(CercleFinance.com) – SAP shed more than 2% in Frankfurt as Jefferies today announced it was lowering its advice on the stock from a buy rating to an ‘underperform’ rating.
At the same time, the broker is revising its target price on the security downwards, from 115 to 90 euros.
According to the analyst, SAP has implemented a strict cost control strategy for 2022 and 2023 (including a hiring freeze) to compensate for the loss of high-margin revenue, a way of doing things that favors short-term profits. term and ‘will likely compromise the medium term’.
Jefferies also believes that the new, more conservative CFO will fail to achieve the announced objectives.
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