SAP: Optimistic Outlook Despite Disappointing Cloud Growth
JPMorgan sets SAP price target at 290 euros despite weak cloud business. Long-term growth prospects positive due to strong cash flow.
The renowned US bank JPMorgan has set its rating for the software giant SAP to "Overweight" with a price target of 290 euros following the release of the latest quarterly figures. Analyst Toby Ogg highlights in his report that the outlook for cash flow in 2026 exceeds analysts' expectations.
However, the report slightly tempers the enthusiasm: The order backlog in SAP's cloud business shows weaknesses and falls short of expectations. Despite this setback, overall optimism remains, supported by solid performance in other business areas.
JPMorgan's assessment reflects a careful weighing of opportunities and risks and strengthens confidence in SAP's long-term growth prospects.