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Schneider Electric (FR:SU)
:SU
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Schneider Electric (SU) AI Stock Analysis

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Schneider Electric

(LSE:SU)

Rating:77Outperform
Price Target:
€261.00
▲(8.86%Upside)
The overall stock score for Schneider Electric is driven primarily by robust financial performance, including consistent revenue growth and strong cash flow, along with positive technical indicators. The valuation is somewhat high, but justified by the company's growth prospects. Absence of recent earnings call and corporate event data limits further insight.
Positive Factors
AI Adoption
Faster move to inferencing may relatively benefit Schneider, with a significant increase in AI adoption boosting the need for inferencing data centers.
Backlog Growth
Schneider Electric's backlog, excluding long cycle orders, increased by 11% year over year, supporting future growth.
Guidance
Schneider Electric's stock increased by approximately 5% after the release of its 2025 guidance.
Negative Factors
Growth Expectations
The market is currently pricing in approximately 6.4% overall topline growth rate, below Schneider’s own 7-10% target.
Share Price Decline
Following the announcement of DeepSeek’s R1 model, Schneider shares have sold off by ~12%.
Valuation Adjustment
Schneider derated from a 29x fwd PE to 24x, implying a reduction in EPS CAGR of 4.5%.

Schneider Electric (SU) vs. iShares MSCI France ETF (EWQ)

Schneider Electric Business Overview & Revenue Model

Company DescriptionSchneider Electric S.E. provides energy and automation digital solutions worldwide. It operates through two segments, Energy Management and Industrial Automation. The company offers busway and cable support products, circuit breakers and switches, contactors and protection relays, electrical protection and control products, energy management software solutions, transfer switches, surge protection and power conditioning products, power monitoring and control products, power quality and power factor correction products, pushbuttons, switches, pilot lights and joysticks, software products, and switchboards and enclosures. It also provides access control, building management, fire detection, sensors and room units, valve and valve actuator, and variable and frequency speed drive. In addition, the company offers feeder automation, grid automation and SCADA software products, medium voltage switchgears and transformers, outdoor equipment, substation automation products, and switchgear components. Further, it provides critical power and cooling services, data center software, IT power distribution products, prefabricated data center modules, racks and accessories, and security and environmental monitoring products; home automation and security, installation materials and systems, light switches and electrical sockets, and uninterruptible power supply products; and human machine interface, industrial automation software, industrial communication, measurement and instrumentation, motion control and robotics, signaling units, programmable logic and automation controllers, power supply and protection, process control and safety, RFID systems, signaling devices, and other industrial automation and control products, as well as solar and energy storage. The company was founded in 1836 and is headquartered in Rueil-Malmaison, France.
How the Company Makes MoneySchneider Electric generates revenue through the sale of its diverse portfolio of products and services aimed at improving energy management and automation. The company's primary revenue streams include the sales of electrical products, industrial automation solutions, and energy management systems. Additionally, Schneider Electric offers software and digital services that enhance the efficiency and sustainability of energy usage across various sectors. The company also benefits from long-term service agreements and maintenance contracts, which provide ongoing revenue. Significant partnerships with businesses, governments, and other organizations worldwide further bolster Schneider Electric's market presence and revenue potential, as these collaborations often lead to large-scale projects that require comprehensive energy solutions.

Schneider Electric Financial Statement Overview

Summary
Schneider Electric demonstrates strong financial health with consistent revenue and profit growth, efficient operational performance, and a stable financial position. Debt levels are manageable, and strong cash flow supports further growth and debt reduction.
Income Statement
89
Very Positive
Schneider Electric has demonstrated strong and consistent revenue growth, with a revenue increase from EUR 25.16 billion in 2020 to EUR 38.15 billion in 2024, representing a robust growth trajectory. The company maintains healthy profitability metrics, including a stable gross profit margin above 40% and an improving net profit margin, reaching 11.2% in 2024. EBIT and EBITDA margins are also solid, indicating efficient operational performance.
Balance Sheet
85
Very Positive
The company's balance sheet shows strength with a manageable debt-to-equity ratio, which has improved from 0.56 in 2020 to 0.53 in 2024. With a return on equity (ROE) of 14% in 2024, Schneider Electric displays effective use of shareholder funds. The equity ratio remains healthy, indicating a stable financial position with adequate equity buffer.
Cash Flow
82
Very Positive
Schneider Electric's cash flow generation is robust, with strong operating cash flow and free cash flow growth over the years. The free cash flow to net income ratio remains favorable, highlighting efficient conversion of earnings into cash flow. The operating cash flow to net income ratio is consistent, supporting the company's ability to fund operations and growth initiatives.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue38.15B35.90B34.18B28.91B25.16B
Gross Profit16.27B14.62B13.40B11.35B9.86B
EBITDA8.02B7.19B6.31B5.97B4.18B
Net Income4.27B4.00B3.48B3.20B2.13B
Balance Sheet
Total Assets65.94B58.90B58.37B54.55B49.48B
Cash, Cash Equivalents and Short-Term Investments6.89B4.70B3.99B2.63B6.91B
Total Debt16.31B13.93B11.73B10.84B11.49B
Total Liabilities34.66B31.73B32.27B26.44B25.75B
Stockholders Equity30.49B26.46B25.44B24.44B20.62B
Cash Flow
Free Cash Flow4.63B4.54B3.26B2.74B3.62B
Operating Cash Flow5.58B5.91B4.35B3.62B4.43B
Investing Cash Flow-1.99B-5.75B-1.48B-5.59B-2.11B
Financing Cash Flow-1.62B879.00M-1.38B-2.67B1.44B

Schneider Electric Technical Analysis

Technical Analysis Sentiment
Positive
Last Price239.75
Price Trends
50DMA
221.89
Positive
100DMA
217.48
Positive
200DMA
228.70
Positive
Market Momentum
MACD
2.48
Negative
RSI
67.04
Neutral
STOCH
52.61
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:SU, the sentiment is Positive. The current price of 239.75 is above the 20-day moving average (MA) of 223.21, above the 50-day MA of 221.89, and above the 200-day MA of 228.70, indicating a bullish trend. The MACD of 2.48 indicates Negative momentum. The RSI at 67.04 is Neutral, neither overbought nor oversold. The STOCH value of 52.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:SU.

Schneider Electric Peers Comparison

Overall Rating
UnderperformOutperform
Sector (67)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
FRSU
77
Outperform
€127.06B29.6614.99%1.75%6.27%6.48%
67
Neutral
$14.99B9.656.33%5.29%4.07%-66.96%
€826.61M6.8413.03%5.79%
€152.46M14.4511.78%1.95%
DEEKN
€210.82M14.705.70%3.40%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FR:SU
Schneider Electric
239.75
22.85
10.53%
GB:0NDA
Manitou BF
21.80
0.01
0.05%
GB:0FOS
Precia SA
29.20
-1.12
-3.69%
DE:EKN
Groupe SFPI SA
2.30
0.49
27.07%

Schneider Electric Corporate Events

Schneider Electric Files 2024 Universal Registration Document
Mar 26, 2025

Schneider Electric has filed its 2024 Universal Registration Document with the French financial markets authority, which includes comprehensive reports on financial performance, corporate governance, sustainability, and auditor fees. This filing underscores Schneider Electric’s commitment to transparency and regulatory compliance, potentially impacting its market positioning by reinforcing stakeholder trust and highlighting its focus on sustainability.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 29, 2025