Shares of AGL Energy fall as much as 4.6% to A$11.710, set for worst day since Feb 9, if losses hold.

Macquarie analysts downgrade AGL to ‘neutral’, trim PT to A$11.43 from A$11.59.

FY24 is likely to be peak earnings for AGL in the current cycle.

In near term, the markets appear to be suggesting that electricity pricing is nearing a peak, which challenges AGL’s ability to sustain FY24 earnings into FY25.

Macquarie says FY25 curve is reflecting current soft demand, strong coal generator performance and falling underlying commodity prices.

Seven of 11 analysts rate the stock ‘buy’ or higher, four ‘hold’, median PT is A$11.59 - Refinitiv data.

As of last close, stock up 52.2% this year.

AGL Energy is an Australian company engaged in the supply of electricity and gas services.