Nordex Stock: Turnaround Success Drives Record Backlog

Nordex Group has achieved a remarkable financial turnaround in 2024, posting a net profit of €9 million after suffering a €303 million loss the previous year. The Hamburg-based wind turbine manufacturer increased its revenue by 12.5% to €7.3 billion while dramatically improving operational efficiency. EBITDA surged to €296 million from just €2 million a year earlier, exceeding market expectations of €284 million, with the EBITDA margin reaching 4.1%. The company's order backlog hit a historic high of €12.8 billion at year-end, up from €10.5 billion, providing a solid foundation for future growth. Market analysts noted that free cash flow particularly outperformed expectations, contributing to investor confidence. The stock showed positive momentum in recent trading activity, climbing as much as 5% on the XETRA exchange following the announcement.

Ambitious Outlook for 2025

For the current fiscal year, Nordex projects revenue to grow further to between €7.4 and €7.9 billion, while targeting an improved EBITDA margin of 5.0-7.0%. Though slightly below some analyst expectations, the company reaffirmed its medium-term goal of achieving an 8% EBITDA margin. Investment firms maintain positive ratings on the stock, with price targets suggesting significant upward potential. The shares currently trade approximately 26% above their 52-week low of €9.54, reflecting the company's successful transition to profitability with earnings per share of €0.02 in the most recent quarter, compared to a loss of €0.15 in the same period last year.