# SAP  SE ADS (SAP) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Technology / Software. Price $215.11, market value $248.3 billion.

## Valuation
- **P/E (trailing): 27.8×** (5-yr avg 46.5×, 3-yr avg 52.8×). SAP  SE ADS trades at 27.8× trailing earnings, well below its own five-year average of 46.5×: cheap by its own standards. The Technology median in the September 2026 study was 32.1×. Forward P/E is 22.2×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.17**. A PEG of 0.17 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 6.5×**. Each dollar of revenue is priced at 6.5×.
- **Price / book: 67.7×**. The shares trade at 67.7× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 19.1×**. Enterprise value is 19.1× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 3.5%** (5-yr avg 3.0%). Free cash flow equals 3.5% of the market value, in line with its five-year average of 3.0%.
- **Earnings yield: 3.6%**. The inverse of the P/E: 3.6% of the price is earned each year.

## Profitability
- **Gross margin: 72.8%**. SAP  SE ADS keeps 72.8% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 26.7%**. 26.7% of revenue is left after running the business, an exceptional level.
- **Net margin: 19.5%**. 19.5% of each dollar of sales reaches the bottom line.
- **Return on equity: 16.1%**. 16.1% on shareholders' equity is solid.
- **Return on invested capital: 17.3%**. Return on all capital, debt included, is 17.3%: comfortably above what that capital costs.
- **Return on assets: 11.1%**. Each dollar of assets produces 11.1% of profit.

## Growth
- **Revenue growth (1 yr): 7.7%** (3-yr 7.6%/yr). Revenue grew 7.7% over the last year.
- **EPS growth (1 yr): 130.2%** (3-yr 46.3%/yr). Earnings per share rose 130.2%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): 20.8%/yr**. Free cash flow has compounded at 20.8% a year over three years, lagging earnings: check whether profits are turning into cash.

## Financial health
- **Debt to equity: 0.17**. Debt is 0.17 times equity: a conservative balance sheet.
- **Net debt / EBITDA: net cash**. SAP  SE ADS holds more cash than debt.
- **Interest coverage: 18.2×**. Operating profit covers interest 18.2× over, a safe margin.
- **Current ratio: 1.16** (quick 1.16). Current assets cover the next year's liabilities 1.16 times.
- **Altman Z-score: 7.80**. A Z-score of 7.80 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 8/9**. 8 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend yield: 1.36%** ($2.93 per share, trailing). SAP  SE ADS yields 1.36%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 38%**. 38% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 2**. 2 straight years of increases.
- **Dividend growth (5 yr): 9.0%/yr** (1-yr 10.3%). The dividend has grown 9.0% a year over five years.

## Analyst view
- **Analyst consensus: buy** (12 analysts). 12 analysts cover SAP  SE ADS; the consensus is buy, with an average price target of $247.25 (+15% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -19.5%** (YTD -9.9%, 3-mo 16.4%). The shares are down 19.5% over twelve months including dividends.
- **From 52-week high: -23.5%** (48.4% above the low). Trading 24% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 59**. An RSI of 59 is neutral.
- **Beta (1 yr): 0.73** (volatility 39%). Beta of 0.73 against the S&P 500: the shares move roughly with the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=SAP · Page: https://foliofundamentals.com/stocks/sap

Not investment advice.