RBC Starts Verbund Coverage at Underperform Amid Regulatory, Earnings Risks

05:08 AM EST, 12/09/2025 (MT Newswires) -- RBC Capital Markets began its coverage of Verbund (VER.VI), noting that falling prices, "challenged" renewable investments and local taxes limit the Austrian energy company's upside potential. "We initiate with an Underperform rating and a Price Target of (Euro)57.5/sh. We see hydro as an important asset class going forward, given its contribution to an evolving [low-carbon] system; however, lower achieved prices, Austrian political intervention and low renewable investment returns present a challenge in the near term," analysts said Monday. The research firm projects the EBITDA compound annual growth rate for full-year 2025 to 2030 at -2%, with a -6% EPS CAGR. RBC also assumes EBITDA for the 2026 to 2028 period will average 5% below consensus.