Contact Energy Ltd

CEN: XNZE (NZL)

Morningstar Rating for Stocks	Fair Value	Economic Moat	Capital Allocation
	NZD 4.70	Lyklf	Bhkqtkctn

Contact Energy: Tracking Well in Fiscal 2024, Apart from Tauhara Delays

Adrian Atkins

Dec 18, 2023

We downgrade our fiscal 2024 EBITDA forecast for narrow-moat-rated Contact Energy by 8% to NZD 619 million because of delays to the commissioning of the Tauhara geothermal power station development, partly offset by a strong operating performance in the financial year to date. Long-term forecasts are largely unchanged, and we maintain our NZD 8.20 fair value estimate. At current prices, the stock is fairly valued.

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