{"id":42896,"date":"2025-08-26T11:35:02","date_gmt":"2025-08-26T11:35:02","guid":{"rendered":"https:\/\/quickassetsmarket.com\/index.php\/2025\/08\/26\/orsted-stock-rebounds-5-from-record-lows-why-analysts-are-split-on-future-outlook\/"},"modified":"2025-08-26T11:35:02","modified_gmt":"2025-08-26T11:35:02","slug":"orsted-stock-rebounds-5-from-record-lows-why-analysts-are-split-on-future-outlook","status":"publish","type":"post","link":"https:\/\/quickassetsmarket.com\/index.php\/2025\/08\/26\/orsted-stock-rebounds-5-from-record-lows-why-analysts-are-split-on-future-outlook\/","title":{"rendered":"\u00d8rsted stock rebounds 5% from record lows: why analysts are split on future outlook"},"content":{"rendered":"
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\u00d8rsted stock (CPH: ORSTED) rebounded 5% on Tuesday from record low levels it touched after US government pulled the plug on a major offshore wind project, a blow that rattled investor confidence in one of the world\u2019s top renewable energy developers. <\/p>\n

The selloff also added to worries around the company\u2019s $9.4 billion rights issue and raised fresh questions about its long-term position in the US renewables market.<\/p>\n

Between August 25 and 26, \u00d8rsted\u2019s shares tumbled more than 16%, closing at a record low of 180 DKK on the Copenhagen exchange. <\/p>\n

That drop capped a brutal month in which the stock lost 42% of its value, extending to a 51% slide over the past year. <\/p>\n

In just two days, more than $8 billion was wiped from \u00d8rsted\u2019s market cap, bringing it down to around 75.3 billion kroner ($11.8 billion).<\/p>\n

\u00d8rsted stock: What’s behind the sharp selloff?<\/h2>\n

What triggered the selloff was the Trump administration\u2019s surprise decision to halt \u00d8rsted\u2019s $1.5 billion Revolution Wind project off Rhode Island, citing national security concerns. <\/p>\n

The project was almost finished and expected to power about 350,000 US homes by spring 2026, so the move shocked investors and cast serious doubt on \u00d8rsted\u2019s ambitious US expansion strategy.<\/p>\n

\u00d8rsted\u2019s management didn\u2019t waste time after the selloff. They pulled investors and advisers together in London to calm nerves and push forward with the company\u2019s massive 60 billion DKK ($9.4 billion) capital raise, even as markets looked shaky. <\/p>\n

Backing from the Danish government, which remains the majority shareholder, helped steady the picture a bit and reinforced just how important \u00d8rsted is to Denmark\u2019s energy strategy.<\/p>\n

Despite the headlines, the company\u2019s numbers show it isn\u2019t falling apart. <\/p>\n

For the first half of 2025, \u00d8rsted delivered 13.9 billion DKK in EBITDA and 8.2 billion DKK in net profit, figures that suggest its core business is still performing well, even if investor sentiment has taken a hit.<\/p>\n

What analysts say? <\/h2>\n

Analysts are divided but cautious when it comes to \u00d8rsted\u2019s outlook. <\/p>\n

Bernstein’s analysts warned that the US project halt makes the stock harder to back, given how much the company is counting on expansion there and the uncertainty still hanging over the rights issue.<\/p>\n

Jefferies\u2019 analysts added that the setback creates a tougher backdrop for the capital raise, likely weighing on both pricing and demand from investors. <\/p>\n

UBS, on the other hand, has stuck with its \u2018Buy\u2019 call but stressed that confidence won\u2019t return until there\u2019s more regulatory clarity in the US. <\/p>\n

Analysts caution that if both the Revolution Wind and Sunrise Wind projects were to collapse, \u00d8rsted could be on the hook for as much as 120 billion DKK in penalties, a staggering figure that raises the stakes in its talks with US regulators. <\/p>\n

Even so, a banking group led by JPMorgan Chase and Morgan Stanley is standing behind the planned rights issue, betting that negotiations will eventually yield a breakthrough.<\/p>\n

The post \u00d8rsted stock rebounds 5% from record lows: why analysts are split on future outlook<\/a> appeared first on Invezz<\/a><\/p>\n

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\u00d8rsted stock (CPH: ORSTED) rebounded 5% on Tuesday from record low levels it touched after US government pulled the plug on a major offshore wind project, a blow that rattled investor confidence in one of the world\u2019s top renewable energy developers. The selloff also added to worries around the company\u2019s $9.4 billion rights issue and <\/p>\n","protected":false},"author":1,"featured_media":42897,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":{"0":"post-42896","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-investing"},"_links":{"self":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/42896","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/comments?post=42896"}],"version-history":[{"count":0,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/42896\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media\/42897"}],"wp:attachment":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media?parent=42896"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/categories?post=42896"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/tags?post=42896"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}