Owner and CEO, GR20 Research

Gregory Ramirez

Owner and CEO

Industry Research and Consulting Services

GR20 Research

GR20 Research provides industry research and consulting services

Equity Bottom-Up

<ul>
<li>SAP launched SAP Business Data Cloud, a unified SaaS solution integrating structured and unstructured data, enhanced by Databricks' advanced AI and machine learning capabilities through a new offering, SAP Databricks. </li>
<li>SAP Business Data Cloud replaces SAP Datasphere and combines components like SAP Business Warehouse and SAP Analytics Cloud to address data silos and support AI-driven processes across business functions. </li>
<li>The partnership with Databricks enhances SAP's AI capabilities, improving access to unstructured data for GenAI applications and supporting SAP’s AI copilot, Joule, with plans to implement 400 AI use cases.</li>
</ul>


SAP launched SAP Business Data Cloud, a unified SaaS solution integrating structured and unstructured data, enhanced by Databricks' advanced AI and machine learning capabilities through a new offering, SAP Databricks. 
SAP Business Data Cloud replaces SAP Datasphere and combines components like SAP Business Warehouse and SAP Analytics Cloud to address data silos and support AI-driven processes across business functions. 
The partnership with Databricks enhances SAP's AI capabilities, improving access to unstructured data for GenAI applications and supporting SAP’s AI copilot, Joule, with plans to implement 400 AI use cases.


<ul>
<li>FY 2025 guidance exceeds previous expectations, with cloud revenues expected to grow 26-28%, and profit to rise 26-30%. Cloud revenues are expected to reach 70% by 2027. </li>
<li>SAP optimises its cloud offerings and Opex, with a focus on driving long-term growth through its 'land and expand' strategy and AI. Recent senior appointments aim to support operational efficiency. </li>
<li>SAP expands AI capabilities, with 50% of deals involving AI use cases. It is aiming to enhance AI agents while positioning itself to benefit from lower AI costs.</li>
</ul>


FY 2025 guidance exceeds previous expectations, with cloud revenues expected to grow 26-28%, and profit to rise 26-30%. Cloud revenues are expected to reach 70% by 2027. 
SAP optimises its cloud offerings and Opex, with a focus on driving long-term growth through its 'land and expand' strategy and AI. Recent senior appointments aim to support operational efficiency. 
SAP expands AI capabilities, with 50% of deals involving AI use cases. It is aiming to enhance AI agents while positioning itself to benefit from lower AI costs.


SAP SE (SAP GR): A Lot of Efficiency Ahead

Independent research on the U.S. markets, Baptista Research

Baptista Research

Independent research on the U.S. markets

Baptista Research is an independent financial research house focused on the U.S. markets. We provide equity research as well as credit research reports on the top-listed U.S. companies with most of our focus on technology, consumer goods and services, automobiles, industrials, oil and gas, pharma, and healthcare. Our research has served more than 3000 institutional investors including mutual funds, hedge funds, banks, family offices, and various buy-side firms. We operate a research subscription service where institutions, as well as retail investors, can have priority access to all our research. We also have a wide distribution of our research reports across some of the top global financial platforms. Apart from equity research and credit research, we also provide advisory services with respect to mergers & acquisitions (M&A), private equity/ venture capital fundraising, valuation reports, and investment management services for corporates.
Baptista Research is owned and managed by Ishan Majumdar, an ex-Venture Capitalist/ Investment Banker, a Chartered Accountant, and a Masters’ degree holder in Management from HEC Paris. Ishan has nearly a decade of experience in Mergers and Acquisitions, Leveraged Buyouts (LBOs), Venture Capital Investing, Corporate Strategy, and Valuation in front-office roles at the likes of BNP Paribas CIB, Credit Agricole CIB, Groupe Danone, and TIW Private Equity. He has worked on and closed multiple acquisition deals, leveraged buyouts, and start-up investment transactions.

<ul><li>SAP's fourth-quarter and full-year 2024 financial outcomes underline a significant phase in its continuing evolution toward cloud-driven solutions and artificial intelligence.</li><li>The results reflect a substantial transition from a traditional software company to a more agile, cloud-focused entity.</li><li>This shift is evidenced by a 40% increase in total cloud backlog, reaching €63 billion, and a 27% rise in cloud revenue, which now accounts for half of SAP’s total revenue.</li></ul>

SAP's fourth-quarter and full-year 2024 financial outcomes underline a significant phase in its continuing evolution toward cloud-driven solutions and artificial intelligence.The results reflect a substantial transition from a traditional software company to a more agile, cloud-focused entity.This shift is evidenced by a 40% increase in total cloud backlog, reaching €63 billion, and a 27% rise in cloud revenue, which now accounts for half of SAP’s total revenue.

SAP: Net New Customer Acquisition to Strengthen Its Leadership In Enterprise Application Software! - Major Drivers

IPOs and Catalysts/Events, Global Equity Research Ltd

Arun George

IPOs and Catalysts/Events

Uncompromised, Independent, Conflict-Free Research

Global Equity Research Ltd

Global Equity Research was started in 2017 by a group of experienced research professionals. It was founded on a passionate belief in the importance and the need for uncompromised, independent, conflict-free research. We aim to provide differentiated and actionable primary and bottom up fundamental research.

Equity Capital Markets

<ul>
<li>
<a href="https://www.smartkarma.com/entities/jst-group" target="_blank" data-smartkarma-citation="entities:39885:1" rel="noopener">JST Group (6687 HK)</a> is China’s largest e-commerce SaaS ERP provider. It is seeking to raise HK$2,086 million (US$268 million).</li>
<li>I previously discussed the IPO in <strong><em><a href="https://www.smartkarma.com/insights/jst-group-ipo-the-investment-case" target="_blank" data-smartkarma-citation="insights:205203" rel="noopener">JST Group IPO: The Investment Case</a></em></strong>. </li>
<li>In this note, I present my forecasts and valuation. My analysis suggests that the IPO price is attractive in the context of the revenue growth.</li>
</ul>



JST Group (6687 HK) is China’s largest e-commerce SaaS ERP provider. It is seeking to raise HK$2,086 million (US$268 million).
I previously discussed the IPO in JST Group IPO: The Investment Case. 
In this note, I present my forecasts and valuation. My analysis suggests that the IPO price is attractive in the context of the revenue growth.


Thematic (Sector/Industry)

<ul>
<li>In Q2 2025, European software firms—particularly small caps—experienced a slowdown in revenue growth due to geopolitical uncertainty and US tariffs, while large-cap players remained resilient and even accelerated growth.   </li>
<li>US software continued to outperform European peers, with strong momentum driven by AI, cybersecurity, and digital banking, but growth is stabilising below the high levels of the low-interest rate era.   </li>
<li>Software M&amp;A is recovering strongly in 2025, with USD 111bn in deals closed year-to-date—driven mainly by strategic buyers. Private equity remains active, particularly in Europe, though below historical peaks.</li>
</ul>


In Q2 2025, European software firms—particularly small caps—experienced a slowdown in revenue growth due to geopolitical uncertainty and US tariffs, while large-cap players remained resilient and even accelerated growth.   
US software continued to outperform European peers, with strong momentum driven by AI, cybersecurity, and digital banking, but growth is stabilising below the high levels of the low-interest rate era.   
Software M&amp;A is recovering strongly in 2025, with USD 111bn in deals closed year-to-date—driven mainly by strategic buyers. Private equity remains active, particularly in Europe, though below historical peaks.


European Software: Q2 2025 Takeaways – Europe Weakens, but Not the Large Players

United States

SAP SE is a multinational software company.  The Company develops business software, including e-business and enterprise management software, consults on organizational usage of its applications software, and provides training services.  SAP markets its products and services worldwide.

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Sap Se Sponsored Adr (SAP US)

SAP SE (SAP GR): Entering the Lakehouse

SAP launches SAP Business Data Cloud with Databricks to unify structured and unstructured data, enhancing AI capabilities and addressing data silos.

Gregory Ramirez

SAP SE (SAP GR): A Lot of Efficiency Ahead

SAP's FY 2025 guidance shows strong growth in cloud revenues and profit, with a focus on AI capabilities and operational efficiency to drive long...

Gregory Ramirez

SAP: Net New Customer Acquisition to Strengthen Its Leadership In Enterprise Application Software! - Major Drivers

SAP's fourth-quarter and full-year 2024 financial outcomes underline a significant phase in its continuing evolution toward cloud-driven solutions...

Baptista Research

JST Group (6687 HK): Valuation Insights

In this note, I present my forecasts and valuation. My analysis suggests that the IPO price is attractive in the context of the revenue growth.

Arun George

European Software: Q2 2025 Takeaways – Europe Weakens, but Not the Large Players

European software firms face revenue growth slowdown in Q2 2025, while US software outperforms. Software M&A is recovering strongly with USD 111bn...

Gregory Ramirez

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SAP SE (SAP GR): Entering the Lakehouse

​SAP launches SAP Business Data Cloud with Databricks to unify structured and unstructured data, enhancing AI capabilities and addressing data silos.

Gregory Ramirez

SAP SE (SAP GR): A Lot of Efficiency Ahead

​SAP's FY 2025 guidance shows strong growth in cloud revenues and profit, with a focus on AI capabilities and operational efficiency to drive long...

Gregory Ramirez

SAP: Net New Customer Acquisition to Strengthen Its Leadership In Enterprise Application Software! - Major Drivers

SAP's fourth-quarter and full-year 2024 financial outcomes underline a significant phase in its continuing evolution toward cloud-driven solutions...

Baptista Research

JST Group (6687 HK): Valuation Insights

In this note, I present my forecasts and valuation. My analysis suggests that the IPO price is attractive in the context of the revenue growth.

Arun George

European Software: Q2 2025 Takeaways – Europe Weakens, but Not the Large Players

​European software firms face revenue growth slowdown in Q2 2025, while US software outperforms. Software M&A is recovering strongly with USD 111bn...

Gregory Ramirez

SAP launches SAP Business Data Cloud with Databricks to unify structured and unstructured data, enhancing AI capabilities and addressing data silos.

SAP's FY 2025 guidance shows strong growth in cloud revenues and profit, with a focus on AI capabilities and operational efficiency to drive long...

European software firms face revenue growth slowdown in Q2 2025, while US software outperforms. Software M&A is recovering strongly with USD 111bn...