Renewable Energy Holdings "buy"

11/15/07 - Panmure Gordon & Co

LONDON, November 15 (newratings.com) - Analyst Mark Davis of Panmure Gordon maintains his "buy" rating on Renewable Energy Holdings Plc (RTU). The target price is set to 80p.

In a research note published this morning, the analyst mentions that the company has posted 27% y/y revenue growth for 1H, aided by favourable weather conditions and expansion at Kesfeld. The costs associated with CETO are expected to decline going forward in view of Renewable Energy Holdings’ collaborations with Carnegie and EDF Energies Nouvelles, the analyst adds. Continued growth in the company’s wind portfolio is likely to be supported by the recent equity issue of nearly £8 million, according to Panmure Gordon.