Neutral Siemens; target of Rs 3150: Motilal Oswal

Motilal Oswal recommended Neutral rating on Siemens with a target price of Rs 3150 in its research report dated February 07, 2026.

Broker Research

February 11, 2026 / 22:10 IST

Neutral

Motilal Oswal's research report on Siemens

Siemens (SIEM) posted weak results in 5QFY26 as revenue (including LVM) came in below our estimates due to weaker-than-expected performance in the smart infra and digital industries segment. Overall margin was impacted by currency fluctuations and forex loss. Order inflow moved up 19% YoY. We expect smart infra segment performance to remain strong and locomotive deliveries to aid mobility revenue. Digital industries segment performance is likely to remain weak due to exposure to low-growth industries. We cut our estimates by 7%/6%/5% for 18MFY26/FY27/FY28 to factor in 5QFY26 performance and divestment of LV motors and now expect a CAGR of 9%/11%/6% in revenue/EBITDA/PAT over FY24 (Sep-ending)-FY28 (Mar-ending). The stock is currently trading at 54.6x/45.4x P/E on FY27/28E earnings. We reiterate our Neutral rating on the stock with a revised TP of INR3,150 (from INR3,250 earlier), based on 45x Mar’28E earnings. A broad-based capex revival and margin improvement will be the key drivers for earnings and valuation re-rating.

Outlook

We reiterate our Neutral rating on the stock with a revised TP of INR3,150 (from INR3,250 earlier), based on 45x Mar’28E earnings. A broad-based capex revival and margin improvement will be the key drivers for earnings and valuation re-rating. .

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