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by Davide Pantaleo
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Eni Petrolio Ftse Mib
ENI held firm despite the drop in oil, with the focus on the latest news on several fronts. For analysts it is a buy with an excellent upside.
Today’s session continues as a sign of caution and uncertainty for ENI which, after closing yesterday with a fractional increase of 0.08%, is still moving close to parity today.
ENI remains afloat despite the drop in oil
As we write, the stock is at € 10.604, with an increase of 0.13% over 9 million shares changed hands so far, against the average of the last 30 days of about 14 million.
ENI shows an uncertain trend and tries to keep afloat in the wake of the small plus sign of the Ftse Mib, but at the same time held back by the decline in oil.
After yesterday’s rise, black gold has returned to decline today and is now at $ 68.65, with a drop of one percentage point, pending the report on US strategic stocks that will be released by the Department of Energy between just over an hour.
ENI: key milestone in research on magnetic confinement fusion
Meanwhile, ENI remains in the spotlight after Commonwealth Fusion Systems, held by the Italian company as the largest shareholder together with MIT of Boston, successfully conducted the first test of a supermagnete that should contain and manage the nuclear fusion of deuterium and tritium.
Commonwealth Fusion Systems plans to build the first experimental reactor by 2025 and to produce power for the grid as early as the next decade.
The test just passed is the first of the three pillars planned towards industrialization.
The next step will concern the construction of a first experimental plant and the next one an industrial type plant.
ENI under review by Equita SIM. Buy with great upside
Equita SIM recalls that the development of innovative technologies is one of ENI’s pillars for the energy transition.
In 2018, ENI had paid $ 50 million in the first round for Commonwealth Fusion Systems as well as a share in the second round of funding.
Magnetic confinement fusion would allow the generation of large quantities of virtually inexhaustible energy produced, without any emission of greenhouse gases, changing the paradigm of energy generation.
Equita SIM points out that the news has no direct implications on the stock in the short / medium term, but demonstrates the quality of ENI’s technology portfolio to tackle the decarbonisation path.
The bullish view on the stock has been confirmed, which deserves a “buy” recommendation for the Milanese SIM, with a target price of 13 euros, a value that implies an upside potential of almost 23% compared to the current prices on Piazza Affari.
ENI under the lens of Intesa Sanpaolo
Intesa Sanpaolo is also betting on the stock, which yesterday renewed its invitation to add it to its portfolio, with a target price of 11.5 euros.
The analysts focus on the Memorandum of Understanding signed by ENI with Mubadala Petroleum, aimed at identifying cooperation opportunities in the energy transition sector.
For Intesa Sanpaolo, the agreement fits into the context of ENI’s strategy and commitment to achieve carbon neutrality by 2050.
Trend-online Deputy Director, born in 1978.
After completing his studies at the Classical High School “Antonio Calamo” of Ostuni I entered the world of economics.
For about twenty years I have been dealing with Stock Exchange and Finance. After having worked as a financial promoter for several years, in 2005 I joined the Trend-online team as an editor, to later become deputy director of the cylinder head. Among other countless activities, I take care of maintaining relationships with all the experts, analysts and traders, consulted daily by Trend-online.
My motto is? “Life is like a mirror, if you look at it smiling it will smile at you”.