Vestas slashed its 2021 outlook for a second time this year in response to higher costs and supply constraints, sending its shares tumbling as much as 14% as the world's largest maker of wind turbines posted forecast-lagging quarterly profit.
Full Answer
What happened to Vestas data?
Feb 12, 2022 · According to Vestas, new orders have dropped due to an acceleration in cost inflation and to the timing of individual markets. In monetary terms, the decrease in new orders’ value was -9%, less...
Did Vestas wind systems do a stock split?
Nov 03, 2021 · Underperform COPENHAGEN (Reuters) -Vestas slashed its 2021 outlook for a second time this year in response to higher costs and supply constraints, sending its shares tumbling as much as 14% as the...
What's going on with Vestas?
Apr 17, 2022 · Vestas Wind Systems A/S's stock was trading at $30.02 on March 11th, 2020 when Coronavirus (COVID-19) reached pandemic status according to the World Health Organization. Since then, VWDRY shares have decreased by 75.9% and is now trading at $7.23.
What is the ticker symbol of the Vestas share?
May 08, 2019 · COPENHAGEN: Shares in Vestas ' fell 3 percent on Wednesday as first-quarter profit fell well below forecasts and the wind turbine maker surprisingly announced the departure of its chief executive, known for an earlier turnaround of the company. Operating profit before special items dropped 66 percent to 43 million euros, less than half of analysts' average …
See more
May 08, 2021 · Based on this, the Board of Directors has decided to carry out a share split at a ratio of 1:5. The split will effect that each existing share …
Is Vestas Wind Systems A/S a buy right now?
12 Wall Street research analysts have issued "buy," "hold," and "sell" ratings for Vestas Wind Systems A/S in the last year. There are currently 4...
How has Vestas Wind Systems A/S's stock price been impacted by Coronavirus (COVID-19)?
Vestas Wind Systems A/S's stock was trading at $30.02 on March 11th, 2020 when Coronavirus (COVID-19) reached pandemic status according to the Worl...
Are investors shorting Vestas Wind Systems A/S?
Vestas Wind Systems A/S saw a increase in short interest in February. As of February 28th, there was short interest totaling 302,100 shares, an inc...
How often does Vestas Wind Systems A/S pay dividends? What is the dividend yield for Vestas Wind Systems A/S?
Vestas Wind Systems A/S declared a dividend on Wednesday, May 5th. Stockholders of record on Monday, May 10th will be paid a dividend of $0.8387 pe...
Is Vestas Wind Systems A/S a good dividend stock?
Vestas Wind Systems A/S pays an annual dividend of $0.06 per share and currently has a dividend yield of 0.58%. The dividend payout ratio of Vestas...
Who are Vestas Wind Systems A/S's key executives?
Vestas Wind Systems A/S's management team includes the following people: Henrik Andersen , President & Group Chief Executive Officer Tommy Rahbek...
Who are some of Vestas Wind Systems A/S's key competitors?
Some companies that are related to Vestas Wind Systems A/S include Bank of China (BACHY) , Schneider Electric S.E. (SBGSY) , Airbus (EADSY) , P...
What is Vestas Wind Systems A/S's stock symbol?
Vestas Wind Systems A/S trades on the OTCMKTS under the ticker symbol "VWDRY."
How do I buy shares of Vestas Wind Systems A/S?
Shares of VWDRY can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include WeBu...
When will Vestas release Q2 2021?
Prior to looking at Vestas’ own performance, Siemens Gamesa released their own first quarter (Q2 accounting-wise) performance of 2021 on April 30 th. During their investor call later in the day, their CEO, Andreas Nauen commented on the market development.
Is Vestas a wind turbine?
Vestas is the dominant wind turbine manufacturer, making it a potentially interesting investment as also seen by being the largest holding in the popular renewables ETFs the Global Clean Energy Index ETF ( ICLN) and First Trust Global Wind Energy ETF ( FAN ).
What is a CIP fund?
CIP is the world's largest dedicated fund within greenfield renewable energy projects, and Vestas stated its stake would increase its exposure across the renewable energy value chain for the future. CIP is however mainly exposed to wind farm projects.
Why GE Stock Has Underperformed Recently
The stock has come under pressure due to a combination of negative sentiment on commercial aviation and weakness in renewable energy.
These 3 Renewable Energy Stocks Are Too Cheap to Ignore
The renewable energy industry has been hot over the past year as more favorable policies have begun taking shape in Washington, D.C., and even the most old-school energy companies are making efforts to transition more of their power generation to renewable sources.
Top Wind Energy Stocks for Q3 2021
These are the wind energy stocks with the best value, fastest growth, and most momentum for Q3 2021.
Questor: should Manchester United shares get the red card after its Super League blunder?
In August 2018, as a bit of summer fun, we looked at some of the world’s quoted football clubs, of which there are surprisingly few. Chief among them was Manchester United, who face Villarreal in the Europa League final tonight. Man Utd’s shares, quoted in New York, have proved volatile.
End of wind power waste? Vestas unveils blade recycling technology
Wind turbine maker Vestas unveiled new technology on Monday which it says enables wind turbine blades to be fully recycled, avoiding the dumping of old blades. Turbine blades are set to account for 43 million tonnes of waste in 2050, according to a 2017 University of Cambridge study.
Read This Before Investing in Renewable Energy
It's no secret that renewable energy, in this case, wind power, is a long-term growth industry. Indeed, leading energy industry bodies such as the U.S.
Why GE Stock Has Underperformed Recently
The stock has come under pressure due to a combination of negative sentiment on commercial aviation and weakness in renewable energy.
These 3 Renewable Energy Stocks Are Too Cheap to Ignore
The renewable energy industry has been hot over the past year as more favorable policies have begun taking shape in Washington, D.C., and even the most old-school energy companies are making efforts to transition more of their power generation to renewable sources.
Top Wind Energy Stocks for Q3 2021
These are the wind energy stocks with the best value, fastest growth, and most momentum for Q3 2021.
Questor: should Manchester United shares get the red card after its Super League blunder?
In August 2018, as a bit of summer fun, we looked at some of the world’s quoted football clubs, of which there are surprisingly few. Chief among them was Manchester United, who face Villarreal in the Europa League final tonight. Man Utd’s shares, quoted in New York, have proved volatile.
End of wind power waste? Vestas unveils blade recycling technology
Wind turbine maker Vestas unveiled new technology on Monday which it says enables wind turbine blades to be fully recycled, avoiding the dumping of old blades. Turbine blades are set to account for 43 million tonnes of waste in 2050, according to a 2017 University of Cambridge study.
Read This Before Investing in Renewable Energy
It's no secret that renewable energy, in this case, wind power, is a long-term growth industry. Indeed, leading energy industry bodies such as the U.S.
A brief recap of recent events
At the 3rd of November, shares of Vestas were shaken by a tax bill which would cut tax credits for wind energy projects in the US by about a third. Goldman Sachs experts said that this could result in a drop of earnings of 18% for Vestas in 2019. Shares of the company dropped by almost 10% on that day.
The bad
Vestas' revenue was €2,743m in the third quarter of 2017, which was 6% down compared to the third quarter in 2016. The EBIT decreased even more, from €433m in 2016 to €355m in 2017, which translates to a decrease of more than 18%.
The good
The order intake of Vestas was very strong - measured in megawatt, order intake in Q3 of 2017 was up 48 percent compared to Q3 of 2016. When measured in euro, this increase was less, but still very good with 31%. Also, the service revenue increased with 18% compared to 2016, and this part of the business had a margin which grew to 17.9 percent.
Services and manufacturing
One of the interesting things about Vestas is that the main earnings-generating activities of the wind turbine company seem to be slowly shifting away from the power solutions business (the wind turbine manufacturing) to the services business.
Dividend and service cash flow
Let us look at the cash flow of the service business of Vestas. Though it is only a relatively small part of the company, it has a very predictable and stable cash flow. Since Vestas is planning to increase their service revenue in 2020 to a value 50% above the revenue in 2016, we can create the following table:
Shares: Black Friday sale already started?
As we can see on the chart of the stock price of Vestas, shares lost almost a third of their value over the last couple of days. When we consider that the reduction of the tax cuts for wind energy production is far from certain, and still might be swiped off the table in its entirety, this seems like a much too strong reaction.
Conclusion
In my opinion, the market strongly overreacted after the Q3 earnings report of Vestas. When analyzing Vestas, one needs to distinguish between the services division and all other divisions.
