NewsSiemens upgraded to "buy"
10.10.07 - ING Financial Markets
LONDON, October 10 (newratings.com) - Analysts at ING Financial Markets upgrade Siemens AG (SIE) from "hold" to "buy." The target price has been raised from ?110 to ?112.
In a research note published this morning, the analysts mention that the company?s earnings are likely to be boosted going ahead by robust market conditions and continuing portfolio optimization. Siemens has been able to create significant shareholder value through the VDO disposal, which was at a price 60% higher than market expectations, the analysts say. The company does not need to dispose entire divisions to create value, and even a stake reduction in some of the divisions that are not best-in-class could result in substantial value accretion, ING Financial Markets believes.