Siemens Energy's Buyback Surge and Record Backlog Signal Strategic Confidence

Siemens Energy's stock nears 52-week high, fueled by a massive share buyback program and a record €146B order backlog driven by surging AI data center power demand.

Siemens Energy’s stock is hovering near its 52-week high of €170.86, trading at €168.04, a gain of roughly 36% since the start of the year. This momentum is being fueled by two powerful corporate actions: a dramatically accelerated share repurchase program and a record order backlog driven by surging demand from AI data centers.

The company’s buyback activity has shifted into high gear. Between April 13 and 19, 2026, Siemens Energy acquired exactly 1,030,930 of its own shares across XETRA and other trading platforms, paying weighted average prices between €165.12 and €170.58 per share. This brings the total shares repurchased since the program’s launch on March 4, 2026, to 9.45 million. The company is executing the first tranche of a plan that could see up to €2 billion spent by the end of September 2026, with a total program worth up to €6 billion extending through fiscal year 2028.

Operational strength provides the foundation for this financial maneuvering. The company’s order backlog has swelled to a record of approximately €146 billion. A significant driver is the booming demand for power from artificial intelligence infrastructure. Within the Gas Services segment, order books are already full through 2028, with initial reservations for 2030 now on file. Notably, a quarter of all new orders are coming directly from operators of AI data centers, making this the single strongest growth source in the portfolio.

This demand translated into powerful first-quarter results, where new orders jumped by almost 34% and net profit tripled to €746 million. Management has signaled to investors that production capacity for gas turbines is completely booked through 2028.

While the Gas Services unit thrives, investor focus remains sharply fixed on the wind power division, Siemens Gamesa. The subsidiary is the critical factor for Siemens Energy’s goal of reaching operational breakeven in the second half of the year. Its performance will be a key item when the company reports second-quarter earnings on May 12. The upcoming report follows a first quarter where operational losses at the wind unit declined sharply.

The repurchased shares serve a dual purpose. A portion will be cancelled, reducing share capital and boosting earnings per share for remaining stockholders. The rest will be used for employee and executive share-based compensation programs.

Potential headwinds from proposed US import tariffs are viewed as manageable. The company operates 28 production sites in the United States to serve the North American market, which it expects will act as a buffer. For 2026, management anticipates tariff-related costs only in the low triple-digit million-euro range. Following the earnings release, the company is scheduled to pay a dividend of €0.70 per share, a distribution approved by the board back in February.