Vestas Falls as U.S. Market Seen Shrinking 80%: Copenhagen Mover
Vestas Wind Systems A/S (VWS), the world’s largest wind turbine maker, fell the most in five days in Copenhagen trading after its chief executive officer said the U.S. market may contract 80 percent next year.
Vestas dropped as much as 2.7 percent, the most since Dec. 12. The stock lost 1 percent to 31.64 kroner as of 3:15 p.m. in the Danish capital with volume traded at 55 percent of the three-month daily average.
The U.S. market will shrink as tax breaks for green energy production may not be renewed, CEO Ditlev Engel said in an interview published by newspaper Jyllands-Posten today. The CEO, who has presided over four quarters of earnings that have missed analyst estimates the past year and a half, said he has no plans to step down, according to the newspaper.
The Aarhus, Denmark-based company is struggling to make profits as overcapacity in the industry squeezes margins. Vestas said on Nov. 7 it will cut 3,000 more jobs and reduced its full- year cash-flow forecast.
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