Cemig upgraded to Overweight from Neutral at JPMorgan

JPMorgan upgraded Cemig to Overweight from Neutral with a price target of R$16, up from R$14.50. The analyst believes state-owned utilities controlled by the state of Minas Gerais are being mispriced by the market. While electric utility Cemig is posting strong results, growth capex at attractive returns and has an “appealing valuation,” water utility Copasa is showing less growth, lack of organic catalysts and fair valuation, the analyst tells investors in a research note.