Summary
- Ørsted ADR has surged, but this is not mirrored by the native Copenhagen-listed shares, revealing a disconnect in valuations.
- Recent gains in DNNGY are driven by efficiency measures, a major rights issue, and state support but come with significant dilution and risks.
- Despite Ørsted’s leadership in offshore wind, US project setbacks, dilution, and political headwinds cloud the investment outlook and earnings.
- I rate the na…
Summary
- Ørsted ADR has surged, but this is not mirrored by the native Copenhagen-listed shares, revealing a disconnect in valuations.
- Recent gains in DNNGY are driven by efficiency measures, a major rights issue, and state support but come with significant dilution and risks.
- Despite Ørsted’s leadership in offshore wind, US project setbacks, dilution, and political headwinds cloud the investment outlook and earnings.
- I rate the native Orsted shares a ‘Buy’ below 200 DKK, but the ADR DNNGY is a ‘Hold’ due to overvaluation and structural discrepancies.
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Over the past few weeks, the ADR ticker for Ørsted A/S (OTCPK:DNNGY) has gone “gangbusters”. By this, I mean that we’ve seen a very significant improvement in share price and returns. Usually, this would mean that I would
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