Siemens Share Can Rally 27%, 'Buy' The Stock Says Motilal Oswal, Revises Target Price — Here's Why

With an anticipated revival in government capex and an increased focus on exports, the brokerage expects Siemens to benefit and emerge as a manufacturing hub for its parent company in the export market going forward. .NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. .Motilal Oswal Report.Siemens Ltd. in its FY24 annual report emphasized its strategy to capitalize on the opportunity potential that exists in India from diverse sectors and industries, spurred by favorable government policies, a relatively sanguine macroeconomic situation, and the ongoing global energy transition while also acknowledging the transient hiccups in select segments. Nevertheless, underscoring its intent to participate in India’s long-term growth potential, Siemens in FY24 announced the expansion of its GIS, vacuum interrupter, power transformer, and metro train manufacturing facilities for a cumulative outlay of Rs 10 billion. We believe that a selective approach for HVDC projects and weak inflow for ex-Energy segments due to slower-than-expected pick up in private capex may weigh on the near-term performance of Siemens. However, company is well placed to capitalise on expected ramp up in government and private capex over medium to long term. We downgrade our earnings by 3%/4%/5% for FY25/26/27 and revise our valuation multiple downwards from 70x to 65x on two year forward earnings to bake in a slower pickup in inflows versus our earlier expectations. We reiterate our Buy rating on the stock with a revised target price of Rs 7,500 (versus Rs 8,000 earlier)..Click on the attachment to read the full report:.Cyient DLM Q3 Results Review — Slowdown In Order Flows Dampens Growth Visibility; Motilal Oswal Retains 'Buy'.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Siemens Share Can Rally 27%, 'Buy' The Stock Says Motilal Oswal, Revises Target Price — Here's Why

Motilal Oswal reiterates Buy rating on the stock with a revised target price of Rs 7,500 (versus Rs 8,000 earlier).

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