RWE set for best day in over 2 years after on buyback cheer
Updates share move, adds milestone
** Shares in RWE RWEG.DE jump around 8%after the Germany's largest electricity producer announced up to 1.5 billion euro ($1.59 billion) share buyback and raised its FY outlook
** Stock on track for its best day in over two years if gains hold
** "Due to expected delays in the U.S. offshore wind market and in the European hydrogen business, we have decided to buy back shares," CEO Markus Krebber said
** Jefferies sees the buyback and RWE's willingness to change tact in light of changing market dynamics as a significant positive and clearing event for the stock
** "Solid reporting and the long hoped for buyback should help shares," a local trader says, adding that analysts had already expected a slight guidance hike
** The company now expects to reach the middle of the respective forecast range for its adj. EBITDA and net income, compared to lower-end previously
** The stock, which is down 20.7%YTD including today's session, is among the best performers of the Germany's blue-chip index .GDAXI and the pan-European STOXX 600 .STOX index
($1 = 0.9422 euros)
Reporting by Ozan Ergenay
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
