Cemig downgraded to Neutral from Overweight at JPMorgan. JPMorgan analyst Fernando Abdalla downgraded Cemig to Neutral citing a more conservative stance following the loss of the HPP injunctions and postponed asset disposals. The analyst lowered his price target for the shares to R$12 from R$14.
Pre-earnings options volume in CEMIG is 4.5x normal with puts leading calls 5:4. Implied volatility suggests the market is anticipating a move near 14.4%, or 34c, after results are released. Median move over the past eight quarters is 2.1%.