Nexans (NEXS.PA): Electra visit and CEO/CFO takeaways, reiterate Buy

Research evidence excerpt

Nexans (NEXS.PA): Electra visit and CEO/CFO takeaways, reiterate Buy

Equity Research

18 June 2026 | 5:37PM BST

We visited Nexans’ new cable laying vessel, Electra, in Norway and met with the Daniela Costa

+44(20)7774-8354 |

CEO/CFO – below are our top 5 takeaways. Overall we came away more daniela.costa@gs.com

Goldman Sachs International

constructive on the stock and reiterate our Buy. Nexans has one of the highest

exposures in our coverage to Renewables and T&D grids, an area where our

recent Capex Tracker (here) has continued to see upgrades over recent months.

While Nexans is not one of the top exposed names to datacenters, the meeting

emphasized management has seen an uptick in activity in the space, which we

view as a source of potential upside for the stock, especially given recent large

deployment announcements in its home market of France. Despite this, the

market values the shares at a significant discount to our capital goods coverage

(11.7 2027E EV/EBIT vs sector at 14.9x), which we think relates to concerns

around Transmission overcapacity in 2026/27 due to delays in GSI. These delays

however seem now fully priced into market expectations, and we therefore see

limited risk of consensus downgrades (GSe 2026/27E adj EBITDA 1%/3% ahead

of Visible Alpha consensus).

n Electra materially expands Nexans’ subsea execution capacity, in an industry

where capacity is still the bottleneck and a new wave of orders is expected in

2027/28. Management described production and installation as still the key

sector constraints, with Nexans’ order book fully booked to end-2028 and a new

wave of 2029+ projects expected to start to materialize in orders from 2027.

Electra is one of the contributors to the company’s guided 2026 margin uplift vs

2025 in Transmission.