UPDATE: Bank of America Merrill Lynch Raises Price Objective on Ameren to $29 (AEE)

Bank of America Merrill Lynch is out with its report today on Ameren (NYSE: AEE), raising its price objective from $28 to $29.

In a note to clients, Bank of America Merrill Lynch writes, "We are updating regulated valuation multiples from a 2012 to 2013 basis. Our $29 price objective is based on average regulated utility P/E multiple of 13x 2013E net utility earnings of $2.20, and a transmission multiple of 15x 2013E transmission earnings of $0.05. We believe the merchant does not add value."

Bank of America Merrill Lynch maintains Underperform on AEE.

Shares of AEE closed Friday at $29.09.