ABO Wind Action Forum

A noble pinch from the north. 🍃

Buy what you know. A little performance.

Now that the majority is completely in a trance again dedicated to the tech sector and other sectors are thus falling behind, you can pick the fillets of the second row again.

$OX2 is a Swedish project developer in the renewable energy sector, especially in wind power they have a leading position. They are the market leader in Europe and have extremely strong fundamentals. As wind energy expands in the EU, more money is likely to drive rapid growth here as well.

The market environment is more oriented towards the Baltic/Scandinavian region. In addition, they are currently pushing strongly into the market in France.

The order book is full and continues to be stable. Their website also shows all projects, including size, as well as the processing status. This is how transparency should be for an investor.

This puts them in direct competition with, for example, Abo Wind $AB9 (+3,24 %) or PNE $PNE3 (-0,45 %).

The chart shows a good opportunity for an entry at the current time. Should the trend run further south, I will buy optimistically.

Presentation: Abo Wind AG

Abo Wind AG is - as the name suggests - active in the field of renewable energy. The AG develops and realizes projects worldwide in three different areas:

1. wind: over 700 wind turbines with 1,700 megawatts connected to the grid worldwide.

2. solar: a total of 70 megawatts of solar parks connected to the grid - projects with 5,000 megawatts are currently being implemented.

Battery & hydrogen: Realization of projects combining wind/solar with battery storage or hydrogen electrolysis.

In total, projects with 19 gigawatts are currently being implemented.

Revenue: In 2014, revenue was €97.8 million. By 2020, sales had risen to €149.2 million, falling to €127.1 million in 2021. Total output (which includes values under development) increased from €107.6 million in 2014 to €187.5 million in 2021 (2020: 169.4).

Profit: From €5.3 million in 2014 to €13.8 million in 2021 (2020: 13.1).

Balance sheet assets: The balance sheet shows a total of €297 million for 2021. Equity amounts to € 149.9 million (equity ratio approx. 50.4%). In 2015, the balance sheet value was still € 125.4 million with an equity ratio of 41.5%.

Shares

The share capital is divided into 9,220,893 shares. 26% are owned by the Bockholt family, 26% by the Ahn family. 10% are held by Mainova AG, the remainder (38%) is in free float. The share price is currently €59.20. This results in a capitalization of €545.9 million.

Currently the EBITDA/share is 3,31€ and the net profit is 1,50€ (P/E 39,5). The sales per share is 13,79€ (KUV 4,3). The book value is €16.25.

Dividend: Abo Wind has been paying dividends for a long time. In 2014 this was 0.25€/ share - for 2021 0.49€/ share is planned. This corresponds to a yield of 0.8%.

Outlook: For the coming years, Abo Wind AG is positive, which is mainly due to the acceleration of renewable energy expansions. From 2024, the company aims to generate sustainable surpluses in the amount of €20 million. This would reduce the P/E ratio to at least 27.3 at the current price.

For me (note: I am invested), the company is a good option in the renewable energy sector. Demand is increasing, the company has been profitable for a long time and has a good equity value which is increasing. In addition, the shareholder structure is strong, as far-sighted trading is likely. The company is broadly positioned with its product portfolio. However, the share ratios are currently very high. For example, the P/E ratio was still 6.8 in 2015, as high as 3.4 in 2016, and only rose to 32.7 in 2020, which is due to the strongly rising share price.

-All info from the company's website as well as Annual Report 2021-.

𝐒𝐢𝐞𝐦𝐞𝐧𝐬 𝐄𝐧𝐞𝐫𝐠𝐲 𝐦𝐮𝐬𝐬 𝐋𝐮𝐟𝐭 𝐥𝐚𝐬𝐬𝐞𝐧 📉 The profit warning of the company's subsidiary Siemens Gamesa pulled both shares towards the "south" - What's next for wind power?

Siemens Energy subsidiary Siemens Gamesa had to revise its profit forecast downwards and now expects an operating return on sales of zero to minus one percent before integration and restructuring costs. 229 million will be written down on unprofitable projects such as the Siemens Gamesa 5.X platform in Brazil. Further, revenue is not increasing as much as hoped and Gamesa only expects third quarter revenue of 2.7 billion euros (Gamesa's fiscal year ends 9/30) and an operating loss of 150 million euros (source: Siemens Gamesa press release and Handelsblatt)

Siemens Energy now seems to be the leading party, as the parent company had to revise its own profit targets as a result. According to the Handelsblatt, which refers to industry circles, resentment against the subsidiary is growing in Munich.

Siemens Gamesa has complained primarily about increased raw material prices, as the cost of steel, one of the main materials for wind turbines, has already risen by more than 25 percent this year. This is now dragging down other wind turbine manufacturers such as Nordex, Goldwind and Vestas.

In the short term, we believe this could benefit solar manufacturers first. With a higher profit margin, they could now move into the focus of investors in renewable energy sector. 𝐋𝐚𝐧𝐠𝐟𝐫𝐢𝐬𝐭𝐢𝐠 𝐬𝐞𝐢 𝐚𝐛𝐞𝐫 𝐠𝐞𝐬𝐚𝐠𝐭, 𝐝𝐚𝐬𝐬 𝐞𝐫𝐬𝐭 𝐠𝐞𝐬𝐭𝐞𝐫𝐧 𝐝𝐚𝐬 𝐊𝐥𝐢𝐦𝐚𝐬𝐜𝐡𝐮𝐭𝐳𝐩𝐚𝐤𝐞𝐭 𝐝𝐞𝐫 𝐄𝐔-𝐊𝐨𝐦𝐦𝐬𝐬𝐢𝐨𝐧 "𝐅𝐢𝐭 𝐟𝐨𝐫 𝟓𝟓" 𝐯𝐞𝐫𝐚𝐛𝐬𝐜𝐡𝐢𝐞𝐝𝐞𝐭 𝐰𝐮𝐫𝐝𝐞. It discusses a master plan for a carbon-free economy. According to Handelsblatt, the industry association Wind Europe stated that over 450 gigawatts of new wind power capacity would be needed in the next ten years alone, which equates to around 30 gigawatts of new wind capacity per year. By comparison, the current rate of addition is only around 15 gigawatts per year. Offshore wind power is the main focus of this target, as it could provide a huge boost for struggling wind power manufacturers. Siemens Gamesa is the number one in the offshore market.

The confidence of many investors has already shown today, as 𝐛𝐞𝐢 𝐟𝐚𝐬𝐭 𝐚𝐥𝐥𝐞𝐧 𝐁𝐫𝐨𝐤𝐞𝐫 𝐒𝐢𝐞𝐦𝐞𝐧𝐬 𝐄𝐧𝐞𝐫𝐠𝐲 𝐝𝐢𝐞 𝐦𝐞𝐢𝐬𝐭𝐠𝐞𝐤𝐚𝐮𝐟𝐭𝐞 𝐀𝐤𝐭𝐢𝐞 was (see onvista, flatex, comdirect).

𝗖𝗵𝗮𝗿𝘁𝘁𝗲𝗰𝗵𝗻𝗶𝘀𝗰𝗵 𝗦𝗶𝗲𝗺𝗲𝗻𝘀 𝗘𝗻𝗲𝗿𝗴𝘆 stock is now battered after breaking support around €24. Starting from the last notable supports (Fibo levels) around €22, a quick recovery above €24 would be conceivable. Should this not succeed at the end of the week, however, a test of the prominent low at ~€18 is the preferred variant. At the latest, this offers a good opportunity from a CRV perspective to pick up the actually promising stock relatively cheaply.

𝐖𝐢𝐞 𝐬𝐢𝐞𝐡𝐭𝐬 𝐛𝐞𝐢 𝐞𝐮𝐜𝐡 𝐚𝐮𝐬, 𝐡𝐚𝐛𝐭 𝐢𝐡𝐫 𝐳𝐮𝐠𝐞𝐬𝐜𝐡𝐥𝐚𝐠𝐞𝐧 𝐨𝐝𝐞𝐫 𝐥𝐚𝐬𝐬𝐭 𝐢𝐡𝐫 𝐝𝐢𝐞 𝐅𝐢𝐧𝐠𝐞𝐫 𝐝𝐚𝐯𝐨𝐧? Feel free to post it in the comments, we are interested in your opinions and sharing.

We hope the info was helpful for you. Best regards, Sören and Magnus from @rainbow_stocks. 🌈 📈