E.ON: Credit Suisse reduces target price

(CercleFinance.com) - Credit Suisse maintains its "outperform" recommendation on E.
ON shares, while trimming its target price for them from 12.5 euros to 11.5 euros.

The broker said that the stock remains attractive in view of the potential benefits of the energy transition in the medium and long term.

Nevertheless, the analyst is reducing 2023-26 EPS estimates by 3%-7%, "mostly on higher interest costs". Thus, the 2022 forecast reflects a high risk in Q4.

Finally, the broker points out that energy affordability is a key concern as winter approaches and energy bills rise across Europe. "There has been a political debate around energy poverty and we expect more support from the governments," she concluded.


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