Australia's Origin Energy eases after Monday rally

Shares of Origin Energy ORG.AX fall as much as 1.8% to A$11.340, in tandem with a fall in the broader energy sub-index .AXEJ

Stock rose 6.7% on Monday on reports of Octopus Energy weighing 10-bln-pound ($13.64 bln) separation and stake sale of its technology arm Kraken Technologies

Origin holds ~23% stake in Octopus, according to the Australian firm's 2024 annual report

Morgan Stanley set to add nearly A$2 per share to its base case valuation for ORG's share of Octopus Energy, if sale goes through

Citi sees proceeds from sale to be recycled into the Australian energy business; of view ORG should continue to benefit from long-term access to Kraken

YTD, ORG up 5%