Nel walked into its Q3 2026 report with the share price at NOK 2.07 after a modest 7‑day rise, a stock already priced for big hydrogen dreams rather than current profits. The fresh numbers tell a more sobering story. Revenue for the quarter was NOK 111.7m while the company posted a net loss of NOK 140.7m and an earnings per share loss of NOK 0.08. The market is trading emotion around growth stories. The real hinge in this report is the ongoing profit squeeze that still defines Nel.
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Q3 2026 Earnings Summary
- Revenue (Q3 2026 vs Q3 2025): NOK 111.65m vs NOK 303.37m (revenue fell 63%)
- Net Loss (Q3 2026 vs Q3 2025): NOK 140.68m loss vs NOK 84.70m loss (loss widened 66%)
- Basic EPS (Q3 2026 vs Q3 2025): NOK 0.08 loss per share vs NOK 0.05 loss per share (per-share loss increased 66%)
- Order Intake and Backlog (Q3 2026): Order intake NOK 253m and backlog NOK 1.314b, with intake up by a very large multiple year on year, largely driven by PEM electrolyzer orders (PEM means proton exchange membrane)
Ask Charlie what Nel’s PEM shift means for future orders.
Nel’s Hydrogen Upside: Tech And Backlog On Trial
Optimists argue Nel is quietly building the engine for future upside through technology and a strong pipeline.
"Technology upgrades, cost reductions, and strong partnerships position Nel to benefit from global hydrogen demand growth and improve earnings stability amid expanding policy support."
Q3 shows early proof points but not a full payoff. Order intake of NOK 253m and a NOK 1.314b backlog, heavily skewed to PEM, support the idea that partnerships and the MC series resonate. Containerized PEM margin improvements and cost cuts back that up. Yet group EBITDA stayed deeply loss making, so earnings stability remains more ambition than fact.
Nel Bear Case: Demand Friction And Losses Under Scrutiny
The darker storyline says project slippage, cancellations and heavy cash burn will keep Nel stuck.
"Ongoing delays in renewables adoption and project cancellations are causing unpredictable revenue, weak order intake, and ongoing losses."
Latest figures partly back this concern. Q3 revenue of NOK 111.7m fell sharply year on year and the group reported a net loss of NOK 140.7m. Alkaline sales were especially soft after thin ordering over the past two years. At the same time, order intake rebounded very strongly from a low base and PEM activity improved, so the pattern is mixed rather than purely deteriorating.
Not everyone reads the same price the same way. → See the lower figure this Narrative lands on, and how it gets there.
Hunt For Quiet Mispricing
Nel’s latest quarter shows how story and cash flow can drift apart for long stretches. The real opportunity could be spotting stocks where that gap is still wide open before markets catch up.
- Company 1 - 41% below our estimate - uses heavier spend on AI, digital infrastructure and payments to deepen fee-rich business and consumer banking relationships.
- Company 2 - 39% below our estimate - ramps capital intensive grid projects and integrates a wire producer to supply cables for power networks and data centers.
- Company 3 - 49% below our estimate - leans on a digital platform and new business checking tools to win primary small business banking relationships.
Those are three of them. See all 193 potentially undervalued companies →
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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