NewsSiemens "buy," target price raised
23.06.06 - Deutsche Bank
LONDON, June 23 (newratings.com) - Analyst Peter Reilly of Deutsche Bank maintains his "buy" rating on Siemens (SIE-EUR). The target price has been raised from ?85 to ?87.
In a research note published this morning, the analyst mentions that the creation of the Nokia Siemens Networks (NSN) joint venture has removed Siemens' focus from the Com business and would direct investor focus to the company's core segment. The analyst expects NSN to be a profitable and successful business going forward, if the integration of the two business units is successful. According to Deutsche Bank, Siemens' stock is trading at an unwarranted conglomerate discount, considering the company's strategic moves and the improving profitability of the core business.