Today's update was triggered by the need to update Morgans' modeling to incorporate TransGrid's Project EnergyConnect. This project is meaningful for TransGrid but a lot less important for Spark Infrastructure, the broker explains.

Having said so, today's update has lifted the broker's target price for Spark by 4c to $2.34. Morgans adds it also supports Spark's narrative regarding de-carbonisation exposure.

Project EnergyConnect is a new 330kV 900km electricity transmission interconnector between SA and NSW. Add rating retained.

Sector: Utilities.

Target price is $2.34.Current Price is $2.23. Difference: $0.11 - (brackets indicate current price is over target). If SKI meets the Morgans target it will return approximately 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

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