Stock Surge for DEI Amid Market Fluctuations
On August 9th, the shares of DEI are gaining significant attention from investors, experiencing a positive rebound of 7.5% following the recent sell-off on Monday. In today’s trading session, the stock listed on the Athens Stock Exchange has risen by 1.7%, equating to an increase of €0.19, bringing its current price to €11.19. By 2:30 PM, a total of 197,509 shares had changed hands, with the daily trading volume valued at approximately €2.2 million.
Target Price Set at €17.5
This upward movement is attributed to a fresh report from Eurobank Equities, which has established a target price of €17.5 and recommends a “buy” rating. The analyst has included DEI in their list of top picks. Additionally, the report suggests a target for this year’s EBITDA (operating profit) at €1.82 billion, aligning closely with the management’s goal of €1.8 billion (with €1.5 billion projected for the 12 months of 2023).
Recent Acquisition Boosts Stock Performance
The stock has also benefited from a recent agreement to acquire a portfolio of renewable energy projects in Romania, valued at €700 million. This deal enhances the company’s green energy capabilities significantly. Currently, DEI has an installed capacity of 4.7 GW in renewable energy, with additional projects totaling 3.3 GW in various stages, aiming to achieve 8.9 GW by 2026.
Market Capitalization and Recent Trends
As it stands, DEI’s market capitalization is estimated at €4.2 billion, showing little change since the beginning of 2024, while experiencing a decline of over 4% since early August. The stock currently sits approximately 12% below this year’s peak of €12.6, marking a loss of at least 11% from August 1 to August 5.
However, following the sell-off on August 5th, when shares dropped intraday to €10.10, a recovery rally of about 7.5% has been observed, including today’s increase. The company’s current valuation reflects a P/E ratio of 10.7x and a P/BV ratio of 0.89x, with analysts setting an average price target of €16.9, indicating a potential upside of 51%.
Dividend Announcement
It is noteworthy that on July 22nd, the company announced the distribution of its first dividend since 2015, rewarding shareholders with €0.25 per share.
Disclaimer: The information above is the result of journalistic research and does not constitute a recommendation to buy, sell, or hold any stock.
