CPSE:ORSTED

Stock Analysis Report

Executive Summary

Ørsted A/S, together with its subsidiaries, develops, constructs, and operates offshore wind farms, bioenergy plants, and waste-to-energy solutions.

Snowflake

Fundamentals

Outstanding track record with flawless balance sheet.


Similar Companies

Share Price & News

How has Ørsted's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-3.8%

ORSTED

0.6%

DK Electric Utilities

1.4%

DK Market


1 Year Return

49.2%

ORSTED

16.6%

DK Electric Utilities

7.0%

DK Market

ORSTED outperformed the Electric Utilities industry which returned 16.6% over the past year.

ORSTED outperformed the Market in Denmark which returned 7% over the past year.


Share holder returns

ORSTEDIndustryMarket
7 Day-3.8%0.6%1.4%
30 Day-4.8%2.8%0.8%
90 Day7.5%3.4%2.7%
1 Year52.2%49.2%21.3%16.6%10.3%7.0%
3 Year148.2%132.2%60.2%38.9%34.8%23.6%
5 Yearn/a41.8%5.4%65.4%41.4%

Price Volatility Vs. Market

How volatile is Ørsted's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Ørsted undervalued based on future cash flows and its price relative to the stock market?

12.98x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Ørsted's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Ørsted's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Ørsted is overvalued based on earnings compared to the Europe Electric Utilities industry average.

Ørsted is good value based on earnings compared to the Denmark market.


Price Based on Expected Growth

Ørsted is poor value based on expected growth next year.


Price Based on Value of Assets

Ørsted is overvalued based on assets compared to the Europe Electric Utilities industry average.


Next Steps

Future Growth

How is Ørsted expected to perform in the next 1 to 3 years based on estimates from 13 analysts?

7.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Ørsted's revenue is expected to grow by 6% yearly, however this is not considered high growth (20% yearly).

Ørsted's earnings are expected to grow by 7.8% yearly, however this is not considered high growth (20% yearly).

Ørsted's revenue growth is positive but not above the Denmark market average.

Ørsted's earnings growth is positive but not above the Denmark market average.

Ørsted's earnings growth is expected to exceed the low risk savings rate of 0.2%.


Earnings per Share Growth Estimates


Future Return on Equity

Ørsted is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Ørsted performed over the past 5 years?

53.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Ørsted has delivered over 20% year on year earnings growth in the past 5 years.

Ørsted's 1-year earnings growth exceeds its 5-year average (86.3% vs 53%)

Ørsted's earnings growth has exceeded the Europe Electric Utilities industry average in the past year (86.3% vs -1.5%).


Return on Equity

Ørsted has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).


Return on Assets

Ørsted used its assets more efficiently than the Europe Electric Utilities industry average last year based on Return on Assets.


Return on Capital Employed

Ørsted has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Ørsted's financial position?


Financial Position Analysis

Ørsted is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Ørsted's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Ørsted's level of debt (37.8%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (54.5% vs 37.8% today).

Debt is well covered by operating cash flow (45.7%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 8x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 2.6x debt.


Next Steps

Dividend

What is Ørsted's current dividend yield, its reliability and sustainability?

1.88%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Ørsted's pays a lower dividend yield than the bottom 25% of dividend payers in Denmark (1.71%).

Ørsted's dividend is below the markets top 25% of dividend payers in Denmark (4.92%).

Whilst dividend payments have been stable, Ørsted has been paying a dividend for less than 10 years.

Dividend payments have increased, but Ørsted only paid a dividend in the past 3 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (4.9x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.9x coverage).


Next Steps

Management

What is the CEO of Ørsted's salary, the management and board of directors tenure and is there insider trading?

4.5yrs

Average management tenure


CEO

Henrik Poulsen (52yo)

7.1yrs

Tenure

ø15,897,000

Compensation

Mr. Henrik Poulsen, M.Sc. has been the President and Chief Executive Officer at Ørsted A/S since August 27, 2012. Mr. Poulsen serves as the Chief Executive Officer and Member of Management Board at DONG En ...


CEO Compensation Analysis

Henrik's remuneration is lower than average for companies of similar size in Denmark.

Henrik's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

4.5yrs

Average Tenure

52yo

Average Age

The tenure for the Ørsted management team is about average.


Board Age and Tenure

4.5yrs

Average Tenure

61yo

Average Age

The tenure for the Ørsted board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Henrik Poulsen (52yo)

    President & CEO

    • Tenure: 7.1yrs
    • Compensation: ø15.90m
  • Ole Sørensen (47yo)

    Executive VP and Executive VP of Onshore Wind

    • Tenure: 1.7yrs
  • Marianne Wiinholt (54yo)

    Chief Financial Officer

    • Tenure: 5.9yrs
    • Compensation: ø8.28m
  • Thomas Dalsgaard (53yo)

    Executive VP & CEO of Bioenergy and Thermal Power

    • Tenure: 7.9yrs
  • Anders Lindberg (54yo)

    Executive Vice President of Offshore Wind EPC & QHSE

    • Tenure: 1.3yrs
  • Morten Buchgreitz (52yo)

    Executive VP & CEO of Customer Solutions

    • Tenure: 6.5yrs
  • Jakob Boss

    Senior Vice President of Corporate Strategy & Stakeholder Relations

    • Tenure: 4.3yrs
  • Martin Barlebo (48yo)

    Head of Communications

    • Tenure: 4.5yrs
  • Anders Pedersen

    Head of Aalborg Office

    • Tenure: 3.4yrs
  • Daniel Lerup

    Head of Investor Relations and Senior VP of Financial Planning & Tax

    • Tenure: 0yrs

Board Members

  • Peter Korsholm (48yo)

    Director

    • Tenure: 2.5yrs
    • Compensation: ø347.00k
  • Jørgen Kildahl (56yo)

    Director

    • Tenure: 1.5yrs
  • Dieter Wemmer (62yo)

    Director

    • Tenure: 1.5yrs
  • Lene Skole-Sørensen (60yo)

    Deputy Chairman

    • Tenure: 4.5yrs
    • Compensation: ø803.00k
  • Thomas Andersen (64yo)

    Chairman of the Board

    • Tenure: 5.1yrs
    • Compensation: ø1.09m
  • Mogens Vinther (72yo)

    Board Observer

    • Tenure: 0yrs
    • Compensation: ø75.00k
  • Lynda Armstrong (69yo)

    Independent Director

    • Tenure: 4.5yrs
    • Compensation: ø320.00k
  • Ole Henriksen (47yo)

    First Alternate Employee Representative Director

    • Tenure: 5.5yrs
  • Michael Bruun

    Board Observer

    • Tenure: 0yrs
  • Philippe Lenoble

    Board Observer

    • Tenure: 0yrs

Company Information

Ørsted A/S's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ørsted A/S
  • Ticker: ORSTED
  • Exchange: CPSE
  • Founded: 1972
  • Industry: Electric Utilities
  • Sector: Utilities
  • Market Cap: ø261.315b
  • Shares outstanding: 419.99m
  • Website: https://orsted.com

Number of Employees


Location

  • Ørsted A/S
  • Kraftværksvej 53 - Skærbæk
  • Fredericia
  • Region of Southern Denmark
  • 7000
  • Denmark

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
94337054BDL (Bourse de Luxembourg)6.25%-FRN SUB 26/06/3013 EUR1000 'NC10'LUEURJun 2013
A1HL4HBST (Boerse-Stuttgart)6.25%-FRN SUB 26/06/3013 EUR1000 'NC10'DEEURJun 2013
D2GFDB (Deutsche Boerse AG)6.25%-FRN SUB 26/06/3013 EUR1000 'NC10'DEEURJun 2013
ORSTEDCPSE (OMX Nordic Exchange Copenhagen)YesShare CapitalDKDKKJun 2016
D2GDB (Deutsche Boerse AG)YesShare CapitalDEEURJun 2016
0RHELSE (London Stock Exchange)YesShare CapitalGBDKKJun 2016
DOGE.FOTCPK (Pink Sheets LLC)YesShare CapitalUSUSDJun 2016
DNNG.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDAug 2016

Biography

Ørsted A/S, together with its subsidiaries, develops, constructs, and operates offshore wind farms, bioenergy plants, and waste-to-energy solutions. It operates through Offshore, Onshore, Bioenergy, and Cu ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/22 22:07
End of Day Share Price2019/09/20 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.