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Australia's APA climbs to over three-year high as Citi projects data centre-driven benefits

BUZZ-Australia's APA climbs to over three-year high as Citi projects data centre-driven benefits

Updates

** Shares of Australia's APA Group APA.AX rise as much as 2.4% to A$10.8, their highest level since February 28, 2023

** Stock hits its biggest intraday pct gain since March 30

** Analysts at Citi reiterate "buy" rating on the energy infrastructure company, citing rising data centre-driven power demand and grid stability concerns as a medium-term opportunity

** Brokerage highlights growing concerns over grid stability in Australia amid surging power demand from data centres, as reported in local media

** Broker notes the company's ability to offer integrated solutions including generation and grid connectivity, along with preference for capacity-based contracts

** Two of 10 analysts rate the stock "buy", four "hold" and four "sell" or lower; their median PT is A$9.13, LSEG-compiled data shows

** YTD, stock up 19.8%


(Reporting by Roshan Thomas and Aamir Sheik Khalid in Bengaluru)

((Roshan.Thomas@thomsonreuters.com; Aamir.SheikKhalid@thomsonreuters.com))

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