Eversource Energy Prices Drop as Offshore Wind Charges Drop — TradingView News

** Shares of Eversource Energy S By 6.6% to $58.74

** The company intends to sell its 50% stake in three wind projects – South Fork Wind, Revolution Wind, and Sunrise Wind – which it operates jointly with Danish energy company Ørsted.

** The company says it expects to record after-tax impairment charges (link) on its wind projects of between $1.4 billion and $1.6 billion in the fourth quarter

** ScotiaBank expects ES to exit offshore wind, but believes returns will fall short of expectations; Co will assume financial responsibility until all three projects are nearly completed. End of 2025

** Wells Fargo analysts say decline in value would eliminate remaining capital invested in Eversource and support wind energy

** However, Wells Fargo highlights that a successful re-bid for the Sunrise project could return the total sale proceeds to the previous estimate of $1.7 billion, which stands at $800 million after news of losses

* * The rebidding process is critical to offshore wind development because of macroeconomic changes since developers agreed to the contracts, says Travis Miller, energy and utilities strategist at Morningstar Research. Offshore wind needs to find a way to reduce costs for the customer

** ES shares fall by about 25% in 2023

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