SAP SE (SAP.DE) Stock Fundamental Analysis

Europe • Frankfurt Stock Exchange • FRA:SAP • DE0007164600

170.48 EUR
+3.28 (+1.96%)
Last: Feb 5, 2026, 05:36 PM
Fundamental Rating

6

SAP gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 115 industry peers in the Software industry. SAP has an excellent profitability rating, but there are some minor concerns on its financial health. SAP has a correct valuation and a medium growth rate.


Dividend Valuation Growth Profitability Health

7

1. Profitability

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.
  • Each year in the past 5 years SAP had a positive operating cash flow.
SAP.DE Yearly Net Income VS EBIT VS OCF VS FCFSAP.DE Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

1.2 Ratios

  • SAP's Return On Assets of 10.41% is fine compared to the rest of the industry. SAP outperforms 75.65% of its industry peers.
  • SAP's Return On Equity of 16.37% is fine compared to the rest of the industry. SAP outperforms 67.83% of its industry peers.
  • SAP has a Return On Invested Capital of 13.43%. This is amongst the best in the industry. SAP outperforms 81.74% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for SAP is below the industry average of 13.06%.
  • The last Return On Invested Capital (13.43%) for SAP is above the 3 year average (10.61%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 10.41%
ROE 16.37%
ROIC 13.43%
ROA(3y)7.87%
ROA(5y)6.83%
ROE(3y)12.49%
ROE(5y)11.34%
ROIC(3y)10.61%
ROIC(5y)9.31%
SAP.DE Yearly ROA, ROE, ROICSAP.DE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15

1.3 Margins

  • SAP's Profit Margin of 19.91% is fine compared to the rest of the industry. SAP outperforms 74.78% of its industry peers.
  • SAP's Profit Margin has been stable in the last couple of years.
  • The Operating Margin of SAP (28.17%) is better than 85.22% of its industry peers.
  • SAP's Operating Margin has been stable in the last couple of years.
  • SAP's Gross Margin of 73.62% is in line compared to the rest of the industry. SAP outperforms 51.30% of its industry peers.
  • SAP's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 28.17%
PM (TTM) 19.91%
GM 73.62%
OM growth 3Y8.24%
OM growth 5Y1.17%
PM growth 3Y37.04%
PM growth 5Y1.13%
GM growth 3Y0.25%
GM growth 5Y0.42%
SAP.DE Yearly Profit, Operating, Gross MarginsSAP.DE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

6

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SAP 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.
  • Compared to 1 year ago, SAP has an improved debt to assets ratio.
SAP.DE Yearly Shares OutstandingSAP.DE Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B
SAP.DE Yearly Total Debt VS Total AssetsSAP.DE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20B 40B 60B

2.2 Solvency

  • An Altman-Z score of 6.57 indicates that SAP is not in any danger for bankruptcy at the moment.
  • The Altman-Z score of SAP (6.57) is better than 80.87% of its industry peers.
  • SAP has a debt to FCF ratio of 0.96. This is a very positive value and a sign of high solvency as it would only need 0.96 years to pay back of all of its debts.
  • SAP has a Debt to FCF ratio of 0.96. This is in the better half of the industry: SAP outperforms 77.39% of its industry peers.
  • SAP has a Debt/Equity ratio of 0.13. This is a healthy value indicating a solid balance between debt and equity.
  • SAP's Debt to Equity ratio of 0.13 is fine compared to the rest of the industry. SAP outperforms 68.70% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.13
Debt/FCF 0.96
Altman-Z 6.57
ROIC/WACC1.6
WACC8.4%
SAP.DE Yearly LT Debt VS Equity VS FCFSAP.DE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B 40B

2.3 Liquidity

  • A Current Ratio of 1.17 indicates that SAP should not have too much problems paying its short term obligations.
  • The Current ratio of SAP (1.17) is worse than 62.61% of its industry peers.
  • SAP has a Quick Ratio of 1.17. 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 1.17. This is in the lower half of the industry: SAP underperforms 60.87% of its industry peers.
Industry RankSector Rank
Current Ratio 1.17
Quick Ratio 1.17
SAP.DE Yearly Current Assets VS Current LiabilitesSAP.DE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. Growth

3.1 Past

  • SAP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 34.94%, which is quite impressive.
  • Measured over the past 5 years, SAP shows a small growth in Earnings Per Share. The EPS has been growing by 2.47% on average per year.
  • SAP shows a small growth in Revenue. In the last year, the Revenue has grown by 7.67%.
  • The Revenue has been growing slightly by 6.12% on average over the past years.
EPS 1Y (TTM)34.94%
EPS 3Y14.61%
EPS 5Y2.47%
EPS Q2Q%13.86%
Revenue 1Y (TTM)7.67%
Revenue growth 3Y7.62%
Revenue growth 5Y6.12%
Sales Q2Q%0.58%

3.2 Future

  • SAP is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 18.48% yearly.
  • The Revenue is expected to grow by 13.09% on average over the next years. This is quite good.
EPS Next Y18.61%
EPS Next 2Y18.88%
EPS Next 3Y18.47%
EPS Next 5Y18.48%
Revenue Next Year10.48%
Revenue Next 2Y11.47%
Revenue Next 3Y13.9%
Revenue Next 5Y13.09%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
SAP.DE Yearly Revenue VS EstimatesSAP.DE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 20B 40B 60B 80B
SAP.DE Yearly EPS VS EstimatesSAP.DE Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 5 10 15 20

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4

4. Valuation

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 27.90, SAP can be considered very expensive at the moment.
  • SAP's Price/Earnings ratio is a bit cheaper when compared to the industry. SAP is cheaper than 61.74% of the companies in the same industry.
  • SAP is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.25, which is the current average of the S&P500 Index.
  • The Price/Forward Earnings ratio is 23.51, which indicates a rather expensive current valuation of SAP.
  • The rest of the industry has a similar Price/Forward Earnings ratio as SAP.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 27.50, SAP is valued at the same level.
Industry RankSector Rank
PE 27.9
Fwd PE 23.51
SAP.DE Price Earnings VS Forward Price EarningsSAP.DE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SAP indicates a somewhat cheap valuation: SAP is cheaper than 61.74% of the companies listed in the same industry.
  • 70.43% of the companies in the same industry are more expensive than SAP, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 23.59
EV/EBITDA 16.4
SAP.DE Per share dataSAP.DE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

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 a very decent profitability rating, which may justify a higher PE ratio.
  • SAP's earnings are expected to grow with 18.47% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.5
PEG (5Y)11.29
EPS Next 2Y18.88%
EPS Next 3Y18.47%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. Dividend

5.1 Amount

  • SAP has a Yearly Dividend Yield of 1.43%.
  • The stock price of SAP dropped by -20.95% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
  • SAP's Dividend Yield is rather good when compared to the industry average which is at 0.64. SAP pays more dividend than 86.09% of the companies in the same industry.
  • SAP's Dividend Yield is slightly below the S&P500 average, which is at 1.82.
Industry RankSector Rank
Dividend Yield 1.43%

5.2 History

  • The dividend of SAP is nicely growing with an annual growth rate of 8.40%!
Dividend Growth(5Y)8.4%
Div Incr Years1
Div Non Decr Years6
SAP.DE Yearly Dividends per shareSAP.DE Yearly Dividends per shareYearly Dividends per share 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5 2

5.3 Sustainability

  • SAP pays out 37.44% of its income as dividend. This is a sustainable payout ratio.
  • The dividend of SAP is growing, but earnings are growing more, so the dividend growth is sustainable.
DP37.44%
EPS Next 2Y18.88%
EPS Next 3Y18.47%
SAP.DE Yearly Income VS Free CF VS DividendSAP.DE Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B
SAP.DE Dividend Payout.SAP.DE Dividend Payout, showing the Payout Ratio.SAP.DE Dividend Payout.PayoutRetained Earnings

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SAP SE

FRA:SAP (2/5/2026, 5:36:15 PM)

170.48

+3.28 (+1.96%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)01-29
Earnings (Next)04-23
Inst Owners40.04%
Inst Owner ChangeN/A
Ins Owners8.07%
Ins Owner ChangeN/A
Market Cap198.54B
Revenue(TTM)36.80B
Net Income(TTM)7.33B
Analysts77.95
Price Target289.51 (69.82%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 1.43%
Yearly Dividend2.35
Dividend Growth(5Y)8.4%
DP37.44%
Div Incr Years1
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.77%
Min EPS beat(2)1.49%
Max EPS beat(2)4.05%
EPS beat(4)4
Avg EPS beat(4)4.25%
Min EPS beat(4)1.49%
Max EPS beat(4)9.81%
EPS beat(8)5
Avg EPS beat(8)-1.4%
EPS beat(12)8
Avg EPS beat(12)13.59%
EPS beat(16)8
Avg EPS beat(16)6.23%
Revenue beat(2)0
Avg Revenue beat(2)-3.14%
Min Revenue beat(2)-4.48%
Max Revenue beat(2)-1.8%
Revenue beat(4)0
Avg Revenue beat(4)-2.4%
Min Revenue beat(4)-4.48%
Max Revenue beat(4)-1.6%
Revenue beat(8)1
Avg Revenue beat(8)-1.19%
Revenue beat(12)3
Avg Revenue beat(12)-1%
Revenue beat(16)3
Avg Revenue beat(16)-1.61%
PT rev (1m)-0.9%
PT rev (3m)-1.22%
EPS NQ rev (1m)-0.14%
EPS NQ rev (3m)1.48%
EPS NY rev (1m)-0.14%
EPS NY rev (3m)-1.34%
Revenue NQ rev (1m)-0.08%
Revenue NQ rev (3m)-0.66%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.05%
Valuation
Industry RankSector Rank
PE 27.9
Fwd PE 23.51
P/S 5.4
P/FCF 23.59
P/OCF 21.68
P/B 4.44
P/tB 14.76
EV/EBITDA 16.4
EPS(TTM)6.11
EY3.58%
EPS(NY)7.25
Fwd EY4.25%
FCF(TTM)7.23
FCFY4.24%
OCF(TTM)7.86
OCFY4.61%
SpS31.6
BVpS38.43
TBVpS11.55
PEG (NY)1.5
PEG (5Y)11.29
Graham Number72.68
Profitability
Industry RankSector Rank
ROA 10.41%
ROE 16.37%
ROCE 19.52%
ROIC 13.43%
ROICexc 16.45%
ROICexgc 59.21%
OM 28.17%
PM (TTM) 19.91%
GM 73.62%
FCFM 22.87%
ROA(3y)7.87%
ROA(5y)6.83%
ROE(3y)12.49%
ROE(5y)11.34%
ROIC(3y)10.61%
ROIC(5y)9.31%
ROICexc(3y)13.63%
ROICexc(5y)11.8%
ROICexgc(3y)62.47%
ROICexgc(5y)55.44%
ROCE(3y)15.47%
ROCE(5y)13.63%
ROICexgc growth 3Y5.44%
ROICexgc growth 5Y0.02%
ROICexc growth 3Y18.72%
ROICexc growth 5Y5.54%
OM growth 3Y8.24%
OM growth 5Y1.17%
PM growth 3Y37.04%
PM growth 5Y1.13%
GM growth 3Y0.25%
GM growth 5Y0.42%
F-Score9
Asset Turnover0.52
Health
Industry RankSector Rank
Debt/Equity 0.13
Debt/FCF 0.96
Debt/EBITDA 0.52
Cap/Depr 56.37%
Cap/Sales 2.01%
Interest Coverage 18.06
Cash Conversion 78.41%
Profit Quality 114.88%
Current Ratio 1.17
Quick Ratio 1.17
Altman-Z 6.57
F-Score9
WACC8.4%
ROIC/WACC1.6
Cap/Depr(3y)58.6%
Cap/Depr(5y)53.4%
Cap/Sales(3y)2.29%
Cap/Sales(5y)2.54%
Profit Quality(3y)115.61%
Profit Quality(5y)131.78%
High Growth Momentum
Growth
EPS 1Y (TTM)34.94%
EPS 3Y14.61%
EPS 5Y2.47%
EPS Q2Q%13.86%
EPS Next Y18.61%
EPS Next 2Y18.88%
EPS Next 3Y18.47%
EPS Next 5Y18.48%
Revenue 1Y (TTM)7.67%
Revenue growth 3Y7.62%
Revenue growth 5Y6.12%
Sales Q2Q%0.58%
Revenue Next Year10.48%
Revenue Next 2Y11.47%
Revenue Next 3Y13.9%
Revenue Next 5Y13.09%
EBIT growth 1Y27.11%
EBIT growth 3Y16.49%
EBIT growth 5Y7.37%
EBIT Next Year28.66%
EBIT Next 3Y18.39%
EBIT Next 5Y16.94%
FCF growth 1Y90.3%
FCF growth 3Y20.83%
FCF growth 5Y5.71%
OCF growth 1Y75.4%
OCF growth 3Y17.49%
OCF growth 5Y4.94%

SAP SE / SAP.DE FAQ

What is the fundamental rating for SAP stock?

ChartMill assigns a fundamental rating of 6 / 10 to SAP.DE.


What is the valuation status for SAP stock?

ChartMill assigns a valuation rating of 4 / 10 to SAP SE (SAP.DE). This can be considered as Fairly Valued.


Can you provide the profitability details for SAP SE?

SAP SE (SAP.DE) has a profitability rating of 7 / 10.


What is the expected EPS growth for SAP SE (SAP.DE) stock?

The Earnings per Share (EPS) of SAP SE (SAP.DE) is expected to grow by 18.61% in the next year.


How sustainable is the dividend of SAP SE (SAP.DE) stock?

The dividend rating of SAP SE (SAP.DE) is 6 / 10 and the dividend payout ratio is 37.44%.