Enel loses more than two points in the late morning in Piazza Affari. The sales were triggered by Credit Suisse, which lowered the recommendation on the stock from neutral to underperfom and the target price from 2,85 to 2,50 euros. The broker justified the decision with the cut in earnings per share estimates (-10% in 2015, 5% below forecasts) and the increase in risks in the reference markets.
According to Credit Suisse experts, there are three key areas of risk for Enel: the deterioration of fundamentals in the company's reference markets, the recently increased regulatory risk in Italy and Spain and the six billion euro disposal plan that will lead benefits only since 2016. Collectively, these three factors could add 2015% downside risk to 25 earnings per share estimates.
The judgment of HSBC was different, which raised the rating from underweight to neutral and the target price from 2,4 to 2,9 euros.
