Econergy International "buy," target price reduced

01/15/08 - Dresdner Kleinwort Wasser.

LONDON, January 15 (newratings.com) - Analysts at Dresdner Kleinwort maintain their "buy" rating on Econergy International (ECG), while raising their estimates for the company. The target price has been reduced from 160p to 155p.

In a research note published this morning, the analysts mention that Econergy International’s 2H trading update indicates that the company is on track to posting its results in-line with expectations. The downward revision in the target price reflects the exclusion of the Hidromundo project, the analysts say. The EPS estimates for 2008 and 2009 have been raised from -6.4p to -5.6p and from -4.4p to -3.4p, respectively, to reflect lower interest charges.