Siemens Energy’s €1bn Buyback Falls Flat as Shares Tumble 20% from Record High

Siemens Energy launches €1bn buyback but shares fall 20% from peak, trade below key moving averages. Raised guidance fails to support price as market eyes upcoming investor roadshows.

Siemens Energy launched a fresh €1bn share buyback on 4 June, but the move has done little to arrest the stock’s descent. On Friday, the shares closed at €155.70, down 2.48% on the day, leaving them roughly 20% below the all-time high struck in late April. The repurchase — capped at 57 million shares and running until 30 September — is being executed through an independent bank across Xetra and multiple European trading venues, yet the market remains unmoved. With no daily purchase figures yet published on the company’s buyback page, the programme has yet to provide the kind of price support bulls had hoped for.

The technical picture has turned distinctly cooler. The stock now trades beneath its 50-day moving average of €168.46 and only marginally above the 100-day line at €160.21. The relative strength index reads 37, confirming that short-term momentum has evaporated without reaching oversold territory. Over the past seven sessions the shares have shed 4.05%, while the one-month decline stands at 15.98%. From the year’s peak of €195.54, the drop amounts to 20.21%. Still, the longer-term trend remains intact: the stock is up 27.05% year to date and 76.89% over the past twelve months.

The sell-off is taking place against a backdrop of raised guidance, creating an unusual disconnect. For fiscal 2026, Siemens Energy expects comparable revenue growth of 14% to 16%, an operating margin before special items of 10% to 12%, free cash flow before taxes of roughly €8bn, and net profit of around €4bn. Those numbers follow a strong second quarter in which orders hit €17.7bn, the backlog swelled to €154bn, revenue came in at €10.3bn, and net profit reached €835m. The underlying story — grid buildout, power transmission, and turbine demand — remains firmly intact. But good news, it seems, is already priced in, leaving the stock vulnerable to any perceived disappointment on margins, order quality, or the wind business.

With no quarterly results due until 5 August, the next catalyst will be management’s direct engagement with investors. Siemens Energy has scheduled a roadshow in Munich on 9 June, followed by stops in Copenhagen and Stockholm on 10–11 June, and will attend the J.P. Morgan European Industrials Conference on 17 June. Those appearances are expected to focus on the company’s outlook for grid equipment and the turnaround at Siemens Gamesa, where the target is revenue growth of 3% to 5% and a break-even margin. The feedback from institutional investors could set the tone for the weeks ahead, especially as the buyback’s daily volumes remain contingent on the share price.

Technically, the next significant level to watch is the 100-day moving average at €160.21, just above the current price. A break below that opens the path towards the 200-day line at €135.22 — a 15.38% discount from here. To shake off the weakness, the shares need to reclaim the 50-day average at €168.46. Until the first official buyback transactions appear — the company has pledged to disclose individual trades by the end of the seventh trading day after execution — the market will be left weighing robust fundamentals against a valuation that soared too high too fast. For now, the correction is testing whether the bull case can hold.