Berenberg Ups Price Target, Forecasts for Schneider Electric After 'Strong' H1 Results; Buy Rating Kept

06:19 AM EDT, 08/05/2026 (MT Newswires) -- Berenberg raised its price target and earnings projections for Schneider Electric (SU.PA), noting data centers underpinned robust underlying demand in the French energy management and automation company's first half. "Following a strong first-half performance that delivered record revenue and a margin beat, Schneider upgraded its FY26 guidance for both. Sequentially stronger growth in the data centre market in Q2, combined with the increasing impact of earlier price rises, supported margins. This momentum was delivered across both the Energy Management (EM) and Industrial Automation (IA) segments, with broad-based growth geographically and by end-market, which we expect to continue into the second half," according to a Tuesday note. The research firm highlighted the company's second-quarter revenue of 11.46 billion euros, up 16.5% organically, due to a triple-digit rise in the data center market and a "significant contribution" from semiconductors. Accordingly, Schneider upgraded its full-year 2026 adjusted EBITA organic growth target to between 14% and 19% from the previous targeted range of between 10% and 15%. "We maintain our preference for Schneider within the large-cap electrical sector, given its significant exposure to high-growth end-markets, further supported by a retained focus on productivity and better pricing discipline. We remain Buy-rated and increase our price target to [EUR340 from EUR325]," analysts added. Berenberg also upgraded its 2026 to 2028 earnings estimates, including sales, EBITDA and EPS.