SSE PLC best-placed utility for any inflation resurgence, says Citigroup
Power generator SSE has the least inflation-linked debt SSE PLC (LON;SSE) is the best-placed of the UK utilities to deal with a bout of inflation according to analysts at Citigroup. Power generator SSE has the least inflation-linked debt and should therefore see more of the inflation benefit from revenues dropping through to the bottom line, said the US bank. A permanent 1% increase in inflation would theoretically increase its valuation by 2-3% reflecting higher RAB (regulated business) growth, Citi added. The bank is still not that enthused about SSE, saying it cannot grasp the merit o...
Source: proactiveinvestors.co.uk
