SAPNEUTRAL

P/E Ratio

25.1x

Higher than 37% of Technology sector peers

Updated 217h ago

Sector Performance

37th percentile

SAP

25.1x

Sector Median

36.9x

Sector Avg

122.3x

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Deep Analysis

The current P/E ratio of 25.1x means investors are paying $25.10 for every $1 of the company’s earnings, a common gauge of how expensive the stock is relative to its profit.

At 25.1x, SAP trades well below the sector median of 37.0x, placing it in the 38th percentile among its Technology peers — meaning it is cheaper than 62% of them. The trend data is not available because year-over-year change and quarter-over-quarter change are both marked as N/A, so no direction can be inferred from recent history. With a low relative valuation but no trend to confirm momentum, the level alone suggests a potential margin of safety if earnings hold steady. This lower P/E does not contradict the overall BULLISH verdict; instead, it supports the case by showing the stock is priced below the typical sector multiple, which can indicate a cheaper entry point.

Frequently Asked Questions

What does the P/E Ratio tell investors about SAP?

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.

How is the P/E Ratio calculated?

P/E Ratio is calculated as: Price / EPS.

How does SAP's P/E Ratio compare to its sector?

SAP's P/E Ratio of 25.1x compares to a Technology sector median of 36.9x, placing it in the 37th percentile.

Who are SAP's closest peers by P/E Ratio?

The closest Technology peers by P/E Ratio include: IAC (28.5x), ZI (24.9x), MSFT (24.7x), QRVO (21.8x), LIF (20.9x).

The Formula

Price / EPS

Why It Matters

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.

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SAP

25.1x

Sector Median

36.9x

Sector Avg

122.3x

How SAP's P/E Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.