Baader Bank has cut Siemens to Reduce, seeing 12% downside potential. The bank said the stock's valuation is running well ahead of the company's business development, with growth in its automation segment still to materialize.
The note referenced three listed securities by ISIN: CH0012221716, FR0000121972 and DE0007236101.
The source also highlighted a broader theme: artificial-intelligence power demand. It said semiconductors, memory chips and data centers have already produced large investor gains in the AI boom, while the next bottleneck may be energy. New AI data centers are described as needing not just several megawatts but, in some cases, several gigawatts of power, comparable to multiple modern nuclear plant blocks.
This has begun a global race for available power capacity. Hyperscalers are said to be securing large energy volumes through long-term contracts, while grids and generation capacity are struggling to keep pace with expansion. Geopolitical risks around the Iran war and the Strait of Hormus are described as tightening the environment further.
The section argued that rising demand, long-term offtake contracts and higher electricity prices could create opportunities for energy suppliers and their suppliers. It promoted a report naming five stocks that may benefit from the increased energy demand associated with AI.
