Siemens outlook raised on strong orders and data‑center demand, UBS upgrades forecasts

UBS maintains a "Buy" rating on Siemens and lifts its order‑intake outlook for Q3 2026 by roughly nine percent, citing strong growth in the Smart Infrastructure and Digital Industries divisions. Analysts expect organic revenue in Digital Industries to rise 9 % to €4.8 billion and the adjusted operating margin to improve to about 19.5 %. In Smart Infrastructure, demand from electrification projects and data centres is projected to boost organic order growth by 30 %, with revenue rising 10 % to €6.2 billion. A notable contract with the Swiss Federal Railways worth CHF 2 billion is highlighted as a driver for the Mobility segment. UBS also sees room for higher margin targets after one‑off restructuring costs and notes that a potential spin‑off of Siemens Healthineers could further enhance financial flexibility. The bank’s 12‑month price target is €310, implying roughly 15 % upside from the current share price of €269.20.