Jefferies analyst Lucas Ferhani upgraded the rating on Siemens Energy to a Buy today, setting a price target of €134.00.
Claim 70% Off TipRanks This Holiday Season
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Stay ahead of the market with the latest news and analysis and maximize your portfolio's potential
Lucas Ferhani has given his Buy rating due to a combination of factors that highlight Siemens Energy’s strong position in the energy sector. The company’s diverse portfolio addresses key challenges in the industry, such as the need for grid infrastructure investments and the potential revival of nuclear energy, which are expected to drive sustained demand for its solutions.
Furthermore, Siemens Energy’s margin potential appears underestimated, with significant pricing power stemming from increased grid and generation investments. The company is projected to achieve a robust EBITDA growth rate, making it one of the fastest-growing entities in the electrification sector. Despite a high near-term valuation, the stock is considered undervalued when growth is factored in, presenting an attractive investment opportunity. Lucas Ferhani anticipates further positive revisions and has set a price target of €134, leading to the Buy rating.
According to TipRanks, Ferhani is a 4-star analyst with an average return of 8.7% and a 57.69% success rate. Ferhani covers the Industrials sector, focusing on stocks such as KION GROUP AG, Nexans, and NKT A/S.
In another report released on November 3, Morgan Stanley also maintained a Buy rating on the stock with a €120.00 price target.