Power industry player Origin Energy Ltd (ASX: ORG) has been on a solid share price upswing in the last 12-months, rising from $7.52 at this time last year to today's open of $9.13.
And Macquarie has its eyes on the stock this week as it upgraded Origin to outperform from neutral with the broker saying the company's position as a provider of +3GW electricity makes it "increasingly attractive".
Macquarie suggests lagging demand from a milder summer and the increasing growth of household solar should see Origin redirect surplus gas to exports as wind and solar farms emerge to meet renewables targets.
Oil price strength will support APLNG cash flows as another upside so Macquarie has raised its price target on Origin from $9.21 to $9.89.
In the energy sector as a whole climbing oil prices this week off the back of Middle Eastern tensions could be good news for energy producers like Woodside Petroleum Limited (ASX: WPL) which has opened up 0.5% at $30.32, Beach Energy Ltd (ASX: BPT), which was sitting up 2.4% to $1.45 at the time of writing and Oil Search Limited (ASX: OSH) – up 0.5% to $7.66.
