Orsted: Getting Back On Track

  • Orsted presented a solid Q1 2024 quarterly report.
  • Pipeline of offshore wind projects is large (7.6 GW under construction) and the 2030 goal is 20-22 GW. Huge opportunities with global goals for trebling renewables by 2030.
  • Concrete opportunities in AI and new geographic areas like Australia and Denmark expansion.
  • Global risks include inflation persisting, supply chain issues, US politics, but fate of LNG industry is a key influencer on the future of offshore wind (and hence Orsted’s prospects).
  • Notwithstanding significant uncertainties, my take is that this is a good time to consider investment in Orsted.

I’ve written about the emergence of offshore wind as a major emerging contributor to decarbonizing the global energy system, but I have been early in my assessments. Perhaps this is not unexpected for new technology investments that require substantial upfront