5Y5.4%
OM growth 3Y8.42%
OM growth 5Y1.28%
PM growth 3Y35.99%
PM growth 5Y0.67%
GM growth 3Y0.31%
GM growth 5Y0.46%
F-Score9
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 0.89 | ||
| Debt/EBITDA | 0.52 | ||
| Cap/Depr | 56.37% | ||
| Cap/Sales | 2.01% | ||
| Interest Coverage | 18.15 | ||
| Cash Conversion | 78.06% | ||
| Profit Quality | 117.54% | ||
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.16 | ||
| Altman-Z | 6.26 |
F-Score9
WACC7.6%
ROIC/WACC1.76
Cap/Depr(3y)58.6%
Cap/Depr(5y)53.4%
Cap/Sales(3y)2.29%
Cap/Sales(5y)2.54%
Profit Quality(3y)116.35%
Profit Quality(5y)132.22%
High Growth Momentum
Growth
EPS 1Y (TTM)24.62%
EPS 3Y14.85%
EPS 5Y2.6%
EPS Q2Q%19.47%
EPS Next Y18.39%
EPS Next 2Y17.63%
EPS Next 3Y17.41%
EPS Next 5Y18.59%
Revenue 1Y (TTM)7.68%
Revenue growth 3Y7.62%
Revenue growth 5Y6.12%
Sales Q2Q%6.18%
Revenue Next Year8.81%
Revenue Next 2Y10.27%
Revenue Next 3Y10.69%
Revenue Next 5Y10.55%
EBIT growth 1Y27.76%
EBIT growth 3Y16.68%
EBIT growth 5Y7.48%
EBIT Next Year28.79%
EBIT Next 3Y19.32%
EBIT Next 5Y17.6%
FCF growth 1Y90.91%
FCF growth 3Y20.83%
FCF growth 5Y5.71%
OCF growth 1Y75.87%
OCF growth 3Y17.49%
OCF growth 5Y4.94%
SAP SE / SAP.DE Fundamental Analysis FAQ
What is the fundamental rating for SAP stock?
ChartMill assigns a fundamental rating of 7 / 10 to SAP.DE.
What is the valuation status for SAP stock?
ChartMill assigns a valuation rating of 5 / 10 to SAP SE (SAP.DE). This can be considered as Fairly Valued.
What is the profitability of SAP stock?
SAP SE (SAP.DE) has a profitability rating of 8 / 10.
What is the valuation of SAP SE based on its PE and PB ratios?
The Price/Earnings (PE) ratio for SAP SE (SAP.DE) is 23.15 and the Price/Book (PB) ratio is 4.1.
How financially healthy is SAP SE?
The financial health rating of SAP SE (SAP.DE) is 8 / 10.