Ormat Technologies (ORA) Receives Rating Upgrade and Price Target Boost from Baird

Ormat Technologies (ORA) has received a rating upgrade from Baird analyst Ben Kallo to 'Outperform' from 'Neutral'. The price target has also been raised to $103.00 USD from $87.00 USD, an 18.39% increase. This suggests a positive outlook for the company's future performance. Analysts predict an average one-year price target of $88.22 with a high estimate of $105.00 and a low estimate of $76.00. The average brokerage recommendation is 2.3, indicating "Outperform" status.

Ormat Technologies (ORA) experienced a significant boost in its stock price and analyst sentiment following an upgrade from Baird analyst Ben Kallo. The analyst moved the company's rating from 'Neutral' to 'Outperform' and increased the price target from $87.00 USD to $103.00 USD, representing an 18.39% increase. This upgrade suggests a positive outlook for the company's future performance.

The upgrade comes amidst growing support for geothermal power production and development in the U.S. political landscape. Kallo noted that the recently passed Big Beautiful Bill includes favorable treatment for geothermal power generation, which could shift ownership towards Ormat from other renewable sources like solar and wind. The analyst views Ormat as a unique way to play a growing sub-segment of renewable energy generating technology in geothermal power, with its Energy Storage segment expanding rapidly.

The company's Energy Storage segment is seen as a promising growth area, particularly given the current vogue for grid-level management and favorable power prices. Additionally, upward revisions in load growth and energy demand forecasts are adding to upward pressure on electricity rates, providing Ormat with pricing power for its Electricity segment.

Analysts predict an average one-year price target of $88.22 USD, with a high estimate of $105.00 USD and a low estimate of $76.00 USD. The average brokerage recommendation is 2.3, indicating an 'Outperform' status.

References:
[1] https://seekingalpha.com/news/4474727-ormat-technologies-upgraded-at-baird-on-u-s-political-support-for-geothermal
[2] https://www.marketbeat.com/instant-alerts/robert-w-baird-upgrades-ormat-technologies-nyseora-to-outperform-2025-07-30/