Software maker SAP overtakes Novo Nordisk as Europe’s largest company

German software company SAP has overtaken Novo Nordisk, a Danish healthcare company behind weight loss drug Ozempic, as Europe's largest company by market capitalization.

SAP had a market cap of $340 billion on Monday (March 24th) morning, slightly more than Novo Nordisk, according to Reuters calculations using LSEG Workspace data.

SAP is Europe's largest software maker, providing business application software used by companies for finance, sales, supply chain and other functions.

Its shares have surged in recent years, in part due to optimism that its cloud business will be a major beneficiary of recent investment in generative artificial intelligence.

While SAP shares are up 7% so far in 2025, underperforming the broader European STOXX 600 index, which is up 8.3% year-to-date, they have clocked a total return of 160% since the end of 2022, far outperforming the STOXX 600's 28%.

In contrast, Novo Nordisk shares have underperformed the market in recent months after data from trials of its experimental next-generation obesity drug Cagrisema disappointed investors.

The Danish healthcare firm unseated luxury retailer LVMH as Europe's largest company in September 2023.