SAP Stock Analysis, Valuation (NYSE:SAP)
SAP Stock Analysis
View SAP stock analysis video. This is our analyst opinion covering the buy and sell arguments for SAP stock.
SAP SE (ADR) Stock Rating 3.3/5
Our SAP stock opinion is based on fundamentals of the company. This SAP stock analysis is based on latest 2017 Q2 earnings. The stock price analysis takes into account the company's valuation metrics.
Should you buy SAP stock?
- The TTM operating margin was good at 19.1% for SAP.
- Net margins came in at average 14.8% for SAP over the last twelve months.
- SAP has an attractive ROIC (Return on Invested Capital) of 11.5%
- SAP has a good Return On Equity (ROE) of 13.8%.
- The company has a good Free Cash Flow (FCF) margin of 12.7%.
Should you sell SAP stock?
- SAP has a debt/equity ratio of 0.29, which is worse than the average in the Computer and Technology sector.
- The company is trading at a price to sales multiple of 5.2, which is overvalued in comparison to the Computer-Software industry average multiple of 2.7.