All Eyes on SAP S/4HANA and Cloud in SAP's Q1 Results

The focus in the first quarter will be on adoption rates for the new products, especially for SAP S/4HANA. Given its legacy roots, SAP is seen by some to be a laggard in cloud computing, which is quickly supplanting the traditional on-premise model. Now, with SAP S/4HANA, the company hopes to catch up to its key competitors in the cloud computing segment, Oracle Corp. and Salesforce.com. We have a price estimate of $78 for SAP SE, which is about 10% higher than its current market price.