BofA upgrades Portugal's EDP on upside for 2028 guidance, shares rise

Edp Renewables SA

18/08/2026 11:30

** Shares of EDP EDP.LS rise almost 3% after Bank of America double upgrades Portugal's largest utility to "buy" from "underperform"
** The broker sees upside on 2028 guidance after two upgrades to 2026 guidance this year and is now "meaningfully above guidance (and pre-results consensus) for 2028, with management committing to a strategic upgrade before 2Q27"
** "At the EDP level, we are >15% higher than (pre-results) consensus on 2027-28E net income, and >€200m higher than current guidance", it adds
** However, BofA remains "underperform" on EDPR EDPR.LS, as the broker struggles on valuation despite better forecasts
** "We expect EBITDA over the next two years from capital gains and perimeter changes, making multiple-derived valuation and comparison more volatile and/or distorted", it notes

(Reporting by Tiago Brandao)
((Tiago.Brandao@thomsonreuters.com;))