Hormuz Crisis Offers Brief Relief to Nel ASA as Order Backlog Shrinks and Leadership Vacancy Lingers

A military standoff in the Persian Gulf has thrown global energy markets into disarray, offering Norway’s Nel ASA a fleeting tailwind. On Monday, the hydrogen specialist’s shares edged up 2.21 percent to EUR 0.21 — a modest gain that does little to mask the deeper structural headwinds facing the company. The stock remains more than 40 percent below its level from 30 days ago.

The trigger for the sudden market attention: a blockade of the Strait of Hormuz that has disrupted roughly 20 percent of the world’s liquefied natural gas (LNG) shipments. Attacks on Qatari facilities have slashed that country’s export capacity by 17 percent, rattling European energy security and reigniting discussion about green hydrogen as a long-term substitute for imported fossil fuels. Nel, a maker of electrolysers, is momentarily in the spotlight.

But the geopolitical spark illuminates a company grappling with internal decay. Nel’s first-quarter 2026 figures, released in May, painted a sobering picture. The order backlog had shrunk by 24 percent to 1.113 billion Norwegian kroner, while revenue dipped nearly 5 percent to 148.1 million kroner. The loss per share stood at minus 0.08 kroner.

Should investors sell immediately? Or is it worth buying Nel ASA?

Making matters worse, the company is leaderless. CEO Håkon Volldal resigned on June 15 and will remain on the payroll for a six-month transition period while chairman Arvid Moss and the board search for a permanent successor. The absence of a steady hand at the top adds uncertainty to an already fragile turnaround story.

Nel has not been idle on the product front. In May it launched a new generation of pressurised alkaline electrolysers built on a modular platform. The company claims the system can push costs for a 25-megawatt plant below $1,450 per kilowatt — significantly cheaper than the industry’s traditional bespoke designs. On the legal side, Nel reached a settlement in early June with Iwatani Corporation of America, ending a longstanding dispute over fuelling equipment. The agreement also covers recently spun-off Cavendish Hydrogen.

Financially, Nel holds a cash buffer of roughly 1.4 billion kroner, which management says is sufficient to keep the lights on and ramp up production at the Herøya facility. Yet the market remains sceptical. The stock now trades precisely at its 200-day moving average of EUR 0.21, while the relative strength index (RSI) hovers at 34.3 — just above the oversold threshold of 30. That suggests the selling pressure may be easing, but it is far from a vote of confidence.

The real test comes on July 15, when Nel reports second-quarter results. Analysts will be watching whether the political tailwind from the Hormuz crisis translates into hard orders, or whether the company’s backlog continues to erode. Without a stabilised order book, the recent stock rout is unlikely to reverse. For now, Nel is caught between a geopolitical jolt and a deep fundamental hole — and the market is not yet convinced which force will win.

Ad

Nel ASA Stock: New Analysis - 29 June

Fresh Nel ASA information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.

Read our updated Nel ASA analysis...

en | NO0010081235 | HORMUZ | boerse | 69653487 |