Despite a Friday pullback in its share price, the investment case for wind turbine manufacturer Nordex continues to attract positive analyst coverage. Research firm Jefferies has reiterated its buy recommendation, maintaining a price target of €50.00. This projection implies an upside potential of nearly 16% from the stock’s recent closing level of €43.20.
Recent Orders Provide Fundamental Support
The company’s operational outlook is being bolstered by new contract wins. Fundamentally, these orders provide a solid foundation for the business. Nordex recently secured the first order for its new N175/6.X turbine generation, featuring a hub height of 199 meters, for a project in North Rhine-Westphalia. In a separate deal, the company was awarded a 28-MW contract for the Beesenstedt 3 wind farm in Saxony-Anhalt. Installation and commissioning for both projects are scheduled for 2027.
A key feature of these agreements is the inclusion of 15-year premium service contracts. This element ensures a stream of predictable, long-term revenue, effectively complementing the more volatile project-based side of the business.
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Institutional Holdings See Minor Adjustment
In a parallel development, asset management giant BlackRock has reported a marginal increase in its stake. The world’s largest money manager now holds voting rights in Nordex amounting to 4.50%, up from a previous 4.49%. Of this total, 2.99% are direct or indirect voting rights, with the remaining 1.51% held through financial instruments. This filing is viewed as a routine disclosure and is not interpreted as signaling any strategic shift in position.
Relative Resilience in a Weak Market
Trading activity on Friday highlighted the stock’s comparative resilience within a challenging sector environment. While the broader DAX index declined by approximately 1.7% and sector peer Siemens Energy saw its shares drop over 5.5%, Nordex managed to limit its daily loss to around two percent. On a year-to-date basis, the equity still shows a substantial gain of nearly 44%, underscoring its strong performance over the longer period.
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