Education
About Us
Working with TipRanks
Follow Us
Orsted A/S (DNNGY)
OTHER OTC:DNNGY
Top Page
Orsted
(OTC:DNNGY)
52Neutral
Orsted (DNNGY) vs. S&P 500 (SPY)
Market Cap
$19.94B
Dividend YieldN/A
Average Volume (3M)10.37K
Price to Earnings (P/E)21.1
Beta (1Y)-0.06
Revenue Growth-14.89%
EPS Growth96.53%
CountryUS
Employees8,278
SectorUtilities
Sector Strength82
IndustryRenewable Utilities
Share Statistics
EPS (TTM)-0.08
Shares Outstanding1,261,155,600
10 Day Avg. Volume0
30 Day Avg. Volume10,370
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)2.02
Price to Cash Flow (P/CF)N/A
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusHold
Number of Analyst Covering1
Orsted Business Overview & Revenue Model
Company DescriptionØrsted (DNNGY) is a Danish multinational energy company primarily engaged in the development and operation of renewable energy solutions. The company is a global leader in offshore wind power and also invests in onshore wind and solar power solutions, bioenergy, and energy storage. Ørsted's mission is to create a world that runs entirely on green energy, and it operates across Europe, North America, and parts of Asia-Pacific.
How the Company Makes MoneyØrsted makes money through the generation and sale of renewable energy, primarily from its offshore wind farms, which are the largest contributors to its revenue. The company enters into long-term power purchase agreements (PPAs) with utilities and corporations, providing a stable revenue stream. Ørsted also earns revenue from its onshore wind and solar projects, as well as from its bioenergy and energy storage solutions. Additionally, the company benefits from government incentives and subsidies aimed at promoting renewable energy. Strategic partnerships and joint ventures with other energy firms and investors help Ørsted expand its project portfolio and financial base.
Orsted Financial Statement Overview
Summary
Orsted's financial performance reflects significant challenges, including declining revenue and profitability, high leverage, and negative free cash flows. Despite these issues, the company has a stable equity base and positive operating cash flows, suggesting potential for recovery if revenue and profitability improve.Income Statement
The company has faced significant challenges in recent years, with declining revenue and profitability. The gross profit margin in 2024 was 38.86%, but the net profit margin was negative due to a net loss of -206 million. Revenue decreased from 69.08 billion in 2023 to 58.83 billion in 2024, indicating a negative growth rate of -14.78%. The company also struggled with negative EBIT and EBITDA in 2023, though these improved in 2024.45
Neutral
Balance Sheet
The balance sheet shows a high level of debt relative to equity, with a debt-to-equity ratio of 1.16 in 2024. However, the equity ratio is reasonably stable at 27.81%, indicating a solid base of stockholders' equity. ROE is negative due to net losses, which remains a concern for investors.55
Neutral
Cash Flow
The cash flow statement reflects substantial capital expenditures leading to negative free cash flows. Operating cash flow to net income ratio is difficult to assess due to negative net income. The company shows resilience with positive operating cash flow, but the free cash flow to net income ratio remains negative, highlighting ongoing cash flow challenges.50
Neutral
| Breakdown | ||||
| Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|
| Income Statement | Total Revenue | |||
| 58.83B | 69.08B | 126.09B | 69.14B | 37.10B | Gross Profit |
| 22.87B | 22.45B | 28.93B | 16.03B | 11.32B | EBIT |
| 6.17B | -17.85B | 19.77B | 8.04B | 9.01B | EBITDA |
| 16.84B | -7.70B | 25.63B | 21.24B | 15.59B | Net Income Common Stockholders |
| -206.00M | -20.51B | 15.13B | 10.96B | 15.60B |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | |||
| 32.94B | 39.18B | 38.13B | 14.83B | 29.87B | Total Assets |
| 298.79B | 281.14B | 314.14B | 270.38B | 196.72B | Total Debt |
| 96.62B | 88.05B | 71.55B | 58.53B | 41.82B | Net Debt |
| 73.81B | 78.38B | 57.84B | 49.90B | 36.38B | Total Liabilities |
| 205.30B | 203.34B | 218.61B | 185.25B | 99.39B | Stockholders Equity |
| 83.09B | 75.89B | 91.54B | 82.06B | 94.61B |
| Cash Flow | Free Cash Flow | |||
| -24.30B | -9.67B | -21.08B | -22.42B | -10.49B | Operating Cash Flow |
| 18.36B | 28.53B | 11.92B | 12.15B | 16.47B | Investing Cash Flow |
| -21.76B | -34.73B | -17.91B | -12.59B | -16.56B | Financing Cash Flow |
| 15.84B | 265.00M | 13.79B | 3.39B | -2.13B |
Orsted Technical Analysis
Negative
15.30
Price Trends
14.24
Positive
15.71
Negative
17.88
Negative
Market Momentum
0.32
Positive
48.50
Neutral
16.43
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DNNGY, the sentiment is Negative. The current price of 15.3 is below the 20-day moving average (MA) of 15.42, above the 50-day MA of 14.24, and below the 200-day MA of 17.88, indicating a neutral trend. The MACD of 0.32 indicates Positive momentum. The RSI at 48.50 is Neutral, neither overbought nor oversold. The STOCH value of 16.43 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DNNGY.
Orsted Peers Comparison
Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | $92.54B | 20.95 | 9.10% | 3.49% | 4.46% | 54.09% | |
74 Outperform | $38.06B | 20.57 | 8.44% | 3.10% | 4.23% | -27.02% | |
73 Outperform | $56.05B | 18.82 | 11.37% | 3.47% | 2.76% | 31.53% | |
71 Outperform | $144.14B | 21.01 | 14.24% | 2.98% | 26.91% | -6.43% | |
65 Neutral | $12.12B | 15.70 | 7.09% | 4.31% | 5.53% | -2.84% | |
64 Neutral | $45.77B | 15.75 | 9.55% | 3.57% | -18.00% | -7.54% | |
52 Neutral | $19.94B | 21.10 | -1.25% | ― | -14.89% | 96.53% |
* Utilities Sector Average
Performance Comparison
DNNGY
Orsted
15.08
-3.06
-16.87%
AEP
American Electric Power
104.18
24.76
31.18%
ED
Consolidated Edison
105.55
21.05
24.91%
DUK
Duke Energy
118.15
27.97
31.02%
NEE
NextEra Energy
70.07
10.32
17.27%
SRE
Sempra Energy
69.11
2.02
3.01%
Orsted Earnings Call Summary
Earnings Call Date: Feb 6, 2025 | % Change Since: 16.79% | Next Earnings Date: May 7, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted Ørsted's strong EBITDA performance, safety improvements, and strategic milestones in renewable energy projects. However, significant impairments in the U.S. offshore portfolio, pressures on credit metrics, and a reduction in future investments were noted as substantial challenges.Highlights
Strong EBITDA Performance
Ørsted achieved an EBITDA of DKK24.8 billion for the full year 2024, in line with guidance of DKK24 billion to DKK26 billion, representing an increase of DKK700 million compared to last year.
Record Cancellation Fee Reversal
Ørsted managed to settle a number of contracts, leading to a total net reversal of cancellation fees of DKK7.3 billion, resulting in one of the highest EBITDA levels in the company's history.
Safety Improvements
The company reduced its total recordable injury rate for the second consecutive year in 2024, highlighting a successful focus on safety.
Significant Renewable Capacity Commissioned
In 2024, Ørsted commissioned around 2.4 gigawatts of total renewable capacity across offshore and onshore assets.
Final Investment Decision on Baltica 2
Ørsted took the final investment decision on the Baltica 2 project in Poland, locking in the majority of the project's CapEx.
UK Offshore Wind Auction Success
Ørsted was awarded 3.5 gigawatts of offshore wind capacity in the UK allocation round six.
Lowlights
U.S. Offshore Wind Project Impairments
Ørsted recorded total impairments of DKK15.6 billion for the year, primarily related to adverse developments in the U.S. offshore wind portfolio.
Credit Metrics Under Pressure
The company's credit metrics were pressured due to recent adverse developments in the U.S. offshore portfolio, affecting short-term financial stability.
Lowered Investment Plans
Ørsted reduced its projected investments towards 2030 by approximately 25% compared to previous ambitions.
Challenges with Sunrise Wind Project
The Sunrise Wind project faced higher costs and schedule delays, impacting the business case.
Company Guidance
During the Ørsted Q4 2024 Earnings Call, newly appointed CEO Rasmus Errboe outlined several strategic adjustments, including a projected reduction in investments of approximately 25% towards 2030, emphasizing a disciplined approach to capital allocation. The company achieved a full-year EBITDA of DKK24.8 billion, aligning with their guidance of DKK24 billion to DKK26 billion. Total group EBITDA, including new partnerships and cancellation fees, reached DKK32 billion, marking one of the highest levels in the company’s history. They recorded total impairments of DKK15.6 billion, mainly due to developments in their U.S. offshore wind portfolio. Ørsted has commissioned 2.4 gigawatts of renewable capacity this year and plans to focus future investments on financially attractive offshore wind opportunities. Despite challenges, Ørsted remains committed to maintaining a solid investment-grade credit rating and projects an EBITDA growth to DKK29 billion to DKK33 billion by 2026. The company also reported a reduction in their total recordable injury rate for the second consecutive year.Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.