TechnipFMC Seeks to Produce Green Hydrogen from Offshore Wind Power
U.K.-based energy firm TechnipFMC PLC (FTI), Portuguese energy utility company EDP and other research partners have come together to develop an engineering and economic feasibility study to set up a new offshore system to produce green hydrogen from offshore wind power.
TechnipFMC is an oil and gas company that provides complete project life cycle services to the energy industry. The study, BEHYOND, will integrate equipment for the conditioning and production of green hydrogen and infrastructure for its transportation to the coast.
The research partners of the study include the University of South-Eastern Norway, WavEC Offshore Renewables, and the Center for Engineering and Development.
TechnipFMC’s shares gained 2.1% in after-hours trading on Monday. (See TechnipFMC stock chart on TipRanks)
The President of TechnipFMC’s Subsea business, Jonathan Landes, said, “We have the skills and expertise to contribute value to this study from our decades of experience in subsea, as well as the knowledge we have built during our ongoing Deep Purple green hydrogen project. The BEHYOND study also fits with our longer-term ESG goals.”
Last month, Cowen & Co. analyst Marc Bianchi reiterated a Buy rating on the stock and raised the price target from $11 to $12 (42.35% upside potential). The analyst expects upside to estimates and orders this year, given under-appreciated deleveraging.
Overall, the stock has a Moderate Buy consensus based on 2 Buys and 5 Holds. The average TechnipFMC price target of $9.54 implies 13.2% upside potential. The company’s shares have gained 64.3% over the past year.
According to TipRanks’ Smart Score rating system, TechnipFMC scores an 8 out of 10, suggesting that the stock is likely to outperform market averages.