Siemens Energy Sees Five-Year Wait for AI Data Centres as Shares Pull Back From Highs

Siemens Energy sees AI-driven electricity demand tripling U.S. data center power needs by 2030, with record order backlog of €154B, though stock fell 4.2% amid sector profit-taking.

The surge in artificial intelligence is creating an electricity demand that the grid can barely keep up with. Siemens Energy reckons the bottleneck will last years, and it intends to be the company that supplies the cure. In the southeastern United States, developers are waiting up to five years to connect new data centres to the power grid, with transformers, circuit breakers and STATCOM units alone requiring delivery times of 36 months or more.

A McKinsey study cited by the German industrial group projects that power demand from American data centres will leap from 25 gigawatts in 2024 to more than 80 gigawatts by 2030. That sort of trajectory, Siemens Energy argues, locks in a decade of orders for the infrastructure required to make it happen. The company frames its offering as a cross-segment play: high-voltage equipment, dedicated behind-the-meter power plants combining solar, wind, battery storage, hydrogen-ready gas turbines and fuel cells — everything needed to run a hyperscale facility, not just one piece of it.

None of that stopped the shares from retreating sharply on Wednesday. After opening at €186.84 and briefly touching an intraday high of €186.98 — just shy of the 52-week peak of €188.00 marked on 24 April — the stock reversed course. Selling pushed the price down to a low of €172.08 during the session, a swing of nearly nine percent from top to bottom, before it recovered slightly to close at €174.38, down 4.2 percent. The day’s performance still leaves the stock up roughly 42 percent since the start of the year and more than 100 percent over the past twelve months. The current level sits well above its 200-day moving average of €132.70, while the 52-week low remains far below €83.

The business fundamentals underpinning that rally remain intact. In the second quarter of fiscal 2026, booked to 31 March, Siemens Energy reported order intake of €17.7 billion and a record order backlog of €154 billion. Net profit came in at €835 million, while free cash flow before taxes reached nearly €2 billion. Earnings per share rose to €0.89 from €0.50 a year earlier, as revenue edged up just over three percent to €10.29 billion.

Management upgraded its full-year guidance on the back of that performance. Comparable revenue growth is now expected to land between 14 and 16 percent this fiscal year, with net profit forecast around €4 billion. The Grid Technologies division stands out: its revenue growth target has been raised to 25–27 percent from a prior range of 19–21 percent. Analysts polled by the company anticipate full-year EPS of €4.29 and a mean price target of €186.30, slightly above Wednesday’s close. The dividend is expected to jump from €0.70 per share for fiscal 2025 to an estimated €1.84 for the current year.

Wednesday’s drop was not an isolated event. European utilities broadly sold off in the afternoon: RWE fell 3.33 percent, E.ON lost 2.10 percent, and Iberdrola shed 1.85 percent. The sector-wide weakness suggests profit-taking and macro rotation rather than a company-specific reassessment. Siemens Energy will report third-quarter results on 5 August 2026, giving investors the next chance to gauge whether its operational momentum can sustain the rapid share-price advance.