Nel (OB:NEL) Stock Faces Heavy Q2 Loss Challenging Bullish Margin Narratives

Nel (OB:NEL) has put fresh Q2 2026 numbers on the table, with revenue of NOK 181.7 million and a loss per share of NOK 0.10, while the trailing 12 month figures sit at NOK 906.4 million of revenue and a loss per share of NOK 0.70. Over recent quarters, the company has seen quarterly revenue move between NOK 148.1 million and NOK 330.5 million, with EPS losses ranging from NOK 0.05 to NOK 0.47. The latest print keeps the focus firmly on how quickly margins can tighten and losses can be contained as the growth story plays out.

See our full analysis for Nel.

With the headline numbers in place, the next step is to see how this earnings profile lines up against the widely followed narratives around Nel's growth potential, risks, and long term margin trajectory.

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Losses stay heavy at NOK 188.6 million

• Nel reported net income of NOK 188.6 million in the red for Q2 2026, compared with losses ranging between NOK 84.7 million and NOK 870.4 million over the past five quarters, and trailing 12 month losses of NOK 1.3b alongside NOK 906.4 million of revenue.
• Consensus narrative expects that ongoing technology improvements and cost cutting will eventually help margins, yet the recent loss profile
  • Includes trailing 12 month basic EPS of NOK 0.70 in the red, despite revenue forecasts of about 27.8% growth per year.
  • Shows that even with some loss reduction over five years of roughly 0.2% per year, Nel is still some distance from the profitability that the consensus view hopes to see over time.

Revenue swings against a growth story

• Quarterly revenue has moved between NOK 148.1 million and NOK 330.5 million over the last six reported quarters, while on a trailing 12 month basis it sits at NOK 906.4 million, alongside forecasts that revenue could grow about 27.8% per year.
• Bulls highlight that growing demand and supportive policies can underpin long term revenue opportunities for Nel, yet the recent pattern
  • Pairs that revenue growth outlook with an accumulated trailing 12 month loss of NOK 1.3b, which means the business is not yet turning that revenue into positive earnings.
  • Includes quarterly losses that ranged from NOK 84.7 million to NOK 870.4 million, which investors may compare against the bullish idea of stronger operating leverage and margin expansion over time.

For readers who want to see how bullish investors connect Nel's technology, policy backdrop, and order potential to these earnings trends, take a look at the 🐂 Nel Bull Case.

Rich P/S multiple and volatile stock

• Nel currently trades on a P/S of about 4.4x, compared with around 1.4x for the broader European electrical industry and 1.2x for peers, while share price moves over the last three months have been more volatile than the wider Norwegian market.
• Bears argue that this higher P/S and volatility leave little room for error, and the recent fundamentals give them some backing
  • Because the company is still loss making on a trailing 12 month basis with basic EPS of NOK 0.70 in the red, despite the richer P/S multiple.
  • And because current revenue of NOK 906.4 million over the last year is being weighed against forecasts that Nel will remain unprofitable for at least the next three years, which can make a premium valuation more sensitive to setbacks.

If you are weighing that cautious view against the current valuation and volatility in Nel's share price, it is worth reading the detailed bear case narrative next: 🐻 Nel Bear Case

Next Steps

To see how these results tie into long-term growth, risks, and valuation, check out the full range of community narratives for Nel on Simply Wall St. Add the company to your watchlist or portfolio so you'll be alerted when the story evolves.

If the mix of pressure and potential around Nel has you undecided, review the details yourself promptly, weigh the concerns against the positives, and check the 1 key reward and 2 important warning signs

See What Else Is Out There Beyond Nel

Nel is still posting sizeable losses alongside revenue volatility and a richer P/S multiple, which puts extra pressure on future execution and balance sheet resilience.

If those risks make you uneasy, shift some attention to companies with steadier finances and use the solid balance sheet and fundamentals stocks screener (417 results) to quickly find alternatives that look more robust today.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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