Update shared on 05 Nov 2025
Fair value Increased 2.62%Analysts have raised their price target for Ormat Technologies from $103 to $105.70, reflecting adjustments in revenue growth projections and updated discount rate assumptions.
What's in the News
- Ormat Technologies provided revenue guidance for 2025, projecting revenues between $960 million and $980 million. (Key Developments)
- Entered a strategic alliance with SLB to fast-track development and commercialization of integrated geothermal assets, including enhanced geothermal systems. The goal is to expand geothermal energy beyond traditional regions. (Key Developments)
- Commenced commercial operations at the Lower Rio energy storage facility in Texas, a 60MW/120MWh Battery Energy Storage System under a seven-year tolling agreement. Ormat also secured a Hybrid Tax Equity partnership with Morgan Stanley Renewables to monetize investment tax credits. (Key Developments)
- Signed a commercial agreement with Sage Geosystems Inc. to pilot advanced Pressure Geothermal technology at an existing Ormat power plant. The agreement includes the option to expand geothermal power and storage projects using Sage's innovations. (Key Developments)
- Extended a 25-year power purchase agreement with the Southern California Public Power Authority for the Heber 1 geothermal facility. This ensures clean, baseload energy supply to the region through 2052. (Key Developments)
Valuation Changes
- Consensus Analyst Price Target has risen slightly from $103 to $105.70.
- Discount Rate increased modestly to 8.01% from 7.94%.
- Revenue Growth projection has declined from 9.41% to 8.47%.
- Net Profit Margin remains nearly unchanged, decreasing marginally from 13.93% to 13.92%.
- Future P/E ratio has risen slightly, moving from 47.79x to 48.43x.
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