Ord Minnett upgrades FY23 Meridian Energy estimates for EBITDA by 3% while longer-term forecasts are unchanged.
The broker estimates for the 10 months of FY23 so far, EBITDA is tracking around 13% above the same period previously, although earnings are being flattered by one-off gains on electricity hedges.
Along with its peers, Meridian Energy is benefiting from higher retail electricity prices. Generation volumes are largely flat with water inflows tracking at around 98% of historical averages. The shares screen expensive and the broker retains a Lighten rating with an NZ$4.60 target.
Sector: Utilities.
Current Price is $5.16. Target price not assessed.
© 2023 Acquisdata Pty Ltd., source FN Arena