Germany's Nordex prelim Q3 sales slightly beat estimates; raises 2026 margin outlook

Overview

• German wind turbine maker's preliminary Q3 sales rose yr/yr and slightly beat analyst expectations

• Preliminary Q3 EBITDA margin improved to 12.7%, driven by higher Service margins and strong project execution

• Company raised full-yr EBITDA margin guidance to 11.5%-12.5%

Outlook

• Nordex raises 2026 EBITDA margin guidance to 11.5%-12.5% from 8.0%-11.0%

• Company maintains all other elements of its full-year 2026 guidance

• Company says improved outlook is due to higher Service margins and strong project execution

Result Drivers

• SERVICE SEGMENT MARGINS - Co said higher margins in Service segment drove Q3 results and improved outlook

• PROJECT EXECUTION - Co attributed better-than-expected Q3 results to strong project execution

• PROJECT RISKS - Co said risks assumed in the Projects segment did not materialize to the extent previously anticipated

Company press release:

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the heavy electrical equipment peer group is "buy"

• Wall Street's median 12-month price target for Nordex SE is €50.00, about 43.4% above its October 15 closing price of €34.86

• The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 21 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)