Analyst Constantin Hesse of Jefferies maintained a Buy rating on Nordex (NRDXF – Research Report), retaining the price target of €18.00.
Constantin Hesse has given his Buy rating due to a combination of factors that highlight Nordex’s strong financial performance and promising future outlook. The company reported impressive results in the fourth quarter, significantly surpassing consensus expectations with a 15% beat on EBITDA. This performance was driven by a higher quality backlog and enhanced execution capabilities, resulting in a remarkable free cash flow generation of €271 million, well above the anticipated €180 million.
Furthermore, Nordex’s record net cash position of €848 million and a robust project order book valued at €7.8 billion provide solid visibility into 2025 and a promising start for 2026. The company’s guidance for 2025 aligns with market expectations, projecting revenues between €7.4 billion and €7.9 billion and an EBITDA margin of 5-7%. With management’s optimistic outlook for continued order momentum, particularly from Europe, and the potential for a solid re-rating of shares, Hesse sees a strong case for a Buy rating.
Hesse covers the Industrials sector, focusing on stocks such as Nordex, NEL ASA, and PowerCell Sweden AB. According to TipRanks, Hesse has an average return of -9.6% and a 33.69% success rate on recommended stocks.
In another report released on February 21, Goldman Sachs also maintained a Buy rating on the stock with a €20.10 price target.