RWE "buy," target price raised

24.03.06 - Merrill Lynch

LONDON, March 24 (newratings.com) - Analysts at Merrill Lynch maintain their "buy" rating on RWE AG (RWE-EUR). The target price has been raised from ?76 to ?80.

In a research note published this morning, the analysts mention that the company is well positioned to benefit from the rising power price realisations going forward. RWE is expected to witness CAGR operating income of 7.3% in 2005-2010, primarily driven by performance of the company?s Power division, Merrill Lynch adds.