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SAP AG (SAP)

- NYSE
  • Tue, Sep. 1, 7:24 PM
    • SAP has launched Hana Vora, a query engine product that leverages the increasingly popular Apache Spark framework, and which integrates with SAP's Hana in-memory database.
    • Like Hana, Spark is used to analyze large datasets in-memory. However, while Hana is used to analyze structured database entries (such as those produced by SAP's ERP software), Spark is often used to handle unstructured and semi-structured data, including content stored via the Hadoop big data framework. Both Spark and Hadoop are open-source.
    • Though some overlap exists, SAP insists Hana and Spark are complementary. The company argues Vora's querying tools and Hana integration enable richer analytics for Spark, thereby making it valuable for applications (fraud detection, network traffic analysis, etc.) where understanding business process context for giant datasets is important.
    | Tue, Sep. 1, 7:24 PM | Comment!
  • Tue, Jul. 21, 3:30 AM
    • Citing acquisition-related charges, restructuring expenses and higher stock-based compensation outlays, SAP (NYSE:SAP) posted a 15% decline in Q2 net profit of €471M vs. €557M in the same period a year earlier.
    • SAP has struggled with shrinking profits in recent quarters, as CEO Bill McDermott looks to shift the company's focus toward cloud based offerings.
    • The company also reiterated its guidance for 2015, saying it expects a non-IFRS operating profit of between €5.6B-€5.9B and full year non-IFRS revenue for cloud subscriptions of €1.95B-€2.05B.
    | Tue, Jul. 21, 3:30 AM | Comment!
  • Mon, Jul. 20, 5:30 PM
  • Fri, Jul. 10, 11:14 AM
    • The Euro Stoxx 50 index is up 2.8% after Greece submitted a bailout proposal that met a number of the demands set by creditors for austerity measures and legal reforms. The Nasdaq is up 1.3%, and the S&P 500 1.1%.
    • In addition to Nokia and Alcatel-Lucent (previously covered), major European tech gainers include SAP (SAP +3.7%), Ericsson (ERIC +3.6%), ASML (ASML +4%), and STMicroelectronics (STM +4.7%).
    • Some SAP news: 1) CEO Bill McDermott has been discharged from a hospital after suffering an accident at his relatives' home. 2) A U.S. federal appeals court has upheld the cancellation of a patent owned by private Versata that led to a $391M infringement ruling against SAP.
    • ASML reports on July 15, Ericsson on July 17, SAP on July 21, and STMicro on July 23.
    | Fri, Jul. 10, 11:14 AM | 1 Comment
  • Mon, Jul. 6, 2:42 PM
    • Nokia (NOK -3.6%), Alcatel-Lucent (ALU -2.9%), Ericsson (ERIC -2.6%), and SAP (SAP -2.6%) are selling off after European markets dropped in the wake of a Greek rejection of austerity measures demanded by creditors. France's CAC-40 fell 1.8%, Germany's DAX fell 1.5%, and the Euro Stoxx 50 fell 2.2%. The Nasdaq and S&P are both down 0.8%. The euro is down 0.5% against the dollar.
    • Something similar happened to Nokia and Alcatel a week ago. The merger partners are respectively down 11% and 10% from their June 22 closes.
    | Mon, Jul. 6, 2:42 PM | 13 Comments
  • Mon, Jun. 22, 12:45 PM
    • SAP (SAP +3.4%), Nokia (NOK +2.1%), and Alcatel-Lucent (ALU +2.5%) are turning in strong days after European markets posted big gains on hopes (fueled by concessions from Athens) a Greek deal will be inked.
    • The Euro Stoxx 50 index rose 4.1%. Germany's DAX and France's CAC-40 both rose 3.8%. The Nasdaq and S&P are both up 0.6%, and the euro is up fractionally against the dollar at 1.1356/1.
    | Mon, Jun. 22, 12:45 PM | 8 Comments
  • Tue, Jun. 16, 5:22 PM
    • Service pack 10 (SPS10) for SAP's popular Hana in-memory database brings with it support for data synchronization between an enterprise data center and remote locations such as retail stores, ships, and mines. SAP argues this feature, when used in tandem with the company's SQL Anywhere embedded database, makes Hana well-suited for collecting and processing data from IoT devices.
    • Other new features: 1) Better integration with the Hadoop and Spark big data software platforms, which are used to analyze massive unstructured datasets (Hana works with structured data). 2) New high-availability and disaster-recovery features, and support for systems containing over 12TB of memory. 3) New data-processing features meant to aid the development of analytics apps running on top of Hana.
    • Also: SAP has rolled out an update for its Predictive Analytics software that adds support for wider datasets and SAP's Business Warehouse data warehousing software, better Hana integration, and new algorithms.
    • The German software giant has stopped providing revenue figures for Hana. In its Q1 report, SAP stated Hana customers had nearly doubled Y/Y to more than 6,400, and that it already has over 370 customers for S/4Hana (launched in February), a version of SAP's core Business Suite that runs only on Hana. Over 1,900 customers run Business Warehouse on top of Hana.
    | Tue, Jun. 16, 5:22 PM | Comment!
  • Wed, May 20, 4:13 AM
    • SAP Chief Executive Bill McDermott once again ruled out that his company has any interest in buying rival Salesforce.com (NYSE:CRM) and went further today by saying that Salesforce is unlikely to be acquired by any rival in the industry.
    • "I do not expect that (an acquisition) to be the case at all because of the valuation of the company," McDermott declared.
    • Salesforce will report FQ1 results after the bell today.
    • Previously: Salesforce slumps as dealReporter states M&A talks are slow (May. 19 2015)
    | Wed, May 20, 4:13 AM | 6 Comments
  • Sun, May 3, 6:12 AM
    | Sun, May 3, 6:12 AM | 7 Comments
  • Fri, May 1, 4:36 PM
    • Salesforce (NYSE:CRM) CEO Marc Benioff and SAP CEO Bill McDermott "held discussions last year about possible strategic alliances between the two companies," Bloomberg reports.
    • The news service adds the talks covered "a potential acquisition of Salesforce by SAP." But it also states SAP wasn't the company that recently approached Salesforce about a possible acquisition (reported on Wednesday). With SAP currently worth $93B and Salesforce $48B, a deal would be closer to a merger than an acquisition after factoring an M&A premium.
    • SAP, like Oracle, is a major rival of Salesforce in the CRM software market. Gartner estimates Salesforce and SAP respectively had 16% and 13% of the 2013 CRM market, #1 and #2 overall. They were followed by Oracle (10%), Microsoft (7%), and IBM (4%). Salesforce's 30.3% 2013 CRM sales growth outpaced all major rivals.
    • Bloomberg's latest report follows remarks from Oracle co-CEO Safra Catz suggesting Oracle wasn't the company that recently approached Salesforce, and a BuzzFeed report to the same effect. Microsoft's name has often popped up in speculation about the suitor; IBM and Google have been mentioned to a lesser extent.
    | Fri, May 1, 4:36 PM | 6 Comments
  • Tue, Apr. 21, 4:33 AM
    • With a weaker euro boosting revenue from markets including the U.S., SAP reported first-quarter sales that topped analysts' estimates, rising 22% to €4.5B.
    • Revenue from software licenses and support rose 16% to €3.15B, while sales from cloud subscriptions and support more than doubled to €509M.
    • "Our plan is to be a growth company," CEO Bill McDermott said on a conference call. "We have no interest in announcing that we didn’t grow and then detailing the costs we cut to hold expenses in line."
    • Excluding the boost from currency swings, operating profit and profit margins declined during the quarter, mainly due to acquisitions including Concur Technologies and Fieldglass.
    • SAP also reiterated its full-year forecasts of for non-IFRS operating profit of between €5.6B-€5.9B at constant currencies, and non-IFRS revenue for cloud subscriptions and support of €1.95B-€2.05B.
    • SAP +1.4% premarket
    | Tue, Apr. 21, 4:33 AM | Comment!
  • Mon, Apr. 20, 5:30 PM
  • Thu, Mar. 19, 12:45 PM
    • SAP (SAP -0.7%) has proposed a €1.10/share ($1.17/share) fiscal 2014 dividend, up 10% from fiscal 2013's €1.00/share and good for a 1.7% yield at current levels. The dividend will be paid on or after May 21, provided shareholders approve (as expected) at the May 20 annual meeting.
    • The German software giant adds it now plans to pay out over 35% of its post-tax profits via dividends, up from a prior target of more than 30%. The 2014 dividend (involves payments of €1.3B) is good for a 40% payout ratio.
    • SAP hiked its dividend by 18% on a euro basis last year. On a dollar basis, this year's payout is down Y/Y, thanks to the euro's plunge.
    | Thu, Mar. 19, 12:45 PM | Comment!
  • Fri, Mar. 6, 3:42 AM
    • SAP is embarking on the second downsizing under CEO Bill McDermott, cutting about 2,200 jobs, about 3% of its workforce.
    • The company is continuing to pivot toward cloud computing rather than traditional licensing, and that means a move toward less profitable software delivered more quickly with payments stretched over time.
    • SAP is learning that the cloud environment is calling for engineers with different skills than those optimized for its old-line business.
    • The stock is down 12.8% over the past 12 months.
    | Fri, Mar. 6, 3:42 AM | 6 Comments
  • Thu, Feb. 12, 2:22 PM
    • A slew of enterprise IT names are outperforming after Cisco beat estimates and respectively reported 10%, 8%, and 7% Y/Y growth in enterprise, SMB, and public sector orders. The Nasdaq overall is up 1%.
    • Cisco reported particularly strong figures for enterprise-focused business lines: Switching revenue rose 11%, wireless (Wi-Fi-dominated) 18%, collaboration 10%, and data center (UCS servers) 40%. Service provider demand (orders -1%) remained soft.
    • Enterprise standouts include EMC (EMC +2.5%), VMware (VMW +2.3%), SAP (SAP +3.1%), Salesforce.com (CRM +3.8%), NetSuite (N +2.6%), Teradata (TDC +4.6%), Splunk (SPLK +2.5%), Varonis (VRNS +3.9%), Gigamon (GIMO +2.8%), and NetScout (NTCT +2.7%).
    • EMC's gains comes in spite of rival NetApp's FQ3 miss and soft FQ4 guidance; share loss to EMC, which has been seeing healthy mid-range and scale-out NAS storage growth, could be partly to blame. VMware is adding to the Wednesday gains seen following a Bernstein upgrade.
    • Earlier: Telecom/networking stocks rally thanks to Cisco
    | Thu, Feb. 12, 2:22 PM | Comment!
  • Tue, Feb. 3, 6:53 PM
    • S/4HANA, a new version of SAP's mainstay Business Suite (contains the company's core ERP apps), runs only on top of the company's Hana in-memory database, and is declared by SAP to fully leverage Hana's in-memory and real-time transaction-processing abilities.
    • SAP is also providing a simplified data model with its update, and a revamped UI. On-premise, cloud and hybrid deployments will be supported. SAP has already been offering a cloud-based version of the Business Suite that runs on top of Hana. However, S/4HANA will sport a code base created specifically for Hana.
    • CEO Bill McDermott calls S/4HANA SAP's biggest product launch since 1992, when it unveiled its R/3 ERP suite. While the company's traditional software license sales have come under pressure thanks to the cloud transition, the hit to Business Suite has been buffered by the fact enterprises (for now, at least) are more nervous about migrating core ERP apps to the cloud than they are about migrating CRM or HR apps.
    | Tue, Feb. 3, 6:53 PM | Comment!
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Company Description
SAP SE sells licenses for software solutions and related support services. It also offers consulting, training and other services for its software solutions.
Sector: Technology
Country: Germany