Siemens downgraded to "neutral"

10.11.08 - Dexia Securities

LONDON, November 10 (newratings.com) - Analysts at Dexia Securities downgrade Siemens AG (SIE) to "neutral." The target price has been reduced to ?47.

In a research note published this morning, the analysts mention that the company is expected to report its FY08 net income from continuing operations short of the expectations. The shortfall is attributable to weak 4Q sales, a number of provisions and charges, and the sale of Siemens? stake in SEN, the analysts add. Siemens? client base is expected to be negatively impacted going forward by the tight credit situation and the overall slowdown, the analysts add. The company's FY08/09 sector profits are at risk, Dexia Securities says.