BN · rank #12 · 2026-07-21
SU
PARIS · EUR · $170.26B (USD)
The exact numbers the algorithm saw.
| Composite score Z-score blend of the factors below; drives the rank. | -0.28 |
|---|---|
| Forward revenue growth Consensus forward revenue growth. | +8.9% |
| Forward net margin Consensus forward net margin. | +11.1% |
| Net margin TTM Trailing twelve month net margin. | +10.4% |
| Margin expansion Forward minus trailing net margin (percentage points). | +0.7% |
| Forward PEG Forward P/E to growth. Below 1 is cheap for the growth. | 1.89 |
| Debt / FCF Net debt relative to free cash flow. Lower is safer. | 1.99× |
| Analyst upside Spread between the consensus 12m target and the current price. | +16.7% |
| Last EPS surprise Most recent reported EPS versus consensus. | — |
| Market cap (USD) | $170.26B |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
Schneider Electric is a global energy management and industrial automation leader providing end-to-end grid-to-chip infrastructure—hardware, software, and services—that directly addresses AI data center power and cooling bottlenecks.
Rationale
The bottleneck_solver thesis is structurally reinforced: Schneider holds validated NVIDIA reference designs, multi-year U.S. data center contracts with embedded lifecycle services, and triple-digit data center segment growth with 18–24 months of order visibility, confirming it is a structural chokepoint solver rather than a sentiment-driven rotation play.
Material risks
- 1Hyperscalers and large colocations increasingly co-develop or internalize power/cooling architecture (e.g., custom busway, in-house UPS design), which could erode Schneider's sole-source positioning and compress the premium embedded in its "AI factory" end-to-end stack.
- 2The $3.1B cash Cognite acquisition adds integration execution risk and stretches balance sheet flexibility (debt/FCF already ~2x), while ~€800M FX headwinds create a meaningful gap between organic momentum and reported financials that could disappoint consensus.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 3 of 3 voted to proceed.