First Berlin Equity Research has published a research update on ABO Energy KGaA (ISIN: DE0005760029). Analyst Dr. Karsten von Blumenthal downgraded the stock to ADD and decreased the price target from EUR 31.00 to EUR 8.00.

Abstract
ABO Energy has issued another profit warning for 2025. Management is now guiding towards consolidated total output of ca. €230m (previously: €250m). The net loss is now expected to be €170m (previously: ca. €95m). The reasons for the renewed reduction in net earnings guidance by €75m are project postponements to 2026 (ca. €40m) and further value adjustments (ca. €35m) due to further deteriorating market conditions both in Germany and internationally. ABO Energy was not awarded any contracts in the German onshore wind tender in November, as was already the case in August. The renewed slump in ABO Energy’s share and bond price signals that investors are very concerned about the company’s solvency. We have again lowered our forecasts for 2025 and subsequent years. In addition, we have raised our WACC estimate to reflect the increased financial risk. The support of the syndicate banks will be crucial for a successful restructuring. An updated DCF model yields a new price target of €8 (previously: €31). We have downgraded our rating from Buy to Add, as the 15% upside potential is below our 25% threshold.