Enel shares surged over 5% on Monday after the Italian utility unveiled a €53 billion ($63 billion) capital expenditure plan for 2026-2028, significantly boosting its renewable energy investments. The state-controlled group detailed plans to allocate roughly half the total to power grids while earmarking 38% for renewable generation, marking a clear shift from its previous three-year plan.

This strategic pivot towards renewables in Europe and the US, coupled with a €1 billion share buyback announced Saturday, signals management's confidence in future earnings growth, projected to reach €0.80-€0.82 per share by 2028. The move comes despite the company acknowledging the increased investment and shareholder returns will lift net financial debt to about three times core earnings.