Siemens’s stock price fell almost 8 percent to Rs 2,099.40 intraday after the company reported the fourth quarter income for FY21.

Siemens’ Q4 (July-September) net profit fell 7.2% at Rs 330.9 Crore versus Rs 356.7 Crore in the last fiscal period last.

The income rose 21.1% at RS 4,296.1 Crore versus RS 3,546.8 Crore Yoy.

Income before interest, tax, depreciation and amortization (EBITDA) fell 1.9% at RS 447.2 Crore versus Rs 456 Crore and margins at 10.4% versus 12.9%, YoY.

The company has recommended RS 8 dividends per equity stock for the financial year ending September 2021.

This is what the broker said about stock and the company posted September quarter income:

Nomura.

Maintain a neutral rank in stock with a target at Rs 2,355.

The company posts strong sales, but margins below the estimated increase in commodity and logistics costs. The company expects pick-up in the private sector to help demand growth in the flow.

Oswal Maleral.

We like the company’s product portfolio and a variety of final market exposure. Companies are ready to benefit in the long term, led by business niche industries and digitization.

However, the re-rating of shares has been quite steep and failed to recognize the increasing dependence on the strong inflows and risky margins in the business.

We extensively maintain our estimation and remain neutral with the price target of Rs 2,065 / share (business core: 42x FY24 EPS).