Vestas Wind Systems A/S lost about a fifth of its stock market value after the Danish company said it was squeezing less profit out of sales of equipment and services compared with a year ago because of increased competition. Before last week’s plunge, the shares had risen 15 percent this year.
For skeptics in the energy industry, it provides fuel for their old argument that renewables just don’t make enough money. But the change in fortunes more reflects a formerly niche industry that relied on government support for so long and is now having to fight its own corner against the market forces of capitalism.
“You’ve got Vestas competing with the Chinese and it’s a