FRANKFURT (dpa-AFX) - Backed by analyst praise, Eon shares were among the best performers on the DAX on Monday. The energy company's shares rose 1.3 percent to 14.98 euros in afternoon trading, while the German benchmark index remained close to its previous day's closing price. In the energy sector, RWE shares gained 0.4 percent.
In a study, the major British bank HSBC raised its target price to €17.70, bringing it in line with Goldman Sachs' current highest target of €18 in the dpa-AFX analyzer. HSBC analyst Meike Becker sees 18 percent upside potential for Eon shares despite their good performance. By 2025, they will be the sixth-best DAX stock with a rise of one-third.
In her study, in which she continues to rate Eon as a "buy," Becker wrote that the regulatory environment points to growth and rapid investment in the future. She expects more clarity soon regarding the regulations that will apply in Germany from 2029. She also pointed to the company's financial flexibility.
