SAP CFO sees Qualtrics IPO as cue to re-rate own valuation

BERLIN: SAP hailed the U.S. stock market listing of its Qualtrics unit, urging investors to take it as a cue to reconsider whether its own share price fairly reflected the value of its cloud assets.

Shares of Qualtrics jumped nearly 40% on Thursday in their Nasdaq debut, valuing the firm at nearly $21 billion, against the backdrop of a capital market frenzy that has seen investors flock to technology stocks.

Applying the same sales multiple to SAP’s software and platform service revenue of $5.5 billion would account for its entire market capitalisation of $133 billion – without even considering the rest of the business, Chief Financial Officer Luka Mucic said.