SAP’s Busiest Week in Years: Dividends, a Board Succession, and a $2 Billion AI Bet All Converge
Published on 04/26/2026 at 19:10 | Redaktion boerse-global.de
The coming days will test whether SAP can shift the narrative after a punishing start to 2026. The software giant enters May with a packed agenda: a dividend vote, a change in boardroom leadership, and the final regulatory hurdles for a major acquisition — all while trying to convince the market that its cloud transformation is on track.
Shares have already staged a recovery from their recent lows. The stock closed Friday at €148.74, a gain of more than 6% on the day, after first-quarter results showed the cloud engine is firing on all cylinders. Even so, the year-to-date decline still stands at roughly 26%, a reminder of how far the stock has fallen since January.
Cloud Revenue Surges, but the Acceleration Promise Slips
The numbers themselves tell a clear story. Currency-adjusted cloud revenue jumped 27% in the first quarter, led by the cloud ERP suite, which climbed 30%. The backlog in that segment rose by a quarter on a constant-currency basis. Operating profit hit nearly €2.9 billion, while net income came in at €1.9 billion, up 8% year on year.
Yet management tempered the enthusiasm. The board had previously signaled that 2026 would bring an acceleration in overall revenue growth. That timeline has now been pushed back. SAP now expects growth to hold steady at last year’s pace, with the next leg higher penciled in for 2027.
Should investors sell immediately? Or is it worth buying SAP?
A Dividend Hike and a Boardroom Handover
For shareholders, the action begins on May 5 with the virtual annual general meeting. The board is proposing a dividend of €2.50 per share, an increase of 6.4% from the prior year. The ex-dividend date falls on May 6, meaning investors must hold the stock by May 7 to qualify. Payment is scheduled for May 8.
The AGM also sets the stage for a leadership transition. The supervisory board has nominated René Obermann as the designated successor to chairman Pekka Ala-Pietilä. If approved by shareholders, an orderly handover process will follow.
Around the meeting, the company’s share buyback program will pause between April 27 and May 8. The first tranche has already been completed: SAP repurchased just over 16 million of its own shares at an average price of €161.16, for a total outlay of roughly €2.6 billion. The overall program runs until the end of 2027 and has a ceiling of €10 billion.
Reltio: The $2 Billion AI Data Play
Alongside the governance changes, the market is watching for the completion of the Reltio acquisition, announced in March. The US-based specialist in master data management software was valued at between $1.7 billion and $2 billion. SAP intends to use the technology to strengthen its Business Data Cloud and prepare customer data for artificial intelligence applications. Reltio generated recurring revenue of €185 million in its most recent period.
The deal is expected to close in the second or third quarter of 2026. In the background, the European Commission is reviewing commitments SAP has offered to give customers more flexibility in choosing maintenance and support providers for ERP software. If no objections arise, the process could conclude without a fine. SAP has said it does not expect any material financial impact from the proceedings.
SAP at a turning point? This analysis reveals what investors need to know now.
What Comes Next: Sapphire and the Pricing Pivot
The week after the AGM, on May 13, SAP will host its financial analyst conference at the Sapphire event in Orlando. The management team is expected to offer more detail on strategy, with a particular focus on how the company plans to monetize its new AI services. Starting in July, SAP will shift its pricing model for those services to a consumption-based structure — a change that analysts will be watching closely.
For now, the market appears willing to give SAP the benefit of the doubt. Jefferies reiterated a price target of €230, while Morningstar sees fair value at €265. Both firms noted the operational progress, though Jefferies flagged geopolitical risks in the Middle East as a potential overhang on the outlook.
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