RBC ups Orsted, sees strong cash flows as portfolio matures

Oersted A/S

01/09/2026 12:59

** RBC upgrades Orsted ORSTED.CO to "outperform" from "sector perform" as the Danish renewable energy company transitions into an operating portfolio with strong cash flows
** RBC adds the portfolio has an average remaining subsidy life of 12 years which should support robust FCF yields averaging 11% between 2028 and 2035
** The broker notes that despite lower visibility on future growth, there is potential in the balance sheet for higher shareholder returns
** RBC expects a 12% CAGR for core earnings from 2026 to 2028 
** It ups PT by 50% to DKK 180
** Orsted rises 2% in afternoon trade
** Out of 28 analysts covering Orsted, 14 rate it "strong buy" or "buy"​ and 14 "hold"  — LSEG data

(Reporting by Marta Frackowiak)
((marta.frackowiak@thomsonreuters.com))