Sap Se Adr Stock Return On Equity

SAP Stock

USD 232.02 3.04 1.29%

SAP SE ADR fundamentals help investors to digest information that contributes to S A P's financial success or failures. It also enables traders to predict the movement of SAP Stock. The fundamental analysis module provides a way to measure S A P's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to S A P stock.

		Last Reported	Projected for Next Year
	Return On Equity	0.14	0.23

As of 11/28/2024, Return On Equity is likely to grow to 0.23.

This module does not cover all equities due to inconsistencies in global equity categorizations. Continue to Equity Screeners to view more equity screening tools.

SAP SE ADR Company Return On Equity Analysis

S A P's Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.

Return On Equity

Net Income

Total Equity

More About Return On Equity | All Equity Analysis

Current S A P Return On Equity

0.0646

Most of S A P's fundamental indicators, such as Return On Equity, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, SAP SE ADR is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.

SAP Return On Equity Driver Correlations

Understanding the fundamental principles of building solid financial models for S A P is extremely important. It helps to project a fair market value of SAP Stock properly, considering its historical fundamentals such as Return On Equity. Since S A P's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of S A P's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of S A P's interrelated accounts and indicators.

	Total Assets	Total Stockholder Equity	Net Debt	Retained Earnings	Net Receivables	Short Term Investments	Total Liab	Total Current Assets	Common Stock	Current Deferred Revenue	Accounts Payable	Short Term Debt	Intangible Assets	Long Term Debt	Good Will	Property Plant Equipment	Treasury Stock	Deferred Long Term Liab	Long Term Investments	Short Long Term Debt	Net Tangible Assets	Cash And Equivalents	Net Invested Capital	Net Working Capital	Capital Stock
Total Assets		0.98	0.41	0.97	0.75	0.69	0.83	0.96	0.57	0.98	0.83	0.59	0.5	0.62	0.84	0.93	0.07	0.87	0.84	-0.43	0.85	0.59	0.83	0.39	-0.44
Total Stockholder Equity	0.98		0.25	0.99	0.66	0.76	0.72	0.97	0.55	0.97	0.78	0.48	0.38	0.48	0.77	0.92	0.07	0.91	0.81	-0.47	0.9	0.69	0.82	0.46	-0.57
Net Debt	0.41	0.25		0.25	0.7	-0.1	0.72	0.19	0.31	0.35	0.43	0.61	0.82	0.87	0.66	0.36	-0.13	0.05	0.27	-0.22	0.01	-0.34	0.21	-0.3	0.35
Retained Earnings	0.97	0.99	0.25		0.64	0.79	0.72	0.97	0.57	0.97	0.75	0.45	0.36	0.49	0.75	0.94	0.12	0.91	0.81	-0.46	0.88	0.67	0.84	0.48	-0.59
Net Receivables	0.75	0.66	0.7	0.64		0.18	0.92	0.63	0.63	0.7	0.81	0.54	0.75	0.79	0.92	0.63	-0.06	0.39	0.53	-0.45	0.54	-0.02	0.51	0.15	0.14
Short Term Investments	0.69	0.76	-0.1	0.79	0.18		0.32	0.78	0.26	0.69	0.38	0.24	-0.08	0.09	0.33	0.71	0.26	0.81	0.69	-0.3	0.75	0.69	0.79	0.56	-0.74
Total Liab	0.83	0.72	0.72	0.72	0.92	0.32		0.72	0.63	0.78	0.91	0.71	0.73	0.86	0.97	0.74	0.03	0.55	0.75	-0.3	0.57	0.17	0.64	0.22	0.1
Total Current Assets	0.96	0.97	0.19	0.97	0.63	0.78	0.72		0.51	0.95	0.78	0.46	0.29	0.47	0.72	0.92	0.17	0.91	0.83	-0.41	0.91	0.69	0.88	0.56	-0.55
Common Stock	0.57	0.55	0.31	0.57	0.63	0.26	0.63	0.51		0.49	0.65	0.33	0.7	0.54	0.68	0.47	-0.06	0.27	0.31	-0.34	0.33	0.16	0.28	0.24	-0.06
Current Deferred Revenue	0.98	0.97	0.35	0.97	0.7	0.69	0.78	0.95	0.49		0.81	0.53	0.37	0.53	0.79	0.96	0.14	0.92	0.85	-0.37	0.85	0.63	0.85	0.35	-0.49
Accounts Payable	0.83	0.78	0.43	0.75	0.81	0.38	0.91	0.78	0.65	0.81		0.67	0.56	0.63	0.91	0.72	0.17	0.65	0.77	-0.23	0.7	0.39	0.61	0.3	-0.02
Short Term Debt	0.59	0.48	0.61	0.45	0.54	0.24	0.71	0.46	0.33	0.53	0.67		0.61	0.6	0.68	0.49	0.25	0.38	0.61	0.14	0.34	0.14	0.4	-0.16	0.15
Intangible Assets	0.5	0.38	0.82	0.36	0.75	-0.08	0.73	0.29	0.7	0.37	0.56	0.61		0.85	0.76	0.33	-0.26	0.04	0.24	-0.3	0.11	-0.18	0.12	-0.15	0.29
Long Term Debt	0.62	0.48	0.87	0.49	0.79	0.09	0.86	0.47	0.54	0.53	0.63	0.6	0.85		0.8	0.52	-0.14	0.26	0.46	-0.35	0.27	-0.07	0.41	0.11	0.21
Good Will	0.84	0.77	0.66	0.75	0.92	0.33	0.97	0.72	0.68	0.79	0.91	0.68	0.76	0.8		0.7	-0.06	0.55	0.73	-0.39	0.63	0.22	0.58	0.23	0.05
Property Plant Equipment	0.93	0.92	0.36	0.94	0.63	0.71	0.74	0.92	0.47	0.96	0.72	0.49	0.33	0.52	0.7		0.21	0.91	0.81	-0.31	0.74	0.6	0.91	0.36	-0.55
Treasury Stock	0.07	0.07	-0.13	0.12	-0.06	0.26	0.03	0.17	-0.06	0.14	0.17	0.25	-0.26	-0.14	-0.06	0.21		0.2	0.15	0.35	0.17	0.12	0.23	0.13	-0.1
Deferred Long Term Liab	0.87	0.91	0.05	0.91	0.39	0.81	0.55	0.91	0.27	0.92	0.65	0.38	0.04	0.26	0.55	0.91	0.2		0.86	-0.26	0.85	0.84	0.88	0.48	-0.69
Long Term Investments	0.84	0.81	0.27	0.81	0.53	0.69	0.75	0.83	0.31	0.85	0.77	0.61	0.24	0.46	0.73	0.81	0.15	0.86		-0.05	0.78	0.62	0.86	0.39	-0.27
Short Long Term Debt	-0.43	-0.47	-0.22	-0.46	-0.45	-0.3	-0.3	-0.41	-0.34	-0.37	-0.23	0.14	-0.3	-0.35	-0.39	-0.31	0.35	-0.26	-0.05		-0.43	-0.13	-0.22	-0.42	0.36
Net Tangible Assets	0.85	0.9	0.01	0.88	0.54	0.75	0.57	0.91	0.33	0.85	0.7	0.34	0.11	0.27	0.63	0.74	0.17	0.85	0.78	-0.43		0.66	0.75	0.58	-0.49
Cash And Equivalents	0.59	0.69	-0.34	0.67	-0.02	0.69	0.17	0.69	0.16	0.63	0.39	0.14	-0.18	-0.07	0.22	0.6	0.12	0.84	0.62	-0.13	0.66		0.62	0.53	-0.77
Net Invested Capital	0.83	0.82	0.21	0.84	0.51	0.79	0.64	0.88	0.28	0.85	0.61	0.4	0.12	0.41	0.58	0.91	0.23	0.88	0.86	-0.22	0.75	0.62		0.58	-0.51
Net Working Capital	0.39	0.46	-0.3	0.48	0.15	0.56	0.22	0.56	0.24	0.35	0.3	-0.16	-0.15	0.11	0.23	0.36	0.13	0.48	0.39	-0.42	0.58	0.53	0.58		-0.41
Capital Stock	-0.44	-0.57	0.35	-0.59	0.14	-0.74	0.1	-0.55	-0.06	-0.49	-0.02	0.15	0.29	0.21	0.05	-0.55	-0.1	-0.69	-0.27	0.36	-0.49	-0.77	-0.51	-0.41

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SAP Return On Equity Historical Pattern

Today, most investors in S A P Stock are looking for potential investment opportunities by analyzing not only static indicators but also various S A P's growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's return on equity growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of S A P return on equity as a starting point in their analysis.

S A P Return On Equity

Timeline

For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.

Competition

Predict S A P

Return On Equity Over Time

SAP Total Stockholder Equity

Total Stockholder Equity

45.31 Billion

At this time, S A P's Total Stockholder Equity is relatively stable compared to the past year.

Based on the latest financial disclosure, SAP SE ADR has a Return On Equity of 0.0646. This is 100.54% lower than that of the Software sector and significantly higher than that of the Information Technology industry. The return on equity for all United States stocks is 120.84% lower than that of the firm.

SAP Return On Equity Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses S A P's direct or indirect competition against its Return On Equity to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of S A P could also be used in its relative valuation, which is a method of valuing S A P by comparing valuation metrics of similar companies.

S A P is currently under evaluation in return on equity category among its peers.

S A P ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, S A P's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to S A P's managers, analysts, and investors.

Environmental

Governance

Social

SAP Fundamentals

	Return On Equity	0.0646
	Return On Asset	0.0713
	Profit Margin	0.08 %
	Operating Margin	0.27 %
	Current Valuation	270.69 B
	Shares Outstanding	1.17 B
	Shares Owned By Institutions	6.19 %
	Number Of Shares Shorted	1.41 M
	Price To Earning	39.46 X
	Price To Book	6.37 X
	Price To Sales	8.30 X
	Revenue	31.21 B
	Gross Profit	22.17 B
	EBITDA	7.5 B
	Net Income	5.96 B
	Cash And Equivalents	9.01 B
	Cash Per Share	7.55 X
	Total Debt	8.79 B
	Debt To Equity	0.21 %
	Current Ratio	1.03 X
	Book Value Per Share	35.34 X
	Cash Flow From Operations	6.33 B
	Short Ratio	1.42 X
	Earnings Per Share	2.42 X
	Price To Earnings To Growth	2.50 X
	Target Price	260.59
	Number Of Employees	107.58 K
	Beta	0.87
	Market Capitalization	276.13 B
	Total Asset	68.33 B
	Retained Earnings	42.46 B
	Working Capital	5.93 B
	Current Asset	10.58 B
	Current Liabilities	8.54 B
	Annual Yield	0.01 %
	Five Year Return	1.54 %
	Net Asset	68.33 B
	Last Dividend Paid	2.2

About S A P Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze SAP SE ADR's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of S A P using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of SAP SE ADR based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.

Please read more on our fundamental analysis page.

Pair Trading with S A P

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if S A P position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in S A P will appreciate offsetting losses from the drop in the long position's value.

Moving together with SAP Stock

0.63	U	Unity Software Aggressive Push	Pair Corr
0.61	AI	C3 Ai Inc Earnings Call This Week	Pair Corr
0.8	BL	Blackline	Pair Corr
0.75	DT	Dynatrace Holdings LLC	Pair Corr

Moving against SAP Stock

0.48	VCSA	Vacasa Inc Trending	Pair Corr
0.39	DMAN	Innovativ Media Group	Pair Corr

The ability to find closely correlated positions to S A P could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace S A P when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back S A P - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling SAP SE ADR to buy it.

The correlation of S A P is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as S A P moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if SAP SE ADR moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.

Correlation analysis and pair trading evaluation for S A P can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.

Pair Correlation Correlation Matching

Additional Tools for SAP Stock Analysis

When running S A P's price analysis, check to measure S A P's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy S A P is operating at the current time. Most of S A P's value examination focuses on studying past and present price action to predict the probability of S A P's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move S A P's price. Additionally, you may evaluate how the addition of S A P to your portfolios can decrease your overall portfolio volatility.

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