UPDATE: ISI Group Upgrades AES Corporation to Buy, Raises PT

In a report published Monday, ISI Group upgraded its rating on AES Corporation

from Hold to Buy, and raised its price target to $13.00. ISI Group noted, “We are upgrading AES to BUY from Hold. We have increased our price target to $13 / share, which primarily reflects the increase in the USD market value of AES's listed Latin American utilities. Our new target price represents a one-year expected total return of 17% to Friday's close, which screens as a BUY under ISI's new rating system. We caution, however, that AES's risk profile remains among the highest in our sector. Near term issues to watch for include 1) the outcome of the DPL ESP 2) volatility in foreign exchange rates.” AES Corporation closed on Friday at $11.20.