Insights

Worley (ASX:WOR) share price drops on latest contract award

A new contract to maintain 6 wind farms fails to lift the engineering company out of the red today
The post Worley (ASX:WOR) share price drops on latest contract award appeared first on The Motley Fool Australia. –

The Worley Ltd (ASX: WOR) share price is in the red today. The price movement comes despite the company being awarded a new contract to maintain a wind farm.

At the time of writing, shares in the global engineering company are down 2.59%, trading at $11.65. In comparison, the S&P/ASX 200 Index (ASX: XJO) is currently 0.22% lower.

Let’s take a closer look at today’s news.

What did Worley announce?

In a statement to the ASX, Worley says it has been awarded “two operations and maintenance services contracts” for 6 wind farms in Victoria owned by Pacific Hydro.

Worley will provide “full asset management, operations, and maintenance services” for nearly 200 wind turbines and other equipment. The term of the contract is 10 years for half the sites and 5 years for the remainder. Worley did not disclose the value of the contract.

The Worley share price also fell on Tuesday, when the company announced the signing of a new contract.

Management commentary

Worley CEO Chris Ashton said:

We are pleased that Pacific Hydro has chosen to continue its long-term relationship with Worley and extend our role in supporting the generation of renewable energy on these wind farms.

As a global company headquartered in Australia, we are helping our customers adapt to the world’s changing energy needs through bringing Worley’s global expertise and capability in renewable energy.

Worley share price snapshot

The Worley share price has increased 32.3% over the past 12 months but it still has not recovered since the COVID market crash of March last year.

On the first trading day of 2020, Worley shares finished that day at $15.34. The current share price of around 11.6% is some 20% lower than that level.

In fact, in the last 52 weeks, the highest point the Worley share price has reached is $14.01.

Worley Ltd has a market capitalisation of around $6.3 billion.

The post Worley (ASX:WOR) share price drops on latest contract award appeared first on The Motley Fool Australia.

Should you invest $1,000 in Worley right now?

Before you consider Worley, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Worley wasn’t one of them.

The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of May 24th 2021

More reading

Worley (ASX:WOR) share price backtracks regardless of contract win
Worley (ASX:WOR) share price edges lower despite contract wins
ASX 200 Weekly Wrap: ASX hits 7,300 points for the first time

These were the best-performing ASX 200 shares last week

These 3 shares were the biggest gainers of the ASX 200 this week

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
Trade The US Market With ZERO Brokerage* + FREE Access To Trading Ideas & Value Analysis Tools. Click Here!