E.ON

The Higher Regional Court (OLG) Hamm made clear that E.On allegedly used ineffective price-increase clauses for district heating in several regions. In Hamburg, North Rhine-Westphalia and Hesse, E.On applied different formulas when billing purchased services than when selling to end customers (sometimes adding, sometimes multiplying), which created leverage effects and higher prices and could have violated the requirement to base prices on costs. The Federation of German Consumer Organisations (Bundesverband der Verbraucherzentralen) is likely to achieve a partial success, but customers will probably have to enforce their claims for reimbursement individually in court; the OLG plans to rule on October 12. » Altro su wiwo.de

Jefferies maintains a buy recommendation for E.ON and sets a price target of €22.70, implying roughly 29% upside from the current share price. The expansion of power grids for AI-driven data centers is expected to bring significant investment needs and revenues for the group as Europe’s largest grid operator. Half-year figures showed rising net income, but quarterly EPS missed expectations by a wide margin, and analysts have revised profit estimates downward. An InvestingPro fair value of €14.99 indicates valuation risks; the Bundesnetzagentur’s decision on grid charges from 2027 remains the key medium-term share-price driver. » Altro su de.investing.com

E.on’s share came under pressure after a draft from the Bundesnetzagentur on gas market regulation, because the proposed return on equity was well below market expectations. JPMorgan nevertheless confirms “Overweight” and calls the price drop a buying opportunity; Jefferies remains at “Buy” with a higher price target. Analysts expect adverse effects on the electricity division’s returns but consider them manageable and continue to view E.on as a solid dividend stock. » Altro su deraktionaer.de