Siemens Wins Over JPMorgan as Data-Center Demand and a Wider Growth Corridor Back Its 2027 Ambitions
Published on 11/14/2026 at 04:50 | Editorial boerse-global.de
JPMorgan has reaffirmed its bullish stance on Siemens, keeping an "Overweight" rating and a €345 price target after a conversation with the conglomerate's finance chief, Veronika Bienert. Analyst Phil Buller pointed to end-market momentum and market-share gains as the pillars underpinning the group's guidance for the coming fiscal year — a case that rests on Siemens converting that demand into actual revenue and profit.
The target sits well above Friday's closing price of €280.00, implying the stock has room to run if the operational story holds. Buller described the latest set of results, discussed during a webcast following their release, as either in line with or better than usual, and he had already flagged in a Thursday note that the fiscal 2027 outlook topped market expectations.
A Raised Bar for the Medium Term
Siemens used the occasion to lift its mid-term growth ambitions. Earnings per share before purchase price allocation (EPS before PPA) are now expected to grow at a double-digit percentage rate over the medium term, up from a previously targeted high single-digit increase. Comparable revenue growth is now guided at 7–11%, widened from an earlier 6–9% corridor — a combination the company says pairs a bolder profit goal with a higher growth band for the business.
For fiscal 2027 specifically, Siemens projects comparable revenue growth of 9–11% and EPS before PPA of €10.20–10.80. According to Reuters, the fiscal 2026/27 revenue outlook refers to Siemens excluding Healthineers, with the spin-off slated for May.
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Data Centers Double Up
The numbers released Thursday make plain how powerful demand for data-center equipment has become: orders in that segment doubled in the final quarter of fiscal 2026, with roughly €7 billion of the order backlog tied to the business. Chief executive Roland Busch sees no worrying slowdown in data centers over the coming years. Infrastructure contracts and automation are lending support alongside that unit, giving the growth thesis reach beyond any single end market — provided those activities keep their momentum.
Portfolio Moves on Two Fronts
On Tuesday, Siemens signed an agreement to acquire Lauterbach, a provider of debug and trace solutions for embedded software and SoC architectures, in a bid to broaden its offering for semiconductor design and verification. Two days earlier, the company and Austria's Kärnten Netz GmbH struck a six-year contract for deployment of the Gridscale-X software, which will support the grid operator's digitalization and capacity expansion.
Healthineers Reshapes the Earnings Yardstick
Running in parallel is Siemens' plan to spin off a 34.1% stake in Healthineers, with one Healthineers share earmarked for every two Siemens shares and completion expected in fiscal 2027. The direct transfer to Siemens shareholders will redraw the group's shape, and the earnings outlook mechanically steps down as a result. That makes the guidance explicitly framed without Healthineers the relevant benchmark for judging what comes next.
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The Sell-Side Lines Up
UBS reiterated its buy recommendation with a €330 target on Thursday. Analyst Andre Kukhnin cited strong results and the outlook, and said the higher medium-term growth ambitions should lift market expectations. Four other research houses reportedly confirmed their existing ratings and targets, which range from €300 to €345. JPMorgan, for its part, stressed that order intake comfortably beat both its own forecasts and consensus, while one further assessment placed the 2027 outlook largely within the expected range.
The common thread across the coverage is a bet that robust end markets and share gains will carry through to the reshaped group — and that Siemens can deliver them in the growth and earnings targets it has now put on the table.
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