SAP ADR rating aligned to Hold, target raised to $128 at Jefferies

Jefferies analyst Charles Brennan upgraded its rating on the SAP ADR to Hold from Underperform with a price target of $128, up from $93, as the firm aligns the ADR rating with the firm’s current SAP rating and updated the ADR price target accordingly. SAP’s Q2 results will “likely leave investors scratching heads” at how FY25 cloud targets could be upgraded in May and yet FY23 cloud guidance was downgraded just two months later, said the firm, which doubts investors “will be sympathetic” given management’s optimism through the quarter. The firm maintains its prior price target of EUR 115 on SAP shares listed in Europe.