VWDRY - Vestas - 2020 Outlook Getting Stronger

This is a Z4 end of year note. Please see our last update on Vestas here which covered the 3Q19 results and general outlook. At the time we said they had a strong tailwind approaching 2020 and that has turned out to very much be the case.

Since that piece was written, order flow has been strong and the U.S. extended the Production Tax Credit by one year. While we don't see the credit as really needed any longer given the low, un-subsidized LCOE of latest generation wind, the extension will likely aid some U.S.