BofA Lifts Schneider Electric Price Objective, Forecasts Amid High Demand from Data Center Customers

07:55 AM EDT, 09/08/2026 (MT Newswires) -- BofA Global Research lifted its price objective and forecasts for Schneider Electric (SU.PA) on the back of sustained stronger-than-expected demand from data center customers. "We raise our Schneider estimates materially for 2027-28, driven almost entirely by a stronger outlook for Energy Management, where the pace of order intake and customer demand, particularly from data centre customers, continues to exceed expectations," the research firm said in a Tuesday note focused on the pan-European capital goods sector. "Schneider doesn't report orders but we expect them to have seen similar trends to the other names across the space. While we assume sequential growth moderates from the exceptionally strong levels seen recently for the electrical equipment industry, the backlog build we have seen generally supports a sustained acceleration in revenue growth through 2027-28." Sales estimates for the French energy management and automation company was raised by 0.4% for 2026, 2.3% for 2027 and 4.4% for 2028. Adjusted EPS projections were also upwardly revised for all three years. "Overall, we view Schneider as one of the clearest beneficiaries of the structural AI and data centre investment cycle. While growth is unlikely to remain at recent peak levels, the magnitude of the order inflow and backlog expansion points to a longer duration growth opportunity than is currently embedded in consensus estimates," BofA noted. The buy-rated stock's price objective was increased to 362 euros from 346 euros.