Stock Analysis

Integrated Wind Solutions ASA (OB:IWS): Are Analysts Optimistic?

OB:IWS
Source: Shutterstock

Integrated Wind Solutions ASA (OB:IWS) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. Integrated Wind Solutions ASA, through its subsidiaries, provides offshore wind services in Norway, Denmark, Taiwan, Belgium, France, Finland, and internationally. The company’s loss has recently broadened since it announced a kr27m loss in the full financial year, compared to the latest trailing-twelve-month loss of kr28m, moving it further away from breakeven. As path to profitability is the topic on Integrated Wind Solutions' investors mind, we've decided to gauge market sentiment. We've put together a brief outline of industry analyst expectations for the company, its year of breakeven and its implied growth rate.

Check out our latest analysis for Integrated Wind Solutions

According to the 2 industry analysts covering Integrated Wind Solutions, the consensus is that breakeven is near. They anticipate the company to incur a final loss in 2023, before generating positive profits of kr29m in 2024. The company is therefore projected to breakeven just over a year from now. What rate will the company have to grow year-on-year in order to breakeven on this date? Using a line of best fit, we calculated an average annual growth rate of 81%, which signals high confidence from analysts. If this rate turns out to be too aggressive, the company may become profitable much later than analysts predict.

earnings-per-share-growth
OB:IWS Earnings Per Share Growth October 20th 2023

Underlying developments driving Integrated Wind Solutions' growth isn’t the focus of this broad overview, though, keep in mind that generally a high growth rate is not out of the ordinary, particularly when a company is in a period of investment.

One thing we’d like to point out is that The company has managed its capital judiciously, with debt making up 1.9% of equity. This means that it has predominantly funded its operations from equity capital, and its low debt obligation reduces the risk around investing in the loss-making company.

Next Steps:

There are too many aspects of Integrated Wind Solutions to cover in one brief article, but the key fundamentals for the company can all be found in one place – Integrated Wind Solutions' company page on Simply Wall St. We've also compiled a list of pertinent aspects you should look at:

  1. Historical Track Record: What has Integrated Wind Solutions' performance been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
  2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Integrated Wind Solutions' board and the CEO’s background.
  3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

New: AI Stock Screener & Alerts

Our new AI Stock Screener scans the market every day to uncover opportunities.

• Dividend Powerhouses (3%+ Yield)
• Undervalued Small Caps with Insider Buying
• High growth Tech and AI Companies

Or build your own from over 50 metrics.

Explore Now for Free

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.