(CercleFinance.com) – Oddo is downgrading its advice on the Siemens Gamesa share, going from ‘outperformance’ to ‘neutral’, with an unchanged price target of 18.1 euros.
‘The rise in profitability will take time, even if the fundamentals of the sector have improved under the effect of geopolitical tensions and Europe’s desire to secure its sources of energy supplies’, estimates the analysis office .
Oddo is still waiting for Siemens Energy’s offer at 18.05 E which should be launched during the second half of 2022.
Q3 2022 sales came out at 2.4 billion euros, down 9.9% YoY. ‘Difficulties on difficult contracts as well as costs related to the difficulties of 5.X. continue to weigh on the results’, notes the broker, while the net loss amounted to 446 ME in the 3rd quarter, against -314 ME a year earlier.
In this context, Siemens Gamesa lowers its 2022 guidance and now expects a 9% decline in sales and estimates that the level of uncertainty linked to external factors should continue to affect the group’s performance in 2023.
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