Perhaps—the Q2 results at least provide the strongest case for this in months. On July 23, 2026, after the market closed, SAP reported results that exceeded expectations across the board: Earnings per share of 1.89 EUR instead of the expected 1.75–1.76 EUR; cloud order backlog up 26% to 22.9 billion EUR instead of the expected continuation of the Q1 pace. The initial reaction was nevertheless nervous—the stock initially fell by 2.8% immediately after the results were released, and even hit a new 24-month low of EUR 128.54 on the day of the announcement, before turning around and gaining over 9% to EUR 140.34 the following day. The reason for the initial skepticism: Operating profit fell short of expectations, weighed down by higher investments and restructuring costs, as well as a dilution effect of over 100 million EUR from the recently completed acquisitions of Dremio and Prior Labs
Key points:
- Q2 2026: EPS of EUR 1.89 (previous year: EUR 1.45) — well above the consensus of EUR 1.75–1.76
- Current Cloud Backlog: +26% to EUR 22.9 billion — beats expectations
- Cloud revenue +22% (currency-adjusted +24%), Cloud ERP Suite +25% (currency-adjusted +27%)
- Total revenue +9% (currency-adjusted +11%)
- Share price: from a 24-month low of EUR 128.54 (July 23) to EUR 140.34 (July 24, +9.11% for the day)
- 2026 full-year outlook: operating profit slightly adjusted — M&A dilution of >100 million EUR factored in
- Share buyback program: EUR 10 billion — EUR 2.6 billion already invested (16.28 million shares at an average price of EUR 161.16)
- Analysts’ average price target: approx. 200 EUR (17–18 analysts) — range 164–260 EUR
- New management structure effective July 1: Product and Engineering separated to support the “All-in on AI” strategy
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