Origin Energy (ORG) Stock Recommendation

Origin Energy (ORG) have a downgraded stock recommendation and an upgraded share price target of $7.80. The upgrade in the share price target is primarily due to an assumption of value for Spring Gully and 3P CSM reserves and the downgrade in recommendation is due to the share's 11 percent rise since the FY06 results. Origin is the preferred bidder for the first of two retail assets being sold by the QLD government. The company will pay $1.2bn for the electricity retail, wholesale and LPG businesses. Best placed to extract value — While the $1,100 per customer price tag for the mass market electricity business is high, CIR see ORG as best placed of the three bidders to extract value from Sun Retail. Sun Retail will enable ORG to further crystallise CSM value through the construction of the Spring Gully and Braemar power plants. QLD is the fastest growing electricity market in the NEM – this underpins a proportion of the

Origin Energy Limited is listed on the Australian Stock Exchange (ASX) under stock code ORG. You can view their investor website here. Origin (ORG) was listed on the ASX on 13 July, 1961. It's primary focus is the operation of an energy business. Find out the meaning of the recommendations in this primer. Browse for other stockbroker recommendations. Check your charts and good luck with your share trading!