TPI Composites (TPIC) Stock Surged On Monday, Demand For Company’s Products Also Rising

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The shares of the specialty industrial machinery TPI Composites Inc. (TPIC) have risen by more than 135 percent since the beginning of the year, to $43.51 in trading on December 14. The market capitalization amounted to $1.56 billion. The company quickly recovered its losses from the sell-off phase of COVID-19 and, thanks to sales growth, earned a strong positive boost in November.

Analysts noticed the prospects of TPI Composites a year ago, and then the share of TPIC was just over $18. The company develops manufacturing technology and manufactures high-quality composite products directly. Creation of blades for efficient wind turbines is the primary goal for TPI Composites. Renewable energy production continued even after the coronavirus pandemic, and TPI Composites soon compensated for revenue lost as a result of the shutdown.

The results for the third quarter of 2020 reported a year-on-year rise in TPI Composites’ net revenues by 23.5 percent to $474 million. Compared to a loss of $4.6 million a year ago, the business achieved a income of $42.4 million. Over the past 6 months the stock added more than 91 percent to its value and the gain rises to impressive 154 percent over the past 52-weeks.

TPI Composites has expanded the number of production lines by extending supply agreements for wind farm manufacturers GE, Vestas and Nordex. The good news for investors in TPI Composites is the continuation of the trend of blade production outsourcing. Tens of meters long, giant blades are a complicated product that needs experience with composite materials. Blades are now less likely to be manufactured by leading power plant assemblers, and demand for TPI Composites services is growing.

TPI Composites Inc. (TPIC) stock gained 3.42 percent over the past 5 sessions, while gain slightly rose to 5.22 percent over the past 30 days. At the closing price of $43.51 on Monday, the stock price was merely 2.77 percent away from its 52-week high of $44.75.

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