Citi resumes Nel at 'neutral', sees positive signs amid slow sales recovery

Nel ASA

02/04/2025 12:48

** Citigroup resumes coverage of Norwegian hydrogen solutions provider Nel NEL.OL at "neutral" and sets its PT at NOK 2.50 vs Tuesday's closing price of NOK 2.42

     ** "We update our model after the company announcement that Samsung E&A has taken a 10% stake through a placement, and has signed a collaboration agreement with Nel for EPC," Citi says

     ** New anchor shareholder could instil confidence in investors, it says, but notes sales outlook remains sluggish due to weak order intake and the risk of delays within the backlog

** Citi estimates Nel's 2025 revenue at NOK 879 mln ($84.1 mln), with some recovery expected in 2026-2027 driven by product launches and expected improvement in order intake

** Out of 21 analysts that cover Nel,​ 12 rate it "hold" and nine​ "strong sell" or "sell"

($1 = 10.4501 Norwegian crowns)

 (Reporting by Agnieszka Olenska)

 ((Agnieszka.Olenska@thomsonreuters.com;))