From Morningstar:

Vestas, the Danish wind turbine maker, reported a full-year earnings report that exceeded expectations and sent its shares up 6% on the Copenhagen stock exchange. The company reported a record order intake and a strong improvement in profitability. Vestas also received its largest ever US order during the quarter.

The impact of higher wind turbine prices allowed Vestas to return to profitability, with a full-year operating profit of €231 million. The company’s guidance for fiscal 2024 revenue falls in line with expectations, thanks to its positive momentum. The order backlog at the end of the 2023 financial year was €60.1 billion, offering investors approximately three-and-a-half years’ visibility.

Key metrics for the Vestas stock posted by Morningstar include a Fair Value Estimate of 197 DKK, a Current Price of 198.56 DKK, a Morningstar Rating of ★★★, and a High uncertainty rating. The company faces stiff competition from China, with Morningstar remaining skeptical about its long-term EBIT margin target due to the increasing threat of Chinese competition and the need for more efficient turbines.



Read more: Vestas Shares Surge After Blockbuster Earnings