Siemens Energy: Deutsche Bank raises TP

(CercleFinance.com) - Deutsche Bank announced on Monday that it had raised its target price for Siemens Energy shares from E29 to E31, citing the start of an acceleration in capital spending within the sector.


The analyst, who is maintaining his buy recommendation on the stock, notes that the market environment seems to be improving day by day, both in terms of volumes and tariffs, in the gas and electricity segments.

The recent comments of its American comparable GE Vernova are very encouraging from this point of view, the broker says.

It adds that the sector is currently in the early stages of the investment cycle needed to make the energy transition a reality.

In addition, while analysts believe that the return to profitability for Siemens Gamesa's wind turbine subsidiary will not be "linear", Deutsche still expects a turnaround in its performance by 2025/2026.

According to the professional, Siemens Energy could well raise its ambitions - in both growth and profit margins by 2026 - and even become a company with an operating margin of 10% by the end of the decade.


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