JPM cuts Schneider Electric on 'shifting drivers' after PTC buyout

Schneider Electric SE

06/10/2026 08:13

** J.P. Morgan downgrades French energy and automation group Schneider Electric SCHN.PA to "neutral" from "overweight" on shifting investment drivers post PTC buyout
** The brokerage says it believes the acquisition of the American software firm changes its view due to the "shifting drivers of the investment case" towards industrial automation
** Broker notes that allocating capital into the fundamentally less attractive automation division dents the target multiple, despite PTC being a good asset overall
** Management targets €800 million ($897 million) in annualised revenue synergies, but the broker views this as somewhat ambitious and notes investor questions on the planned equity raise
** Shares are down 1.6%, at the bottom of French blue-chip index CAC 40 .FCHI
** Out of 24 analysts that cover Schneider Electric, 20 rate the stock "strong buy" or "buy,"​ three rate "hold" and one rates the stock "sell" — LSEG data 
($1 = 0.8923 euros)

(Reporting by Hugo Lhomedet)
((hugo.lhomedet@thomsonreuters.com))