Analyst Note
| Tancrede Fulop, CFA |We've increased our fair value estimate for RWE by 11%, to EUR 50 per share from EUR 45, due to a 42% raise in our 2022-24 adjusted earnings per share forecast on skyrocketing power prices. We maintain our long-term power price assumption of EUR 60 per megawatt-hour, so our long-term earnings estimates are not materially affected. Our fair value estimate implies an average 2022-23 price/earnings of 16.7 and enterprise value/EBITDA of 8.8.