SAP shares swing over 5% as AI strategy fuels market optimism

SAP's stock fell more than 5% after its Sapphire conference, dropping to €156.20 – a 42% gap from its 52‑week high – as investors questioned the costly shift toward an AI‑driven "Autonomous Enterprise" and feared competition from pure‑play AI firms such as Anthropic.

Within days the shares rebounded, breaking the €160 barrier with a gain of over 7% on the back of strong US tech performance and renewed optimism that AI will create growth opportunities rather than threaten software revenues. Analysts highlighted the company's cloud business as its core earnings driver and projected substantial upside, with price targets ranging from €200 to €250 and potential price appreciation of up to 49%.

A further rally saw the stock climb another 1.3% to €170.54, reinforcing the view that SAP's integration of AI into existing enterprise processes is viewed as a competitive advantage, despite lingering concerns about the scale of required AI infrastructure investment.