SAP & NVIDIA Unite to Advance AI in Enterprise Solutions

SAP SE SAP and NVIDIA NVDA have announced a partnership extension aimed at empowering enterprise customers to leverage data and generative AI more effectively across SAP's cloud solutions and applications.

The businesses are working together to develop and offer SAP Business AI, which includes scalable, industry-specific generative AI capabilities within SAP's Joule copilot and throughout the company's cloud solution and application portfolio. The generative AI center offers quick access to a wide variety of large language models (LLMs) and supports reliable and ethical business AI.

NVIDIA's generative AI foundry service will be utilized to “fine-tune” LLMs for domain specific business scenarios as well as deploying applications with NVIDIA NIM microservices. These integrated capabilities are expected to be available by the end of 2024. 

SAP SE Price and Consensus

SAP SE Price and Consensus

SAP SE price-consensus-chart | SAP SE Quote

The collaboration aims to integrate generative AI into SAP's cloud solutions, including SAP Datasphere, SAP Business Technology Platform (SAP BTP), and RISE with SAP. Additional generative AI initiatives include enhancing SAP BTP with NVIDIA's generative AI foundry service and facilitating the development and deployment of generative AI within SAP's ecosystem.

In order to streamline and improve digital transformation, SAP and NVIDIA are investigating more than 20 use cases for generative AI. These include generative AI features that can use SAP SuccessFactors to improve human resources use cases and automate enterprise resource planning with intelligent invoice matching in SAP S/4HANA Cloud.

Apart from these, the company aims to speed up new generative AI insights from SAP Signavio. The partnership also focuses on unifying AI data sources through SAP Datasphere, which enables easier access to high-quality data fabric using AI and machine learning models. 

The collaboration aligns with SAP's strategy to embed generative AI directly into its applications. Both companies seek to assist customers in adopting generative AI at scale. Overall, the partnership aims to empower enterprises to harness the combined potential of SAP's data and NVIDIA's AI capabilities to drive innovation and efficiency across various business functions.

SAP remains optimistic about the generative AI trend and expects it to positively impact revenues going forward. The company recently announced that it will be focusing on vital strategic growth areas, especially Business AI, and position the company for future growth.

SAP currently carries a Zacks Rank #3 (Hold). Shares of the company have gained 55.8% compared with the sub-industry’s growth of 51.1% in the past year.

Zacks Investment Research
Image Source: Zacks Investment Research

Stocks to Consider

Some better-ranked stocks from the broader technology space are Woodward WWD and Perion Network PERI. Perion Network and Woodward carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for Woodward’s fiscal 2024 earnings per share (EPS) has inched up 5.7% in the past 60 days to $5.27. WWD’s long-term earnings growth rate is 15.5%.

Woodward’s earnings beat the Zacks Consensus Estimate in each of the last four quarters, delivering an average surprise of 27.2%. Shares of WWD have risen 55% in the past year.

The Zacks Consensus Estimate for Perion Network’s fiscal 2024 EPS has improved 0.6% in the past 60 days to $3.34. PERI’s long-term earnings growth rate is 22%.

The company’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average surprise of 12.9%. Shares of PERI have lost 34.2% in the past year.

4 Oil Stocks with Massive Upsides

Global demand for oil is through the roof... and oil producers are struggling to keep up. So even though oil prices are well off their recent highs, you can expect big profits from the companies that supply the world with "black gold." 

Zacks Investment Research has just released an urgent special report to help you bank on this trend. 

In Oil Market on Fire, you'll discover 4 unexpected oil and gas stocks positioned for big gains in the coming weeks and months. You don't want to miss these recommendations. 

Download your free report now to see them.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

NVIDIA Corporation (NVDA) : Free Stock Analysis Report

SAP SE (SAP) : Free Stock Analysis Report

Woodward, Inc. (WWD) : Free Stock Analysis Report

Perion Network Ltd (PERI) : Free Stock Analysis Report

To read this article on click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

More Related Articles

Info icon

This data feed is not available at this time.

Sign up for the TradeTalks newsletter to receive your weekly dose of trading news, trends and education. Delivered Wednesdays.