SAP downgraded to Market Perform from Outperform at Citizens

Citizens downgraded SAP (SAP) to Market Perform from Outperform without a price target The company reported disappointing sales results in Q4 with current cloud backlog growth of 25% versus the expectation of 26%, the slowest growth rate in nine quarters, the analyst tells investors in a research note. The firm believes SAP has passed the peak of the S/4HANA upgrade cycle as an incremental growth driver. In addition, the company’s Business AI product cycle remains in its early stages, says Citizens.