Siemens Energy (ENR1n.DE): New buyback points to a returns of value acceleration

Siemens Energy announced they will commence the third tranche of its share buyback program on 24 September 2026, with a volume of up to €2bn. The tranche will run until 31 March 2027 at the latest. The tranche forms part of Siemens Energy's share buyback program of up to €6 billion, which is scheduled to run until the end of fiscal year 2028. Including today's buyback, Siemens Energy will have returned €5bn of the €6bn of buyback earmarked out to FY 2028. This forms part of €10bn of returns of value over the period when dividends are included. If the company were to maintain the existing run rate for buybacks it would imply €12bn over the period to FY 2028 for buybacks and €16bn returns of value. Overall, we would see this announcement as a positive and it sets up for an update on capital allocation on the Capital Markets Day on the 11th November. Our EBITA estimates are 6% ahead of consensus by FY 2030, and we forecast a further material acceleration in cash flow. This leaves the comp