SAP: Jefferies still a buyer
(CercleFinance.com) - Jefferies highlights the surprise increase in forecasts.
Following this announcement, the analyst confirms his Buy recommendation with an unchanged target price of E230.
On Monday evening, SAP raised its annual target range for non-IFRS operating profit to between E7.8bn and E8bn at constant exchange rates (from E7.6bn to E7.9bn), and its FCF target to between E3.5bn and E4bn (from around E3.5bn).
SAP significantly exceeded expectations for Q3 2024 and raised its guidance for FY 2024, the broker says.
Given the strength of the momentum, we expect the results to be welcomed, although cautious macroeconomic comments and a reminder of difficult fourth-quarter comparisons will probably temper some of the enthusiasm, Jefferies says.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.
Following this announcement, the analyst confirms his Buy recommendation with an unchanged target price of E230.
On Monday evening, SAP raised its annual target range for non-IFRS operating profit to between E7.8bn and E8bn at constant exchange rates (from E7.6bn to E7.9bn), and its FCF target to between E3.5bn and E4bn (from around E3.5bn).
SAP significantly exceeded expectations for Q3 2024 and raised its guidance for FY 2024, the broker says.
Given the strength of the momentum, we expect the results to be welcomed, although cautious macroeconomic comments and a reminder of difficult fourth-quarter comparisons will probably temper some of the enthusiasm, Jefferies says.
Copyright (c) 2024 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.