Fortum Initiated at Sector Perform as RBC Notes Potential Data Center Power Demand

05:54 AM EST, 12/09/2025 (MT Newswires) -- RBC Capital Markets began its coverage of Fortum (FORTUM.HE) at sector perform, with a price target of 17.50 euros, saying the Nordic energy company is well-positioned to benefit from the expected surge in power demand by artificial intelligence and data center markets. "We see Fortum as well placed for growth in the medium term, but believe this is more than acknowledged in the current share price, with the company unlikely to deliver at this level short term. However, we believe the underpin of a ~5.5% EPS [compound annual growth rate] 2025-2030E, low leverage and a potential future demand tailwind means we see limited downside short term," according to a Monday note. The research firm said the listed energy company is a "strong optimizer" of assets, driven by its hydro unit, but noted that visibility on long-term agreements and demand growth remains "poor."