Citi lifts PT for Australia's Origin Energy on stronger energy markets outlook

Origin Energy

13/08/2026 19:44

** Origin Energy's ORG.AX stronger-than-expected energy markets result and FY27 forecast support upside to earnings beyond FY27, brokerage Citi says
** Brokerage raises ORG's target price to A$13 per share, maintains "buy" rating 
** Citi says result showed earnings were more resilient to softer forward power curves than expected, helped by growing contributions from battery storage and portfolio optimisation
** Brokerage raises co's FY27 core net profit forecast by 2%, reflecting lower net pool costs, but cut its FY28 earnings estimate by 10% due to higher expected reinvestment at Octopus Energy
** Citi also flags uncertainty around scale and pace of reinvestment in non-UK customer growth, energy services and Kraken, while the timing of a potential Kraken IPO was also unclear
** Five of 11 analysts rate stock "buy" or higher, five "hold" and one "sell" or lower; their median PT is A$12.05 - LSEG data
** Stock up 3.2% YTD, as of last close

 (Reporting by Roshan Thomas in Bengaluru)
 ((Roshan.Thomas@thomsonreuters.com;))