First Berlin Equity Research has published a research update on Energiekontor AG (ISIN: DE0005313506). Analyst Dr. Karsten von Blumenthal reiterated his BUY rating and maintained his EUR 138.00 price target.

Energiekontor has presented excellent H1 figures, which were ahead of our forecasts. EBT grew 128% y/y to €27.8m. Main drivers were both project development and power generation. Once again, Energiekontor has shown how well its business model works. The combination of volatile project development and stable and cash-generative power production from the own plant portfolio is a perfect recipe for continuous growth at high profitability. In H1, EKT increased its project pipeline by 6% to more than 10.8 GW. The capacity of the own green power plant portfolio was up 17% y/y at 384 MW. The company confirmed 2023 guidance (EBT growth of 10% to 20% y/y) and reiterated the medium-term target of €120m EBT by 2028. We stick to our forecasts (2023 EBT of €69m) and confirm our Buy rating at an unchanged price target of €138. Given the growth prospects and the high profitability of the company, EKT is attractively valued. The upside is almost 80%.