The shares of Nuclearelectrica (SNN) ended Friday’s session at 5.12 lei / share, 54% below the IPO price in September 2013 and the brokers do not see chances of recovery too soon.

Ovidiu Dumitrescu, deputy general director of Tradeville, considers that among the main factors that have affected the evolution of the company after the listing have been the reduced demand and falling prices on the free market, the tax on special constructions and uncertainty about the future of nuclear energy. “Basically, there were little news with positive impact about Nuclearelectrica in recent years,” said Dumitrescu for Bursa.

He believes it will be difficult for the results of the next two quarters to cancel the negative impact on profitability generated in April-June, by the planned stopping of a reactor and doubling the period in which the unit did not work, but also both due to the decrease of the amount of energy sold and the average selling price on the free market (in the context of growth of the final electricity consumption and electricity production).

“Under these circumstances, we have no positive expectations regarding quotation of SNN in the second half of the year,” added the broker.

For this, it is difficult to imagine at this time the doubling of the SNN quotation: “Difficult, but not impossible. It would however require a significant increase in the price of electricity in Romania, or this is unlikely in the short term.”