Update shared on 01 Dec 2025
Fair value Decreased 0.32%The analyst price target for Schneider Electric has increased slightly from EUR 265 to EUR 264. This reflects continued optimism from analysts due to positive sector tailwinds and expectations for above-peer growth and margin improvement.
Analyst Commentary
Recent analyst activity around Schneider Electric has been notably positive, with multiple upgrades to Buy ratings and several price target increases. This reflects increasing confidence in the company's outlook and its position within the sector.
Bullish Takeaways- Bullish analysts see Schneider Electric as strongly positioned to benefit from structural tailwinds, specifically growth in data centers and an anticipated recovery in the European construction market over the next two years.
- The company is forecasted to deliver consistent high single-digit organic growth in 2025 through 2027, a rate expected to outpace most industry peers.
- Expectations for margin expansion are accelerating, which supports higher earnings forecasts and justifies raised price targets.
- Several analysts cite profit growth momentum into the next year, viewing Schneider Electric's resilient business model and proactive management as key drivers for share price appreciation.
What's in the News
- Schneider Electric and Switch finalized a $1.9 billion two-phase supply capacity agreement for prefabricated power modules and chillers, marking the largest cooling service engagement in Schneider’s history and enabling support for rapid growth in hyperscale AI data centers. (Key Developments)
- Schneider Electric partnered with Digital Realty in a $373 million agreement to provide guaranteed uninterruptible power supply and custom low voltage equipment, enhancing supply chain resilience for data centers. (Key Developments)
- The company, together with AVEVA and ETAP, joined the Alliance for OpenUSD. The group is collaborating with leaders such as NVIDIA and Adobe to advance open standards for digital twins and simulation-ready 3D assets. (Key Developments)
- Marks & Spencer launched RE:Spark, a supply chain decarbonization program built with Schneider Electric. The initiative aims to accelerate renewable electricity adoption and advance net zero goals by 2040. (Key Developments)
- Schneider Electric and Bloomberg New Economy initiated the Energy Technology Coalition, a private sector group focused on driving faster adoption of technologies for efficient, responsive energy use and smarter AI-driven grids. (Key Developments)
Valuation Changes
- Consensus Analyst Price Target has decreased slightly from €265.10 to €264.25.
- Discount Rate has declined marginally from 8.94% to 8.94%.
- Revenue Growth projection remains unchanged at 7.53%.
- Net Profit Margin projection is stable, showing minimal change at 13.80%.
- Future P/E has decreased slightly from 28.66x to 28.56x.
Disclaimer
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