RWE "hold," target price raised

29.03.07 - ING Financial Markets

LONDON, March 29 (newratings.com) - Analyst Harold Hutchinson of ING Financial Markets maintains his "hold" rating on RWE (RWE). The 12-month target price has been raised from ?77 to ?78.

In a research note published this morning, the analyst mentions that speculations of the company being a takeover target appear unfounded, given the probable departure of its CEO Mr Roels. RWE?s capex requirements have been rising on account of the company?s high exposure to Germany and the high exposure of its power fleet to ageing lignite and coal plants, the analyst says.