SIL's fundamentals are closely linked to digitalization of manufacturing and services. Continuous investment in innovation by Parent/SIL provides a key competitive advantage. The speed and magnitude of technology absorption by SIL's clients will be the key driver for multiple re-rating. Upcoming corporate actions preclude rich valuations, which would otherwise accrue naturally to a business with this pedigree. We maintain NEU. Key risks (1) Delays in capex recovery, (2) Slowdown in private investments, (3) INR depreciation, and (4) Any adverse corporate action by Parent. We attended the Siemens India Ltd. (SIL) Innovation Day where in SIL showcased its global technologies/products in AI, IoT, Data Analytics, Digital Twin, Next 47 initiative etc. The sessions were taken up by Siemens AGs global leaders who talked about the parents seriousness in bringing new age technologies to SILs Indian customers. We maintain NEU on SIL with a TP of Rs 1,165/sh.