Investment Rating - The report maintains an "Outperform" rating for the power and utilities sector, indicating a positive outlook for the industry [4]. Core Insights - The implementation details for the green certificate issuance have been released, which is expected to positively impact the renewable energy sector [31]. - The overall market performance of the utilities sector has been weak, with the industry index declining by 0.73% during the week of March 24-30, 2025, underperforming compared to major indices [2][10]. - The report highlights specific stocks with investment ratings, including "Buy" for Guodian Power and "Overweight" for Longyuan Power, among others [1]. Market Performance Summary - The Shenyin Wanguo Utilities Industry Index PE (TTM) is at 16.44x, down from 16.61x the previous week, and significantly lower than 19.85x in the same period last year [2][22]. - The PB ratio for the utilities sector is currently 1.72x, slightly down from 1.73x last week and lower than 1.82x a year ago [2][25]. - The sector's performance ranks 11th among 31 major industries, with specific sub-sectors showing varied performance, such as thermal power down by 0.94% and hydropower up by 1.35% [10][16]. Stock Performance Summary - The top five performing stocks for the week include ST Lingda (+11.87%), Meinuo Energy (+4.46%), and Chuan Investment Energy (+4%) [3][28]. - Conversely, the worst performers include ST Xulan (-22.39%) and Guang'an Aizhong (-16.72%) [3][28]. Industry Dynamics - The National Energy Administration has initiated a consultation on the implementation details for the issuance of renewable energy green certificates, which will standardize the management of green certificates for various renewable energy projects [31]. - The administration is also focusing on enhancing the integration of renewable energy consumption and the construction of external transmission channels to ensure energy security [32][33]. Key Data Tracking - As of March 28, 2025, the price of Shanxi mixed coal (5500) is 667 RMB/ton, reflecting a week-on-week decrease of 0.89% [38]. - The trading volume for green certificates from March 24 to March 30 totaled 96.10 and 111.15 million for wind and solar power, respectively [41].

Market Overview - The Shanghai Composite Index rose by 0.38% on April 1, with 23 industries experiencing gains, led by the pharmaceutical and public utilities sectors, which increased by 3.34% and 1.78% respectively [1] - The main funds in the two markets saw a net outflow of 10.395 billion yuan, with 8 industries recording net inflows, primarily in the pharmaceutical sector, which had a net inflow of 3.402 billion yuan [1] Public Utilities Sector - The public utilities sector increased by 1.78%, with a total net inflow of 1.272 billion yuan, and out of 132 stocks in this sector, 123 rose while 6 fell [2] - The top three stocks in terms of net inflow were Guodian Power (1.72 billion yuan), China Nuclear Power (1.50 billion yuan), and Star Power (1.13 billion yuan) [2] Public Utilities Sector - Inflow and Outflow - The inflow list includes Guodian Power with a 3.60% increase and a turnover rate of 1.82%, followed by China Nuclear Power with a 1.74% increase [2] - The outflow list is led by Shaoneng Co. with a 5.93% increase but a net outflow of 40.658 million yuan, followed by Sheneng Co. and Chuan Investment Energy with net outflows of 25.416 million yuan and 23.768 million yuan respectively [4]

Core Points - The A-share market indices closed mixed, with the China Securities Hong Kong-Shenzhen Connect Infrastructure Index at 1461.15 points [1] - The index has seen a 0.52% increase over the past month, a 2.31% decrease over the past three months, and a year-to-date decline of 2.31% [1] - The index is based on the comprehensive index samples of the Hong Kong-Shenzhen Connect and the China Securities 500 Index, reflecting the overall performance of securities listed in the three regions [1] Index Holdings - The top ten weighted stocks in the index include China Mobile (11.6%), China Yangtze Power (8.26%), China Telecom (2.96%), CLP Holdings (2.9%), China State Construction (2.66%), CK Hutchison Holdings (2.66%), China Mobile (2.35%), China Unicom (2.15%), China Nuclear Power (1.84%), and China Telecom (1.83%) [1] - The market share of the index holdings is distributed as follows: Shanghai Stock Exchange 50.81%, Hong Kong Stock Exchange 37.51%, and Shenzhen Stock Exchange 11.68% [1] Industry Composition - The industry composition of the index holdings shows that utilities account for 43.11%, industrials for 26.78%, communication services for 26.78%, and energy for 3.32% [2] - The index samples are adjusted biannually, with adjustments occurring on the next trading day after the second Friday of June and December [2] - Weight factors are generally fixed until the next scheduled adjustment, with special circumstances allowing for temporary adjustments [2]

Core Points - The Shanghai Composite Index fell by 0.46% on March 31, with four industries rising, notably communication and home appliances, which increased by 0.58% and 0.37% respectively [1] - The public utility sector saw a slight increase of 0.15%, with a net inflow of 3.11 billion yuan in main funds [1][2] - A total of 26 industries experienced net outflows, with the power equipment sector leading at a net outflow of 5.83 billion yuan [1] Industry Summary - **Public Utility Sector Performance** - The public utility sector had 132 stocks, with 47 rising and 72 falling; three stocks hit the daily limit up while one hit the limit down [2] - The top three stocks with the highest net inflow were Shaoneng Co. (1.61 billion yuan), Guodian Power (1.19 billion yuan), and Huadian International (848.95 million yuan) [2] - The sector's net outflow stocks included ST Lingda, Mingxing Power, and China Nuclear Power, with outflows of 71.08 million yuan, 26.69 million yuan, and 25.52 million yuan respectively [3] - **Top Gainers in Public Utility Sector** - Shaoneng Co. increased by 9.98% with a turnover rate of 8.27% and a main fund flow of 161.06 million yuan [2] - Guodian Power rose by 1.83% with a turnover rate of 1.74% and a main fund flow of 118.66 million yuan [2] - Huadian International saw a rise of 4.55% with a turnover rate of 2.99% and a main fund flow of 84.89 million yuan [2] - **Top Losers in Public Utility Sector** - ST Lingda fell by 10.18% with a turnover rate of 16.58% and a main fund outflow of 71.08 million yuan [3] - Mingxing Power increased by 3.71% but had a main fund outflow of 26.69 million yuan [3] - China Nuclear Power decreased by 0.86% with a main fund outflow of 25.52 million yuan [3]

Group 1 - The core viewpoint of the news highlights the positive performance of the green power sector, with the Guozheng Green Power Index rising by 0.65% and several constituent stocks showing significant gains, such as Jiangsu Xinneng up by 6.12% and Longyuan Power up by 5.99% [1] - The latest scale of the Green Power ETF reached 330 million yuan, marking a one-year high, with the number of shares also reaching 299 million, indicating strong investor interest [2] - The Green Power ETF has seen continuous net inflows over the past nine days, totaling 55.07 million yuan, with a single-day peak inflow of 15.56 million yuan, reflecting robust demand for green energy investments [2] Group 2 - The Guozheng Green Power Index's price-to-earnings ratio (PE-TTM) stands at 17.34, which is in the lowest 0.4% of its historical range, suggesting that the index is undervalued compared to the past year [2] - The top ten weighted stocks in the Guozheng Green Power Index account for 57.74% of the index, with major players including Changjiang Power and China Nuclear Power [2] - The recent joint issuance of the "Opinions on Promoting the High-Quality Development of the Renewable Energy Green Power Certificate Market" by five government departments is expected to enhance the long-term growth potential of the green certificate market and support the strategic transition of renewable energy in China [3]

Summary of Key Points from the Conference Call Industry Overview - The nuclear power generation in China accounts for less than the world average and significantly lower than developed countries, but it remains in a strategic opportunity period under the dual carbon strategy and energy structure adjustment, with substantial development potential [2][3][4] Company Performance and Financials - In 2024, the company's revenue was RMB 86.804 billion, a year-on-year increase of 5.16%, and the net profit attributable to shareholders was RMB 10.814 billion, up 0.83%. Cash flow from operating activities was RMB 108.278 billion, an increase of 9.1% [2][14] - The average financing cost was 3.03%, and the debt-to-asset ratio was 59.5% [2][14] - The company has maintained a stable dividend policy, with a dividend of RMB 0.095 per share for 2024, representing 44.36% of profits, marking ten consecutive years of growth in both dividend ratio and amount [2][8][7] Safety and Management - The company prioritizes nuclear safety, achieving over 86% of its operational indicators at world-class levels, with no incidents above level two reported in 2024 [2][5] - A rigorous safety management system has been established, with over 99% of identified issues rectified during safety inspections [5] Technological Innovation - The company has intensified its research and development efforts, with 1,836 patents applied for in 2024, of which 892 were granted, including awards for two invention patents [2][6] - Significant progress has been made in advanced pressurized water reactor technologies, including the Hualong One small modular reactor [6] Market Dynamics - In 2025, the company will have 10 nuclear power units participating in market trading in Guangdong, with an expected annual trading volume of approximately 27.3 billion kWh [2][11] - The average market price for nuclear power in Guangdong and Guangxi has decreased compared to 2024, while prices in Fujian and Liaoning remain stable [11] Environmental, Social, and Governance (ESG) Initiatives - The company integrates ESG into its strategy, achieving a reduction of approximately 68.9124 million tons of standard coal consumption and 187 million tons of CO2 emissions in 2024 [2][9] - The proportion of purchased clean electricity reached 95%, emphasizing supply chain resilience and safety [9] Future Outlook and Strategic Focus - The company plans to focus on safety production, market expansion, and technological innovation to enhance value for society, shareholders, and employees [2][10] - Capital expenditures are expected to double in 2025, supporting expansion and development goals [2][36] Regulatory and Market Challenges - The company is actively communicating with relevant departments to improve the nuclear pricing mechanism, which currently has some unreasonable aspects [2][15] - The nuclear power market is expected to maintain a marketization ratio of around 50% in 2025, with ongoing efforts to enhance competitiveness [2][18] Conclusion - The nuclear power industry in China is positioned for growth, with the company demonstrating strong financial performance, a commitment to safety and innovation, and a proactive approach to market challenges and ESG responsibilities [2][38]

Group 1 - The core achievement of China's nuclear fusion research is the successful operation of the "China Fusion Engineering Test Reactor" (CFETR), achieving atomic temperatures of 117 million degrees Celsius and electron temperatures of 160 million degrees Celsius, marking a significant advancement towards engineering applications of controlled nuclear fusion [1] - The "China Fusion Engineering Test Reactor" is a domestically developed large scientific device that mimics the energy generation principles of the sun, referred to as the "new generation artificial sun" [1] - The total designer of CFETR, Zhong Wulü, stated that the experiment achieved "double hundred degrees" and significant improvements in comprehensive parameters, indicating a leap in China's nuclear fusion research [1] Group 2 - China National Nuclear Power (China Nuclear Power) announced a capital increase of 1 billion yuan to invest in China Fusion Energy Co., responding to national strategic development requirements and promoting the development of the fusion industry [2] - The establishment of the Controlled Nuclear Fusion Innovation Alliance, led by China National Nuclear Group, aims to enhance the development of future industries and accelerate the progress of the nuclear fusion industry [2] - The report from Galaxy Securities indicates a robust development trend in China's nuclear fusion industry, with significant advancements in technology breakthroughs, corporate financing, and policy support [2][3] Group 3 - The nuclear fusion project has seen technological breakthroughs, including long-pulse high-parameter plasma operation and the establishment of the "Chixiao" device, with active financing for commercial nuclear fusion enterprises [3] - Major domestic projects, such as BEST, are expected to see bidding processes ramp up in 2025, indicating a significant acceleration in industry progress [3]

Market Overview - The Shanghai Composite Index rose by 0.15% on March 27, with 12 out of the 28 sectors experiencing gains. The top-performing sectors were pharmaceuticals and biotechnology, which increased by 1.88%, and food and beverage, which rose by 0.86% [1] - Conversely, the sectors with the largest declines were non-ferrous metals and social services, which fell by 1.30% and 1.29%, respectively. The public utilities sector ranked third in terms of decline [1] Capital Flow Analysis - The net outflow of capital from the two markets was 21.099 billion yuan, with 7 sectors seeing net inflows. The electronics sector led with a net inflow of 820 million yuan and a daily increase of 0.50%. The pharmaceuticals and biotechnology sector followed with a net inflow of 711 million yuan and a daily increase of 1.88% [1] - In contrast, 24 sectors experienced net capital outflows, with the power equipment sector leading at a net outflow of 5.14 billion yuan, followed by the machinery sector with a net outflow of 3.923 billion yuan. Other sectors with significant outflows included non-ferrous metals, telecommunications, and computers [1] Public Utilities Sector Performance - The public utilities sector declined by 1.15% with a total net outflow of 1.747 billion yuan. Out of 132 stocks in this sector, 11 stocks rose, including one that hit the daily limit, while 120 stocks fell, with one hitting the daily limit down [2] - The stocks with the highest net inflows in the public utilities sector included Meinuo Energy, which saw a net inflow of 35.31 million yuan, followed by Chuaneng Power and Chuan Investment Energy with net inflows of 23.76 million yuan and 18.90 million yuan, respectively [2] - The stocks with the largest net outflows included China Nuclear Power, which had a net outflow of 138.18 million yuan, followed by Shaoneng Shares and Huadian International with net outflows of 108.46 million yuan and 99.69 million yuan, respectively [2][4]

证券研究报告 电力设备 报告日期：2025 年 03 月 20 日 1-2 月电力数据：风电出力环比加快，用电增速同比+1.3% ——行业动态点评报告 华龙证券研究所 投资评级：推荐（维持） 最近一年走势 执业证书编号：S0230523110001 邮箱：yangy@hlzq.com 执业证书编号：S0230524080001 行业动态研究 表：重点关注公司及盈利预测 | 股票代码 | 股票简称 | 2025/03/20 | | EPS（元） | | | | PE | | | 投资 | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | | 股价（元） | 2023A | 2024E | 2025E | 2026E | 2023A | 2024E | 2025E | 2026E | 评级 | | 600011.SH | 华能国际 | 6.93 | 0.54 | 0.83 | 0.92 | 1.04 | 12.9 | 8.3 | 7.5 | 6.7 | 买入 | | 600027.SH | 华电国际 | 5. ...

Investment Rating - The report maintains an "Outperform" rating for the public utility and environmental sectors [1][4]. Core Insights - The report emphasizes the high-quality development of the environmental equipment manufacturing industry, aiming to create a trillion-level industry with international competitiveness by 2027 [2][16]. - It highlights the synergy between computing power and electricity, particularly in the context of data centers, which require substantial and reliable electricity supply [18][20]. - The report suggests that the profitability of coal-fired power generation is expected to remain reasonable due to the simultaneous decline in coal and electricity prices [28]. Summary by Sections Market Review - The Shanghai Composite Index rose by 1.59%, while the public utility index increased by 2.19% and the environmental index by 2.53% [1][29]. - Among the sub-sectors, coal-fired power saw a 3.39% increase, while renewable energy generation rose by 1.48% [31]. Important Policies and Events - The Ministry of Industry and Information Technology, the Ministry of Ecology and Environment, and the State Administration for Market Regulation jointly issued opinions to promote the high-quality development of the environmental equipment manufacturing industry [2][16]. - By 2030, the report anticipates a complete upgrade of the environmental equipment manufacturing industry towards green, low-carbon, and circular development [2]. Investment Strategy - Recommendations include major coal-fired power companies like Huadian International and regional power companies like Shanghai Electric due to stable electricity prices [3][28]. - For renewable energy, leading companies such as Longyuan Power and Three Gorges Energy are recommended, alongside regional offshore wind power companies [3][28]. - The report also suggests focusing on water and waste incineration sectors, which are entering a mature phase with improved free cash flow [3][28]. Industry Dynamics - The report notes that the electricity and heat production and supply industry prices fell by 0.8% year-on-year in February 2025 [17]. - It highlights the increasing importance of green electricity and nuclear power in meeting the energy demands of data centers [24][21]. Company Performance - The report lists several companies with "Outperform" ratings, including Huadian International, Longyuan Power, and China Nuclear Power, among others, indicating their strong market positions and growth potential [6][28].