Edelweiss Securities has given Buy recommendation for Siemens with a target price of Rs. 2660 in its research report issued on Dec 03, 2021

Edelweiss Securities’ report on Siemens

We recently attended the FY21 analyst meet of Siemens India (SIEM). Highlights: i) Ordering cycle has improved consistently over the past few quarters led by efficiency-related private capex driven by shortmid cycle product orders from cement-metals, food-beverages and renewables, etc. ii) Utilisation at ~70% suggests large-scale greenfield capex is still some time away; however, medium voltage led by EV charging infra, renewable integration, data centres, etc will be a major driver for electrification.

Outlook

We remain bullish on SIEM enthused by perking up private capex across wider sectors and a few encouraging emerging trends driving automation, digital and medium voltage structurally. Retain ‘BUY’.

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