SAP "buy"

25.07.06 - Merrill Lynch

LONDON, July 25 (newratings.com) - Analysts at Merrill Lynch maintain their "buy" rating on SAP AG (SAP-EUR). The price objective is set to 230p.

In a research note published this morning, the analysts mention that SAP?s 2Q results were negatively impacted by the company?s inability to book several phased deals and the economic slowdown. The fact that SAP?s weakness during the quarter was on account of the company?s performance in Asia and some European countries indicates that this was a one-off issue and does not represent a trend of a prolonged macro-slowdown, the analysts say.