[ET Net News Agency, 24 March 2021] Credit Suisse lifted its target price for ENN
Energy (02688) to HK$130 from HK$115 but downgraded its rating to "neutral" from
"outperform" noting the current valuation (17x FY2021 P/E) is a bit stretched versus
peers' (13x-16x).
The research house said ENN's FY2020 core earnings of Rmb6.2bn (+18%) were in line with
the guidance provided in its 3Q 2020 results. At the results call, management guided >15%
core earnings growth in FY2021, backed by >15% volume growth, a stable dollar margin, and
2.4mn new connections.
Credit Suisse slightly cut its FY2021-22 EPS forecasts by 2-3%. (KL)