SAP SE (SAP) Slid Amid Considerations Over Disruptive Potential of AI
Magellan Asset Administration, an funding administration firm, launched the third quarter 2025 investor letter for “Magellan World Fund”. A duplicate of the letter could be downloaded right here. The fund focuses on excellent firms at engaging costs and, on the identical time, leverages a deep understanding of the macroeconomic panorama to handle threat. As measured by the MSCI World Index in USD, the worldwide equities rose 7.3% within the September quarter. The portfolio underperformed the index within the quarter due sturdy efficiency of extra speculative firms within the risk-on atmosphere. As well as, please verify the fund’s high 5 holdings to know its finest picks in 2025.
In its third-quarter 2025 investor letter, Magellan World Fund highlighted shares corresponding to SAP SE (NYSE:SAP). SAP SE (NYSE:SAP) is a number one enterprise software and enterprise options supplier. The one-month return of SAP SE (NYSE:SAP) was 2.48%, and its shares misplaced 3.21% of their worth over the past 52 weeks. On December 12, 2025, SAP SE (NYSE:SAP) inventory closed at $242.98 per share, with a market capitalization of $285.666 billion.
Magellan World Fund said the next relating to SAP SE (NYSE:SAP) in its third quarter 2025 investor letter:
“The biggest detractors to the portfolio’s efficiency over the quarter have been Chipotle Mexican Grill, Intuit & SAP SE (NYSE:SAP). SAP confronted headwinds amid market issues relating to the disruptive potential of AI. Whereas we acknowledge the validity of some issues, we imagine the market’s response has been indiscriminate with SAP well-positioned because the market chief within the extremely defensible Enterprise Useful resource Planning (ERP) class, whereas additionally benefiting from the tailwind of accelerating cloud adoption.”
SAP SE (NYSE:SAP) shouldn’t be on our record of 30 Most Common Shares Amongst Hedge Funds. As per our database, 34 hedge fund portfolios held SAP SE (NYSE:SAP) on the finish of the third quarter, which was 32 within the earlier quarter. Whereas we acknowledge the potential of SAP SE (NYSE:SAP) as an funding, we imagine sure AI shares supply larger upside potential and carry much less draw back threat. In the event you’re searching for an especially undervalued AI inventory that additionally stands to profit considerably from Trump-era tariffs and the onshoring development, see our free report on the finest short-term AI inventory.
In one other article, we lined SAP SE (NYSE:SAP) and shared Polen Worldwide Progress Technique’s views on the corporate. As well as, please try our hedge fund investor letters Q3 2025 web page for extra investor letters from hedge funds and different main traders.
