Siemens Energy’s €154 Billion Backlog Hides a Growing Tension Between Robust Grid Demand and a Wind-Power Warning
13.06.2026 - 14:50:48 | boerse-global.de
A record €17.7 billion in new orders and a €6 billion buyback programme would ordinarily send a stock higher. Yet Siemens Energy’s shares have dropped roughly 14% over the past month, closing Friday at €153.46 — 21% below their April high of €195.54. The disconnect stems from two conflicting stories inside the same company: a booming grid and gas turbine business that is struggling to keep up with demand, and a wind division that warns Europe’s policy inertia could derail years of offshore growth.
At the group level, the Munich-based conglomerate is firing on all cylinders. Orders in the fiscal second quarter smashed market expectations, pushing the total backlog to an unprecedented €154 billion. Grid Technologies, propelled by global network upgrades and the surge in electricity-hungry AI data centres, leads the charge. In gas turbines alone, the order backlog has ballooned to 87 gigawatts, forcing lead times of up to four years. That long visibility is a double-edged sword: it guarantees future revenue but depresses near-term revenue recognition and cash conversion. Still, management raised its full-year guidance, targeting revenue growth of 14–16%, an operating margin of 10–12%, net profit of around €4 billion and free cash flow before taxes of roughly €8 billion.
The second tranche of Siemens Energy’s share buyback programme, launched in the first week of June with purchases of 237,040 shares, signals the board’s confidence. The overall programme runs until the end of fiscal 2027/2028 and can reach €6 billion. For now, however, investors are more focused on the operational bottlenecks and the lingering problem at the wind unit, Siemens Gamesa.
Should investors sell immediately? Or is it worth buying Siemens Energy?
Gamesa’s turnaround remains unfinished. In the second quarter, its order intake edged up to €846 million and revenue climbed to around €2.5 billion, but the operating margin stayed negative at -1.7%. The division is still missing the breakeven point and targets at least a “black zero” by fiscal 2026. More alarming, the business has publicly warned that European governments are falling so far behind their own offshore build-out targets that factories may face capacity cuts from 2028 onward. Vinod Philip, head of the wind unit, calculates the European Union is already 40 gigawatts short of its 2030 goal. Germany alone accounts for 16 GW of projects that are either on hold or threatened by regulatory bottlenecks and missing grid connections — a direct constraint on Gamesa’s future pipeline.
The stock’s recent slide reflects this mixed picture. With a relative strength index of 42.7, the shares are in neutral-to-slightly-oversold territory. Year to date, the equity has still gained roughly 25%, and on a 12-month basis the advance is about 79%, but technical pressure is visible: the price has fallen below its 50-day moving average, while the 200-day line at €136.66 remains a potential support. The high volatility underscores the market’s unease.
Executives, including chief financial officer Maria Ferraro, will try to bridge that credibility gap at two London conferences on 17 and 18 June — the J.P. Morgan European Industrials Conference and the ODDO BHF London Forum. No new numbers are on the agenda; the board must instead explain how it plans to absorb the political risk in wind operations and turn the record order book into faster revenue conversion. For Siemens Energy, the ability to execute on both its grid boom and its wind repair will determine whether the stock can regain its footing.
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Siemens Energy Stock: New Analysis - 13 June
Fresh Siemens Energy information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
