Siemens Healthineers AG (1SHL) AI Stock Analysis

Company Guidance

For fiscal year 2027, Siemens Healthineers expects comparable revenue growth between 4% and 5%, including growth dilution of around 70 basis points from the partial exit in the ultrasound portfolio, and adjusted earnings per share of EUR 2.20 and EUR 2.40; Imaging is expected to deliver decent mid-single-digit growth more than 5%, Precision Therapy pretty much the middle between mid-single digit and high single digit, more than 6% to 7%, Diagnostics low to mid-double-digit margin expansion with revenue growth should stabilize, financial income, net between minus EUR 440 million and minus EUR 400 million, and a tax rate of 24% to 26%. The EPS bridge includes EUR 0.15 incremental headwind from inflation in the supply chain, on top of EUR 0.04, roughly EUR 0.20 of year-over-year headwinds from four other topics, and around EUR 50 million or around EUR 0.03 EPS from focusing the ultrasound portfolio, while the more prudent China assumption and the upside from foreign exchange be roughly a wash. For Q1, revenue growth is expected to be within the growth outlook for the full fiscal year, with Imaging around mid-single digits, Precision Therapy in the mid- to high single-digit range, and Diagnostics year-over-year flat revenue development; margins are expected to be flat year-over-year in Imaging, to decline in Precision Therapy in the same ballpark as the assumptions for the full fiscal year, and to show a low to mid-double-digit basis points margin expansion in Diagnostics. Medium term, the synergetic core is expected to grow between 6% and 9%, Imaging is expected to have margin expansion from scale, Precision Therapy is expected to expand margin by 100 basis points a year, Diagnostics retains its ambition to achieve mid-teens margins, and the EUR 400 million savings program is expected to run through 2030.