SPIE Shares Gain as Deutsche Bank Initiates Coverage With 'Buy' Rating

Shares of SPIE SA (SPIE) rose on Tuesday after Deutsche Bank initiated coverage on the French technical-services company with a "Buy" rating and a €57 price target. The bank's positive outlook is based on improving growth prospects, structural demand drivers, and the potential for continued margin expansion.

On Tuesday, SPIE's stock climbed 1.52% to €44.20, outperforming the broader French market, with the CAC 40 index down approximately 0.8% during the same period.

Rationale for the 'Buy' Rating

In its initiation note, Deutsche Bank highlighted SPIE's position as a market-leading pure-play multi-technical services provider in Europe. The bank believes the company's recent improvement in organic growth represents a significant inflection point after several years of underperformance.

Analysts at the bank expect this growth to continue through the second half of 2026 and into 2028, supported by key investment themes. These include structural demand for:

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• Electrification
• Decarbonization
• Energy-efficient infrastructure

Margin Expansion and Valuation

Deutsche Bank noted that SPIE's EBIT margin has improved by approximately 260 basis points since 2020. This gain is attributed to the company moving up the value chain and successfully pricing its services ahead of inflation, particularly since the pandemic.

The bank sees further potential for margin improvement and suggested its own published forecasts may not yet fully account for these recent gains, leaving room for a potential earnings upside. The €57 price target represents substantial upside from the current share price, reflecting the view that SPIE's improved execution and exposure to long-term trends are not yet fully priced into its valuation.