Microvast Holdings announces departure of chief financial officer
The company's forecast indicates that the growth rate for its current cloud backlog is expected to decelerate slightly in 2025, yet it still points to a sustained high level of growth. SAP's free cash flow (FCF) guidance for 2025 remains at €8 billion, despite incorporating an increased restructuring cash outlay of €700 million, up from the previously anticipated €500 million. This adjustment is offset by a €200 million benefit resulting from a change in the definition, which now excludes interest income and expenses and includes proceeds from the sale of intangible assets and property, plant, and equipment.JPMorgan analysts view these results as another robust performance by SAP, which is likely to lead to upward revisions in consensus EBIT estimates. The attention now turns to the upcoming call, where the focus is expected to be on SAP's confidence in cloud growth, the factors driving the strength of the backlog, advancements in artificial intelligence, the conservatism of EBIT guidance, and the components affecting free cash flow. InvestingPro data shows SAP operates with moderate debt levels and maintains a healthy Altman Z-Score of 10.13, indicating strong financial stability. Subscribers can access 15+ additional ProTips and comprehensive financial metrics to make more informed investment decisions. InvestingPro data shows SAP operates with moderate debt levels and maintains a healthy Altman Z-Score of 10.13, indicating strong financial stability. Subscribers can access 15+ additional ProTips and comprehensive financial metrics to make more informed investment decisions.
The company's forecast indicates that the growth rate for its current cloud backlog is expected to decelerate slightly in 2025, yet it still points to a sustained high level of growth. SAP's free cash flow (FCF) guidance for 2025 remains at €8 billion, despite incorporating an increased restructuring cash outlay of €700 million, up from the previously anticipated €500 million. This adjustment is offset by a €200 million benefit resulting from a change in the definition, which now excludes interest income and expenses and includes proceeds from the sale of intangible assets and property, plant, and equipment.JPMorgan analysts view these results as another robust performance by SAP, which is likely to lead to upward revisions in consensus EBIT estimates. The attention now turns to the upcoming call, where the focus is expected to be on SAP's confidence in cloud growth, the factors driving the strength of the backlog, advancements in artificial intelligence, the conservatism of EBIT guidance, and the components affecting free cash flow. InvestingPro data shows SAP operates with moderate debt levels and maintains a healthy Altman Z-Score of 10.13, indicating strong financial stability. Subscribers can access 15+ additional ProTips and comprehensive financial metrics to make more informed investment decisions.
The company's forecast indicates that the growth rate for its current cloud backlog is expected to decelerate slightly in 2025, yet it still points to a sustained high level of growth. SAP's free cash flow (FCF) guidance for 2025 remains at €8 billion, despite incorporating an increased restructuring cash outlay of €700 million, up from the previously anticipated €500 million. This adjustment is offset by a €200 million benefit resulting from a change in the definition, which now excludes interest income and expenses and includes proceeds from the sale of intangible assets and property, plant, and equipment.
JPMorgan analysts view these results as another robust performance by SAP, which is likely to lead to upward revisions in consensus EBIT estimates. The attention now turns to the upcoming call, where the focus is expected to be on SAP's confidence in cloud growth, the factors driving the strength of the backlog, advancements in artificial intelligence, the conservatism of EBIT guidance, and the components affecting free cash flow.
In other recent news, SAP AG (NYSE:SAP)'s stock rating was upgraded from Hold to Buy by TD Cowen, with the price target raised to $305. The revision reflects a positive outlook on SAP's performance and future prospects, based on the company's robust growth execution and stock appreciation throughout 2024. TD Cowen analysts expect SAP's growth acceleration and margin expansion to continue through 2027, influenced by an increased prioritization of Cloud ERP systems in the market.
In contrast, CFRA downgraded SAP AG from Buy to Hold, citing valuation concerns despite advancements in AI and cloud technologies. The firm maintained a 12-month target price based on a P/E of 35.1 times their 2026 earnings per share projection.
SAP is undergoing a significant reduction as part of its " Next (LON:NXT) Level Transformation" program, with approximately 3,500 of its 25,000 employees in Germany set to depart the company. JPMorgan maintained an overweight rating for SAP, noting the company's solid balance sheet and a compound annual growth rate profile in the vicinity of 20%. Jefferies also maintained a Buy rating for SAP, highlighting the company's strong performance amidst a challenging environment.
These recent developments reflect the evolving financial landscape for SAP, as the company continues to make strides in AI and cloud technologies, while also navigating workforce adjustments and analyst upgrades and downgrades.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.