E.ON: Barclays sees 'major buying opportunity', shares jump
(CercleFinance.com) - E.
ON shares have risen by up to 2.5% on Tuesday after Barclays upgraded the German utility stock to "overweight" from "equal weight", seeing a "major buying opportunity".
Barclays said it perceives a "significant undervaluation" and "overdone negativity" on the stock, which has lost 5% year-to-date.
The broker has set a new target price of 9.5 euros, versus 10 euros previously.
E.ON shares, which are valued at a total of 17.9 billion euros, were trading up 2.2% at 8.4 euros in mid-morning trading in Frankfurt.
Barclays said it has upgraded its view on the European utility sector to "positive" citing its defensive nature.
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