Iberdrola Stock Upgraded by Goldman Sachs and Deutsche Bank

Goldman Sachs upgraded Iberdrola (ISIN ES0144580Y14) from Neutral to Buy on October 1, 2026, and raised its price target from EUR 21.00 to EUR 25.00. This target is 19.62 percent higher than the EUR 20.90 price at Lang & Schwarz on October 5, 2026. The upgrade reflects Goldman's expectation of stronger earnings growth, dividends, and grid investment, with double-digit earnings growth anticipated through 2031. The bank also increased its capital spending forecast for 2026 through 2031 from EUR 85.0 billion to EUR 100.0 billion.

Deutsche Bank Research also upgraded Iberdrola to Buy from Hold on September 29, 2026, raising its target from EUR 18.50 to EUR 22.00. These two upgrades within three trading days highlight the growing optimism around the stock, which was trading below both new targets at EUR 20.90.

Iberdrola recently completed an expansion of its alliance with GIC in Brazil, adding seven Neoenergia transmission assets and increasing Neoenergia's stake from 50 percent to 51 percent. The expanded platform now includes 16 assets and 6,710 kilometers of transmission lines, with an asset value of BRL 25.5 billion and estimated annual regulated revenue of BRL 1.9 billion. This deal supports the company's networks strategy, which underpins the recent analyst upgrades.

In the first half of 2026, Iberdrola reported a net profit of EUR 4.34 billion, up 22 percent year over year. Adjusted EBITDA reached EUR 8.05 billion, up 7 percent, while total investment rose 25 percent to EUR 7.00 billion. Networks absorbed 63 percent of the first-half investment, and the regulated asset base reached EUR 55.00 billion. Iberdrola is set to present its nine-month 2026 results on October 21, 2026.