Chalk one up to the rising power of renewable energy. On Feb. 27, Denmark's Vestas Wind Systems (VWS.CO)—the world's largest wind turbine manufacturer—posted a 120% rise in its annual operating profit, to $664 million, on the back of strong demand from Europe, the U.S., and China.
The 2007 results slightly beat market expectations, but shares in the Copenhagen-based company plummeted 8.6% as a five percentage point drop in the firm's global market share, to 23%, took many analysts by surprise. (Shares ended the day down 5%.) Despite the Feb. 27 slump, Vestas shares are up 90% over the past 12 months due to growing demand for wind energy (BusinessWeek.com, 9/21/07) that could drive 20% annual growth for the industry from now until 2020.
