Moneycontrol PRO

Accumulate Siemens; target of Rs 2815: Prabhudas Lilladher

Prabhudas Lilladher recommended accumulate rating on Siemens with a target price of Rs 2815 in its research report dated August 04, 2022.

August 06, 2022 / 08:36 AM IST
 
 
live
  • bselive
  • nselive
Volume
Todays L/H
More

Prabhudas Lilladher's research report on Siemens


Siemens (SIEM) reported revenue growth of 49.8% YoY, driven by strong growth across key segments such as Mobility (up 185.5% YoY), Energy (up 52.3% YoY), Smart Infra (up 38.1% YoY) and Digital Industries (up 45.7% YoY). Except for mobility all other segments reported margin expansion. Other expenses grew 83.9% YoY to Rs4.6bn in Q3SY22, thereby impacting EBITDA margin during the quarter. Order inflows momentum continued during the quarter and came in at Rs49.9bn, translating to strong order book of Rs178.6bn. Management indicated no slowdown in public and private capex, though they are concerned about global headwinds impacting demand, which could result in a slowdown in capex spending. We believe segments such as data center, e-commerce, waste heat recovery, smart infra, digitalization, automation, intralogistics, EV charging infrastructure, decarbonisation, smart metering, smart grids etc. would be key growth driver going ahead.



Outlook


The stock is currently trading at PE of 75.1x/57.6x/48.3x SY22E/23E/24E earnings. We roll forward our TP to SY24E EPS and revise it to Rs2,815 (Rs2,602 earlier) valuing it at 52x SY24E EPS. Maintain ‘Accumulate’ rating.

Close

For all recommendations report, click here


Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Siemens - 040822 - prabhu

Broker Research
first published: Aug 6, 2022 08:36 am
Sections
ISO 27001 - BSI Assurance Mark