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Technology Stocks : SAP A.G. -- Ignore unavailable to you. Want to Upgrade?

To: P.M.Freedman who wrote (3149)	3/25/1999 10:37:00 AM
From: Jacob Snyder	Respond to of 3424

Is this in the stock, yet? : SAP Warns That Sales Growth Has Slowed in the First Quarter Dow Jones Newswires March 25, 1999 German software developer SAP AG Thursday said its first-quarter pretax profit was significantly lower than a year ago because of weak sales and that the negative impact of reduced demand in Japan would carry through to at least the second quarter. SAP is the No. 1 player in the software market segment known as enterprise-resource planning, or ERP. Until the recent fourth quarter, SAP had posted a string of stellar earnings on strong sales of R/3, a complex system that ties together and automates the basic processes of business. Many experts say R/3 has become the standard for global big business. Thursday, SAP didn't provide specific figures, but said group sales in the first quarter won't reach the company's full-year forecast of 20% to 25% growth. It blamed the weaker sales on unfavorable currency exchange rates and slowing demand for so-called year 2000 software. SAP's sales largely rely on exports and are susceptible to exchange-rate fluctuations. The company didn't offer further guidance about the second quarter. SAP said it is confident it will meet sales-growth targets and be more profitable for 1999. Sales for 1998 climbed 41% to 8.47 billion marks ($4.71 billion), and group pretax profit for 1998 rose 15% from 1997 to 1.92 billion marks. Still, the company said it is worried about the ability of many of its Latin American clients to pay its bills amid the financial crisis in Brazil. Thursday's warning is a concern in light of SAP's fourth-quarter report, which showed pretax profit for that period declined 15% to 712 million marks. Analysts had been waiting for some type of slowdown in SAP's stellar growth despite the company's repeated denials.

To: P.M.Freedman who wrote (3149)	3/25/1999 10:41:00 AM
From: Trader Dave	Respond to of 3424

This train wreck has been visible for the last 2 years...... how can you calculate a fair p/e ratio when the e is going to keep declining?