Jean-Pascal Tricoire, the CEO and Chairman of SCHNEIDER ELECTRIC S (OTCMKTS:SBGSY) is a big advocate of efficiency. He believes that permitting machines to turn off the lights lower electricity consumption by 30%. The concern is that people fail to account the efficiency factor while planning the solutions to deal with the harmful effects of climate change. Largely, it is because no one inaugurates energy efficiency.

The expert view

Solar-panel manufacturing lines, power plants and battery factories all get lavish inauguration ceremonies. When a firm designs an efficiency program, Schneider Electric supplies efficiency-oriented software packages, which saves money. However, there is no ceremony to celebrate the achievement. The CEO further added that the objective is not merely to deploy electricity when it is needed, but the goal is also to utilize it when it is cheaper to generate.

Utility-industry participants refer this phenomenon as “off-peak” power. For instance power is cheaper in the middle of the night. Schneider Electric helps the city estimate its electricity needs by evaluating office usage, traffic lights and other consumption patterns. Tricoire stated that if people start consuming power when it is most efficient, there will be more efficiency.

The expansion

A couple of months ago, Schneider Electric reported that integration of its software operations with Aveva to expand in different industries including nuclear power and pharmaceuticals. The deal reduced Aveva’s exposure to gas and oil industry, the source of nearly 45% of its revenue. This tie-up was believed to have a compelling and clear industrial logic. The deal would diversify company’s end markets, considerably improving its position in power and marine, oil and gas and extending its presence in many other verticals including mining water and chemicals.

In last trading session, the stock price of Schneider Electric jumped more than 5% to close the trading session at $11.51.


SCHNEIDER ELECTRIC S (OTCMKTS:SBGSY) enjoyed a sharp bounce yesterday as it finished the last trading session with a solid gain of 5%. The volume was not very encouraging though as it reached only 403,000, lower even than the poor daily average of 453,000. Still the bulls can feel very interested about the stock from the technical perspective for two reasons. First, the equality of the two down legs increases the chance of finding a long term bottom at $10.79. Secondly, the huge volume spike last week, indicative of capitulation, failed to produce a commensurate price action, signifying slowing bearish momentum.