Goldman upgrades Enagas, EDP, Red Electrica to buy

MADRID (MarketWatch)
European utilities Red Electrica SA , Enagas SA and Energias de Portugal SA were upgraded to buy from neutral on Wednesday at Goldman Sachs, reflecting discounts to the sector
 Goldman said the utilities sector benefits from low interest rates and higher energy commodity prices, but that's offset by slimmer regulatory returns and greater political risk
Among other moves, Goldman downgraded A2A to sell from neutral on the view its current valuation premium isn't reflecting the carbon risk to earnings
Also, Pennon Group PLC  was lifted to neutral from sell, Drax Group PLC were cut to neutral from buy and coverage was resumed on Suez Environnement SA as buy