Siemens, the German conglomerate, experienced a surge in its stock price following the announcement of better-than-expected fourth-quarter results. The company's revenue for the quarter reached 21.39 billion euros ($23.20 billion), surpassing the consensus estimate of 20.99 billion euros. Similarly, orders stood at EUR21.80 billion, beating the estimated EUR20.08 billion mark. Comparatively, revenue and orders increased by 10% and 6% respectively year-on-year.

Additionally, Siemens reported a strong free cash flow of EUR4.6 billion in the quarter, exceeding expectations by 42%. This positive result led to a proposed dividend of EUR4.70 per share and the introduction of a EUR6 billion buyback program.

Analysts from Berenberg noted that the company's performance in the fourth quarter, including orders and profits, exceeded expectations. They also highlighted that Siemens' guidance for FY24 is slightly better than consensus estimates.

Siemens acknowledges that revenue growth may slow down in the next year due to a global demand slump for automation products. However, they anticipate a recovery in the second half of the year. The digital industries division's revenue is expected to grow by up to 3% or remain stagnant, particularly due to the slow recovery of automation businesses in China.

Citi analysts pointed out that while the DI margin guidance falls slightly below consensus estimates, the overall group earnings guidance is better than expected. They also highlighted positive factors such as improved order intake in the digital industries division during Q4 and the FY24 growth outlook of 0%-3%, which is more favorable than anticipated.

Overall, Siemens' strong Q4 results and positive outlook have contributed to a boost in investor confidence.

Liontrust Asset Management Reports Losses in H1 2024

Berkshire Hathaway's Secret Billion-Dollar Stock Investment

Leave A Reply

Your email address will not be published. Required fields are marked *

Related posts

U.S. Export Inspections of Corn and Wheat Decline
News

U.S. Export Inspections of Corn and Wheat Decline

The latest report shows a decline in U.S. export inspections of corn and wheat, with soybean inspections seeing a slight...

Tesla Stock Recovers Slightly After Brutal Selloff
News

Tesla Stock Recovers Slightly After Brutal Selloff

Tesla stock bounces back after a significant decline, analysts adjust price targets and earnings estimates, recalls have...

Carr's Group Faces Challenges in Speciality Agriculture Division
News

Carr's Group Faces Challenges in Speciality Agriculture Division

Carr's Group faces challenges in speciality agriculture division as demand declines in U.S. and U.K. But expects recover...

Home Depot Shares Rally as Analyst Turns Bullish
News

Home Depot Shares Rally as Analyst Turns Bullish

Shares of Home Depot Inc. rally as Wedbush analyst upgrades stock rating to outperform, highlighting positive housing-ma...