BMO Capital Reiterates Market Perform Rating, $70 PT for SAP AG

In a report issued earlier today, BMO Capital Markets reiterated its Market Perform rating and $70 price target for SAP AG

. BMO Capital said in the report “On Friday, SAP pre-announced its first big miss since the recession ended. In constant currency, 1Q12 new software license growth was just 1%, down from estimated organic growth of 11% in 4Q11. We believe that new license growth was negative in the U.S., the U.K. and France, and SAP made sales leadership changes in each of these regions. SAP guided to a solid recovery in 2Q12 and reaffirmed its 2012 guidance.” SAP AG closed on Friday at $65.42.