Siemens Energy Debuts Strong: SEBI RA Sees Upside Despite MSCI-Linked Risks
Synopsis
Analyst says Siemens Energy is now the go-to T&D infra stock in India. He also sees re-rating potential for Siemens after recent order win and leaner business model.
Siemens Energy listed at ₹2,850 on NSE after its long-awaited demerger from parent company Siemens. The stock hit the upper circuit of ₹2,992 on its debut.
SEBI-registered analyst Sanyam Vaish observed that this listing marked a strategic T&D breakout story. This new entity, Siemens Energy, is now positioned as India’s biggest pure-play transmission and distribution company.
Brokerages are bullish on the company. Jefferies has a target of ₹3,700, Antique set its target at ₹3,179, while Motilal Oswal and HDFC Securities peg their targets near ₹3,000.
Vaish recommends watching ₹2,850 for support and ₹3,200 to ₹3,500 as resistance for this stock. However, he cautioned that short-term volatility could rise from the stock’s exclusion from the MSCI Index by June 20, which may trigger outflows of nearly $170 million.
Despite this, the long-term story for Siemens Energy remains intact.
Turning to Siemens, Vaish highlights that the parent company continues to hold a 17% stake in the energy business. Its recent ₹4,100 crore bullet train order win reinforces its strong position.
He adds that post-demerger, Siemens is likely to benefit from a leaner business model, which may lead to a re-rating potential. Vaish recommends watching ₹5,100 for support, with resistance between ₹5,600-₹6,000 for Siemens. He sees further upside if it breaks out above ₹5,800.
Vaish concludes that Siemens Energy is now the go-to T&D infrastructure play in India, driven by strong demand and infrastructure investments. Siemens remains a multi-theme play with exposure to bullet trains, factory automation, and smart infrastructure.
He advises investors to monitor short-term volatility linked to MSCI index changes while reiterating the long-term structural strength of these stocks.
Siemens shares are down over 3% year-to-date (YTD).
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