GS Utilities Daily Vestas Q2 points to a stronger profit picture, upgrading EPS & shareholder returns outlook RWE Quant...

Equity Research 14 August 2026 | 8:50AM CEST

GS Utilities Daily: Vestas: Q2 points to a stronger profit picture, upgrading EPS & shareholder returns outlook // RWE: Quantifying

Alberto Gandolfi | Goldman Sachs Bank Europe SE - Milan branch

Ajay Patel | Goldman Sachs International

Mafalda Pombeiro | Goldman Sachs International

Dhwani Khenwar | Goldman Sachs India SPL

Lawrence Lavizani | Goldman Sachs International

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Goldman Sachs GS Utilities Daily

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Acciona Energia: Guidance reiterated, but a seemingly soft H1

Vestas Wind Systems A/S: Q2 points to a stronger profit picture, upgrading the EPS & shareholder returns outlook

We update our Vestas forecasts following its Q2 2026 results and the conference call (August 12th). EBIT before special items of €446m compares with company-compiled consensus EBIT before special items of €205m for the quarter, a 120% beat. Vestas maintained FY revenue guidance at €20.0-22.0bn but raised EBIT margin before special items to 7-9% versus 6-8% previously. Company-compiled consensus is currently forecasting €21.3bn revenue and €1,540m EBIT before special items for FY 2026, equivalent to a 7.2% EBIT margin. At the midpoint of the new guidance this would equate to a 9% consensus EBIT upgrade. The company announced a new share buyback of €400m that will run until the end of the calendar year. Our view: Post results, we raise our EPS forecasts by c.6.3% on average over 2026-28. FY 2026 has a larger increase due to the stronger Q2 execution but all years are impacted by a higher offshore forecast. In addition, we have updated our buyback assumptions for the higher profitability. We see the debate now moving to how far past 10% could EBIT margins go and the potential size of returns of value in the coming years. Combined with an uptick in US and German orders over the year, we think the stage is set for a stronger FY 2027 and expect the re-rating to continue. We maintain our Buy rating with a revised price target of Dkr262 (from Dkr236) implying c.24% upside. More here.

RWE: Quantifying growing optionalities. We see much more to come

In our recent research (here), we concluded that stronger than anticipated returns in US renewables, upside to domestic FlexGen, and the ROE at Amprion converging to peers, could push RWE’s 2031 EPS target to c.€5.50 from the current €4.55, a +20% boost. During the H1 analyst call, management disclosed further optionalities, which could potentially lift 2031 EPS goals above €6.00, we estimate. Although this might be a gradual process – we do not expect the company to upgrade this all at once – we believe the coming 18-24 months are likely to provide meaningful tailwinds. We also note that two datacenter deals (as per management), combined with the prospect of an incremental 5% stake in Amprion (a scenario consistent with management statements, as we have previously discussed) could add, per se, +c.€2/share of incremental value. All of this would move RWE in a different (and much higher) valuation range, in our view. We remain Buy rated. More here.

Siemens Energy: Raising EPS estimates post strong Q3 results

We update our Siemens Energy forecasts following Q3 2026 results on August 5th. Profit