Analyst Jeff Osborne of TD Cowen maintained a Hold rating on Ormat Techno (ORA – Research Report), retaining the price target of $76.00.
Jeff Osborne has given his Hold rating due to a combination of factors influencing Ormat Techno’s current and future performance. The company has demonstrated positive momentum with sequential growth in revenue and EBITDA, particularly driven by strong storage and product segments. This growth is further supported by strategic acquisitions and project developments, such as the Blue Mountain and Ijen projects, which align with Ormat’s long-term capacity goals.
However, Osborne notes some challenges that temper the overall outlook. Curtailments in California and Nevada have negatively impacted electricity revenue and margins, and there are concerns about tariff and supply chain risks affecting long-term storage projects. Additionally, the company faces margin compression in its electricity segment, which has contributed to a decline in consolidated gross margin. These factors collectively justify the Hold rating, as they present both opportunities and risks that balance out the investment potential.
In another report released today, Piper Sandler also maintained a Hold rating on the stock with a $78.00 price target.