BUZZ-Citi trims PT for Australia's Origin Energy on lower earnings forecasts

Citi trims price target for power producer Origin Energy ORG.AX by 8% to A$11.50/share

Citi expects co's FY25 energy market EBITDA will decrease by 8% to A$1.141 billion ($702.5 million), in the bottom half of guidance.

Citi sees co's core net profit after tax lower by 2% in FY25 and 13% in FY26

Brokerage says co's lower forecast retail gas volumes, higher pool purchases, increasing unit total cost of expenditure at co's Australia Pacific LNG (APLNG) project, others, are key reasons for lower earnings forecasts

However, Citi expects co to pay higher dividends in FY25

Five of 11 analysts rate the stock "buy" or higher, four "hold" and two "sell"; their median PT is A$10.83 – LSEG data

The Sydney-based co on Friday forecasted lower production from the APLNG project in 2025, and also reported an 11% sequential rise in Q2 APLNG revenue

Stock down 4.1%, YTD

($1 = 1.6242 Australian dollars)