The surprise departure of chief executive Craig Hayman in April led to Peter Herweck from its Schneider Electric arm taking over.
This has exacerbated the underperformance of the stock, said Barclays in a note to clients on Thursday, which has created the investment opportunity.
This bank’s view also takes in the strategic opportunity created by the recent merger with OSIsoft, with both businesses seen to be emerging strongly from the disruption of the Coronavirus pandemic.
Barclays analysts forecast an acceleration in growth and expect this outlook to “come across clearly at the upcoming capital markets day, resulting in upside into the event and beyond”.
“We see the ongoing transition to subscription as more of an opportunity for the group than a risk,” they added.
The recommendation has therefore been upgraded to ‘overweight’, with an increased price target of 4,060.
“In an upside scenario, if the market were to shift its focus to the mid-term opportunities of a transition, we see upside to £45 or >30%.”