AlphaValue/Baader Europe Trims Schneider Electric FY27 EPS Estimate on Expected PTC Integration Costs

07:01 AM EDT, 10/07/2026 (MT Newswires) -- AlphaValue/Baader Europe trimmed its 2027 EPS forecast for Schneider Electric (SU.PA) to 11.1 euros, reflecting anticipated integration costs and higher interest expenses from the pending acquisition of US engineering software provider PTC. "This model update integrates PTC's financials with our existing model. We assume that the transaction closes in Q3 2027, with 2027 revenues and EPS estimates incorporating one quarter of PTC's figures, while the balance sheet represents full consolidation. From 2028 onwards, the acquisition is expected to be fully integrated. This has resulted in a c.5% decline in our 2027E EPS number, as we expect integration and higher interest costs to impact the net income. For 2028, we expect no major changes to our EPS, as integration costs to extract synergies are expected to be offset by the addition of the higher margin business from PTC," analysts said Wednesday, adding their long-term model assumes "very limited" revenue synergies. The French energy technology company agreed to purchase PTC for $205 per share in cash, representing an equity value of $22.6 billion and an implied enterprise value of $23.7 billion. The research firm maintained its view that the acquisition "makes strategic sense," noting the recent share price pullback offers a "decent" entry point despite market concerns regarding synergy execution and artificial intelligence disruption in software. AlphaValue/Baader Europe rates the stock at add, with a price target of 289 euros.