We are long MPC ENERGY

From Fearnley Research published today:

MPC Energy Solutions (Buy, TP NOK 90/sh)

We initiate coverage of MPC Energy Solutions (ticker MPCES) with a NOK 90/sh Target Price and a Buy recommendation. MPCES comes across as a highly appealing way of playing the Renewables space, citing 1) an initial portfolio with FSest IRRs >15%, 2) growth opportunities beyond of c. 1 GW with similar economics, 3) scalable business model with applicability beyond targeted regions, and 4) attractive pricing. On the latter, the current market cap implies a price of FSest c. USD 0.8m/MW, representing a +50% discount to peers. Once projects are up and running and the company proves the business model, this sets the stage for meaningful repricing, especially considering the comparably high visibility on growth. Buy

Leave a Comment

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s