SAP – some analysts views

Yesterday I mentioned that the FT had posted an article speculating on SAP results – 2 analysts stated their views

Wedbush Morgan analyst Michael Nemeroff  repeated his Hold rating on the stock, and trimmed his price target to $33, from $42. Nemeroff is looking for Q4 revenue of 3.439 billion euros, and 67 Euro cents a share, below the Street at 3.545 billion and 70 cents. For 2009, he cut his EPS estimate today to 1.94 Euros a share, from 1.99. “We remain on the sidelines regarding SAP shares as we believe that the recessionary environment could continue to weigh on the company’s software sales over the next few quarters as it did at the end of Q3,” he writes.  “Despite SAP shares trading below their historical average lows, we believe they might not appreciate meaningfully until the macroeconomic environment begins to stabilize.”

JMP Securities analyst Patrick Walravens this morning reiterated his Market Underperform rating and $25 target on the stock. He now sees 2009 EPS of 1.90 euros a share, down from 1.94. “We expect 2009 to be a difficult year for SAP as enterprises delay spending on big application deployments,” he writes. For Q4, he expects revenue of 3.487 billion Euros and profits of 70 Euro cents a share.

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