Nordex (NDX1) AI Stock Analysis

• Market Cap: $7.99B
• Dividend Yield: N/A
• Average Volume (3M): 477.62K
• Price to Earnings (P/E): 73.9
• Beta (1Y): 0.70
• Revenue Growth: 1.27%
• EPS Growth: 384.94%
• Country: DE
• Employees: 10,559
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 0.22
• Shares Outstanding: 236,450,360
• 10 Day Avg. Volume: 562,042
• 30 Day Avg. Volume: 477,622
• PEG Ratio: -2.82
• Price to Book (P/B): 2.59
• Price to Sales (P/S): 0.35
• P/FCF Ratio: 9.67
• Enterprise Value/Market Cap: 0.90
• Enterprise Value/Revenue: 0.99
• Enterprise Value/Gross Profit: 5.32
• Enterprise Value/Ebitda: 15.92
• 1Y Price Target: $32.23
• Price Target Upside: -4.66% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: €38.00 ▲(12.43% Upside)

Nordex's strong financial performance and positive technical indicators are the primary drivers of its stock score. The upgraded earnings guidance and improved EBITDA margins further enhance the outlook. However, the high P/E ratio and absence of a dividend yield suggest caution in valuation. Potential risks in specific markets and macroeconomic uncertainties are also considerations.

Positive Factors

Free Cash Flow Generation

Substantially higher free cash flow strengthens Nordex's ability to fund capex, service contracts and working capital internally, reduce reliance on external financing, and support disciplined deleveraging or strategic investments over the next several quarters.

EBITDA Margin Improvement

Sustained margin expansion from 4.3% to ~8% reflects better project execution and service margin recovery, indicating structural operational improvements and pricing discipline that can durably lift profitability if execution and service momentum persist.

Revenue Growth Momentum

Strong top-line growth demonstrates robust demand and successful project wins, which combined with LT service agreements increases recurring revenue potential and supports scaling of margins and cash conversion over a multi-quarter horizon.

Negative Factors

Low Net Profit Margin

Very low net margins despite healthy gross margins signal residual cost, financing, or non‑operating pressures that could limit retained earnings and resilience. Persistent low net conversion would constrain reinvestment and reduce buffer against cyclical headwinds.

Order Intake & Market Visibility

Unclear near‑term order visibility raises revenue predictability risk; if intake softens, utilization and margins can reverse. Over 2–6 months this uncertainty complicates capacity planning and working capital management, testing recently improved cash generation.

Supply Chain & Regional Execution Risk

Operational delays and supplier constraints can defer revenue, inflate costs and tie up working capital. Recurrent execution issues in specific markets undermine customer trust and can pressure margins and cash flow sustainability across upcoming quarters.

Nordex Business Overview & Revenue Model

Company Description

Nordex SE, together with its subsidiaries, develops, manufactures, and distributes multi-megawatt onshore wind turbines worldwide. It operates through Projects and Services segments. The company provides project development services, as well as acquires rights and creates the infrastructure required to construct wind power systems at suitable locations. It also offers maintenance and remote monitoring services for wind farms, as well as spare parts, and repair and technical enhancement services for existing turbines. The company was incorporated in 1985 and is headquartered in Hamburg, Germany.

How the Company Makes Money

Nordex generates revenue primarily through the sale of wind turbines and associated services. The company's revenue model is built around several key streams: direct sales of wind turbine systems to energy producers and utility companies, long-term service agreements (LTSA) that provide ongoing maintenance and operational support, and project financing solutions. Significant partnerships with energy developers and governments enhance its market reach and create large-scale projects that drive sales. Additionally, Nordex benefits from incentives and subsidies related to renewable energy production, which can augment its earnings in various markets.

Nordex Financial Statement Overview

Summary

Nordex has demonstrated strong revenue growth and cash flow generation, with improvements in profitability margins and leverage ratios. However, challenges remain in achieving higher net profit margins and maintaining optimal debt levels.

Income Statement

Nordex has shown a significant improvement in its revenue growth rate, with a 48.6% increase in the TTM period. The gross profit margin stands at 20.66%, indicating a healthy profitability level. However, the net profit margin is relatively low at 0.84%, suggesting challenges in converting revenue into net income. The EBIT and EBITDA margins have improved over the years, reflecting better operational efficiency, but still leave room for improvement.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.47 in the TTM period, indicating a balanced approach to leveraging. Return on equity has increased to 6.08%, showing better utilization of equity to generate profits. The equity ratio is stable, suggesting a solid capital structure. However, the company should continue to monitor its debt levels to maintain financial stability.

Cash Flow

Nordex's free cash flow has grown by 48.7% in the TTM period, demonstrating strong cash generation capabilities. The operating cash flow to net income ratio is 0.20, indicating efficient cash conversion from operations. The free cash flow to net income ratio is robust at 0.78, highlighting effective cash management. Continued focus on cash flow generation will be crucial for sustaining growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.21B	7.30B	6.49B	5.69B	5.44B	4.65B
Gross Profit	1.35B	1.53B	127.81M	486.05M	826.96M	547.36M
EBITDA	450.03M	313.32M	13.10M	-241.65M	60.06M	100.11M
Net Income	108.12M	8.84M	-302.83M	-497.76M	-230.16M	-129.71M
Balance Sheet
Total Assets	5.89B	5.63B	5.42B	4.76B	4.11B	4.41B
Cash, Cash Equivalents and Short-Term Investments	1.38B	1.17B	925.92M	662.06M	792.12M	793.32M
Total Debt	549.35M	500.56M	475.07M	581.89M	487.00M	919.83M
Total Liabilities	4.81B	4.63B	4.44B	3.88B	3.05B	3.64B
Stockholders Equity	1.07B	990.65M	976.60M	878.06M	1.06B	773.53M
Cash Flow
Free Cash Flow	551.43M	265.56M	28.32M	-555.46M	-42.09M	-516.06M
Operating Cash Flow	702.84M	429.75M	161.20M	-350.09M	127.56M	-352.20M
Investing Cash Flow	-133.65M	-159.08M	-139.68M	-163.81M	-152.09M	231.82M
Financing Cash Flow	-38.80M	-37.88M	285.66M	345.53M	62.34M	405.80M

Nordex Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 33.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:NDX1, the sentiment is Positive. The current price of 33.8 is above the 20-day moving average (MA) of 33.06, above the 50-day MA of 30.07, and above the 200-day MA of 23.08, indicating a bullish trend. The MACD of 1.20 indicates Positive momentum. The RSI at 61.05 is Neutral, neither overbought nor oversold. The STOCH value of 79.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:NDX1.

Nordex Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KRN	75 Outperform	€4.35B	15.16	14.99%	1.95%	8.15%	16.17%
JUN3	73 Outperform	€3.74B	13.16	11.92%	2.29%	-1.50%	2.01%
ENR	72 Outperform	$126.43B	88.40	14.04%	―	13.38%	22.22%
NDX1	71 Outperform	$7.99B	73.91	10.44%	―	1.27%	384.94%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
G1A	61 Neutral	€9.99B	24.77	17.71%	2.01%	2.26%	6.49%
DUE	54 Neutral	€1.63B	-51.19	-7.86%	3.12%	-18.21%	-137.62%