Insightful Word
  • Investing
  • Stock
  • Economy
  • Politics
  • Investing
  • Stock
  • Economy
  • Politics
No Result
View All Result
Insightful Word
No Result
View All Result
Home Stock

SAP shares rise as BofA’s CIOs survey supports bullish thesis

admin by admin
January 8, 2025
in Stock
0
SAP shares rise as BofA’s CIOs survey supports bullish thesis
0
SHARES
7
VIEWS
Share on FacebookShare on Twitter

Investing.com — SAP SE shares are up around 1% Wednesday after Bank of America reiterated its bullish stance, supported by insights from its annual CIO survey. 

The survey, which polled 300 CIOs across Europe and the US, highlighted increasing IT budgets and improving perceptions of SAP’s positioning relative to competitors like Oracle (NYSE:ORCL), Workday (NASDAQ:WDAY), and Salesforce (NYSE:CRM).

BofA reaffirmed its Buy rating on SAP, citing it as one of its “25 stocks for 2025” and a top large-cap software pick. 

The analysts noted, “IT budgets are expected to increase 4.9% for 2025, versus 3.8% in 2024,” indicating robust spending intentions. The bank adds that SAP’s improved perception against its competitors bolsters its market position.

The survey also underscored SAP’s ongoing cloud transition. 

“S/4HANA is seen by most respondents as a value add,” with a significant shift toward cloud adoption expected. 

BofA said that currently, 17% of respondents have over 40% of their workloads in the cloud, with this figure expected to rise to 49% within three years. 

Additionally, SAP’s RISE offering is said to be recognized for its impact on accelerating cloud migrations, with 45% of respondents anticipating it will speed up their transitions by six to twelve months.

While AI adoption remains in its early stages, BofA says SAP’s innovation pipeline is well-received. However, the business case for AI is still developing, with only 27% of respondents expressing a willingness to invest in specific AI use cases, according to the bank. 

Core ERP is identified as the area where AI can add the most value, followed by CRM and expense management.

BofA raised its price objective for SAP to €291 from €283, reflecting a stronger USD and favorable market conditions. 

“We expect approximately 25% earnings growth coupled with stable multiples to drive further share price upside,” BofA concluded.

This post appeared first on investing.com

Previous Post

OptimizeRx downgraded to “sector perform” by RBC amid slower growth outlook

Next Post

Why Apple’s $1 billion bid couldn’t sway Indonesia’s ban decision

admin

admin

Next Post
Why Apple’s $1 billion bid couldn’t sway Indonesia’s ban decision

Why Apple’s $1 billion bid couldn’t sway Indonesia’s ban decision

Trending News

Japan’s Slow Crypto Approval Process Holds Back Innovation, Says WeFi CEO

Japan’s Slow Crypto Approval Process Holds Back Innovation, Says WeFi CEO

July 26, 2025
MercadoLibre stock price has dropped: time to buy the MELI dip?

MercadoLibre stock price has dropped: time to buy the MELI dip?

December 13, 2024
Bumble stock drops 19% on weak user growth, revenue guidance; analysts cut price targets

Bumble stock drops 19% on weak user growth, revenue guidance; analysts cut price targets

February 19, 2025
Subscribe to Insightful Word


    Recent News

    Dow futures soar 250 points today: 5 things to know before Wall Street opens

    Dow futures soar 250 points today: 5 things to know before Wall Street opens

    August 7, 2025
    Affirm stock price is rising: is it a buy before earnings?

    Affirm stock price is rising: is it a buy before earnings?

    August 7, 2025
    Intel stock plunges sharply after Trump calls on CEO to resign: here’s why rebound may take time

    Intel stock plunges sharply after Trump calls on CEO to resign: here’s why rebound may take time

    August 7, 2025
    Goldman Sachs boosts Nvidia price target to $200 ahead of Q2 earnings

    Goldman Sachs boosts Nvidia price target to $200 ahead of Q2 earnings

    August 7, 2025

    Recent News

    Dow futures soar 250 points today: 5 things to know before Wall Street opens

    Dow futures soar 250 points today: 5 things to know before Wall Street opens

    August 7, 2025
    Affirm stock price is rising: is it a buy before earnings?

    Affirm stock price is rising: is it a buy before earnings?

    August 7, 2025

    Latest News

    • Dow futures soar 250 points today: 5 things to know before Wall Street opens
    • Affirm stock price is rising: is it a buy before earnings?
    • Intel stock plunges sharply after Trump calls on CEO to resign: here’s why rebound may take time

    About Insightful Word

    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools
    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools

    Copyright © 2025 Insightfulword.com. All Rights Reserved.

    No Result
    View All Result
    • Investing
    • Stock
    • Economy
    • Politics

    Copyright © 2025 Insightfulword.com. All Rights Reserved.