SAP leapfrogs Novo Nordisk to become Europe’s most valuable company

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The SAP giant for the Danish company Novo Nordisk has exceeded to become the most company in Europe, in the latest landmark of the growing stock market in Germany.

SAP shares increased by 1.3 percent in early trading on Monday, and raised the market value to 313 billion euros, slightly higher than Novo Nordisk, whose shares decreased by 2.5 percent.

The SaP shares increased by more than 40 percent last year, as investors welcomed the transformation of its businessmen to the cloud, and between the group, the group installed a wave of enthusiasm for artificial intelligence. The gains of SaP helped operate a height in the DAX index from Frankfurt, which he witnessed is outperforming most of the world’s main stock markets.

Novo Nordisk has lost half its market value since last summer, as it has been struggling to persuade investors that it has a great follow-up to the GLP-1 anti-population.

“Novo has been a hot stock in the past, but what we see now is that the noise has decreased. At the same time, SAP benefits a lot of flows to German stocks,” said Emmanuel Kao, a Barclays analyst, said.

SAP last year replaced the Dutch ASML, as the largest technology company in Europe.

Its headquarters in the town of Weldorf in southwestern Germany, SAP is now a greater percentage of the German auto sector in the country, which includes Volkswagen and Mercedes -Benz.

SAP weighting has been violated in Dax again and repeatedly by 15 percent, prompting Deutsche Börse to present a new, unexploited version of the index last month.

SAP was founded by five former IBM employees in 1972, and in recent years, SAP has made progress in converting its model away from selling local software licenses towards cloud service contracts, a more predictable and profitable company.

Analysts expect that the SAP cloud revenue will grow by 29 percent this year, while the total revenue is expected to grow by 13 percent to 38.5 billion euros.

Analysts also highlighted the capabilities of a new product unveiled the SAP last month, which allows customers to communicate their data to third -party data and analyze them through agents who work artificial intelligence.

Novo Nordsek, which competed with the French luxury LVMH group ranked first in Europe over the past two years, this month has published a second group of the worst experimental results than expected for Kagisima, which is a possible treatment for OzemPIC and Wegovy.

NOVO’s unconfirmed product pipeline complicated a success story that has witnessed current obesity sales exceeding 50 percent last year.