Core Viewpoint - Daqo New Energy Corp. plans to announce its unaudited financial results for the fourth quarter and fiscal year ended December 31, 2025, on February 26, 2026, before U.S. markets open [1] Company Overview - Daqo New Energy Corp. is a leading manufacturer of high-purity polysilicon for the global solar PV industry, founded in 2007 [1] - The company has a total polysilicon nameplate capacity of 305,000 metric tons and is recognized as one of the world's lowest cost producers of high-purity polysilicon [1] Financial Results Announcement - The financial results will be discussed in a conference call scheduled for 8:00 AM U.S. Eastern Time on February 26, 2026 [1] - Dial-in details for the earnings conference call include a U.S. toll-free number (+1-888-346-8982) and an international dial-in number (+1-412-902-4272) [1] - A replay of the call will be available one hour after the conclusion of the conference call through March 5, 2026 [1]

Core Viewpoint - Daqo New Energy (DQ.US / A-share code: 688303) is facing multiple significant events in 2026, including policy adjustments, performance disclosures, regulatory follow-ups, company buybacks, and industry consolidation [1] Industry Policy and Environment - Starting from April 1, 2026, China will eliminate the value-added tax export rebate for photovoltaic products, aiming to drive high-quality development in the industry, which may impact the export business and competitive environment for companies like Daqo New Energy [2] Performance and Operating Conditions - On January 17, 2026, the company announced a forecast for its 2025 annual performance, expecting a net loss between 1 billion to 1.3 billion yuan, a significant narrowing compared to 2024, but the officially audited annual report has yet to be disclosed, with expectations for it to be published within 2026 [3] Regulatory Situation - In early January 2026, the State Administration for Market Regulation held discussions with the photovoltaic industry association and leading companies, including Daqo New Energy, regarding monopoly risk rectification requirements, with ongoing compliance progress likely to attract market attention [4] Company Status - The company has approved a stock buyback plan of 100 million USD, authorized until the end of 2026, aimed at boosting market confidence, with specific execution details to be monitored in future announcements [5] Industry Status - A multi-crystalline silicon capacity consolidation platform, rumored in December 2025, has been established, with shareholders including Daqo and other companies, and its operational progress in 2026 may alter the supply-demand dynamics in the industry [6]

Group 1 - Lexin increased by 8.72% [1] - Niu Technologies rose by 6.76% [1] - Wanwu Xingsheng gained 5.97% [1] - Century Internet climbed by 5.80% [1] - Daqo New Energy saw an increase of 5.64% [1]

Group 1: Insurance Sector - Insurance stocks are experiencing significant declines, with China Life (02628) down 3.75%, New China Life (01336) down 3.28%, and China Pacific Insurance (02601) down 2.74%. The government plans to issue approximately 200 billion yuan in special bonds to inject capital into major insurance companies, marking the first time this method will be used for insurance firms in China [1] Group 2: Logistics and Delivery - ZTO Express (02057) has seen an increase of over 2.3%. The company estimates that its total revenue for 2025 will be between 48.5 billion yuan and 50 billion yuan, representing a growth of approximately 9.5% to 12.9% compared to 44.2807 billion yuan in 2024 [1] Group 3: Biotechnology - Innovent Biologics (09969) has risen over 4%, with a current increase of 3.25%. The company anticipates achieving revenue of 2.37 billion yuan in 2025, a year-on-year growth of approximately 134%, and expects to turn a profit with a net profit of around 630 million yuan [1] Group 4: Coal Sector - Coal stocks are generally declining, with Yancoal Australia (03668) down 6.63%, Shougang Resources (00639) down 7.83%, and China Shenhua (01088) down 2.47%. This decline follows reports that the Indonesian government has proposed a production cut plan, leading to a 40% to 70% reduction in production quotas for major miners [2] Group 5: Medical Devices - GigaGen (02367) has increased over 8%, currently up 4.11%. The company recently announced that its "recombinant type I α1 collagen and sodium hyaluronate composite solution" has been approved as a medical device, marking a significant milestone as the first product of its kind for improving facial smoothness [2] Group 6: Semiconductor Sector - Semiconductor stocks are all declining, with Hua Hong Semiconductor (01347) down 5.91% and SMIC (00981) down 3.49%. This follows a significant drop in AMD's stock price by 17.31% after its fourth-quarter report indicated that while revenue exceeded expectations, the guidance for the first quarter was below market expectations [3] Group 7: Restaurant Sector - Restaurant stocks are performing well, with Yum China (09987) up 8.41% and Haidilao (06862) up 2.69%. The restaurant industry has shown signs of recovery, with retail sales in the sector growing by 3.8%, 3.2%, and 2.2% year-on-year in the last quarter of 2025, significantly outpacing overall retail growth [3] Group 8: Consumer Goods - Miniso (09896) has risen over 5.1% after announcing its partnership with the Central Radio and Television Station for the 2026 Spring Festival Gala. This collaboration is seen as a significant marketing move to elevate the brand's visibility in the mainstream market [4] Group 9: Gold Sector - Gold stocks are declining, with China Gold International (02099) down 6.8% and Zijin Mining (02899) down 6.29%. Recent volatility in the international gold market has been noted, with expectations that geopolitical tensions and liquidity easing by the Federal Reserve may drive gold prices higher [4] Group 10: Cryptocurrency - Cryptocurrency ETFs and related stocks are continuing to decline, with significant drops in prices, including Bitcoin falling below $72,000 for the first time in 15 months. The price has decreased by over 42% from its peak last October [5] Group 11: US Market Highlights - Boston Scientific (BSX.US) fell 17.59% after providing lower-than-expected guidance for fiscal year 2026. The company expects adjusted earnings per share to be between $3.43 and $3.49, slightly below analyst expectations [6] - Solar stocks surged, with Enphase Energy (ENPH.US) rising 38.6% following reports of interest from Elon Musk's teams in the Chinese solar supply chain [6]

Core Viewpoint - The solar energy stocks surged significantly, driven by reports of Elon Musk's teams exploring the Chinese photovoltaic industry and establishing orders with local manufacturers [1] Group 1: Stock Performance - Enphase Energy (ENPH.US) experienced a nearly 36% increase [1] - JinkoSolar (JKS.US) rose over 16% [1] - Sunrun (RUN.US) gained more than 9% [1] - Canadian Solar (CSIQ.US) and Daqo New Energy (DQ.US) both increased by over 4% [1] Group 2: Industry Developments - Elon Musk's teams from SpaceX and Tesla are currently assessing the Chinese photovoltaic supply chain [1] - The Tesla team is in the factory inspection phase, visiting multiple companies within the industry [1] - The SpaceX team has engaged with a leading heterojunction equipment manufacturer and has established order cooperation, although details remain confidential due to commercial secrecy [1] - There are few companies capable of supplying complete heterojunction equipment lines, and previous stable procurement relationships with a domestic heterojunction company are ongoing [1]

Market Overview - The three major U.S. stock indices closed lower, with the Dow Jones down 0.34%, the Nasdaq down 1.43%, and the S&P 500 down 0.83% [1] - Popular technology stocks experienced declines, with Broadcom falling over 3%, and Microsoft, Nvidia, and Meta each dropping over 2% [1] Sector Performance - The rare earth, non-ferrous metals, and precious metals sectors saw significant gains, with gold resources rising over 20%, Southern Copper up over 11%, Americas Silver up over 8%, and Pan American Silver up over 5% [1] - Conversely, application software, cryptocurrency, and weight loss drug stocks faced notable declines, with Novo Nordisk down over 14%, Coinbase and Circle each down over 4%, and Eli Lilly and Pfizer each down over 3% [1] Notable Company Movements - Walmart's stock increased by 2.94%, marking its market capitalization surpassing the $1 trillion milestone for the first time [1] - The Nasdaq Golden Dragon China Index fell by 0.94%, with significant declines in popular Chinese stocks such as Daqo New Energy down 5.6%, Bilibili down 4%, and Kingsoft Cloud down 3.5% [1] - Alibaba dropped 2.9%, while NIO rose 0.8%, Pony.ai increased by 2%, Huazhu up 2.2%, New Oriental up 2.3%, Li Auto up 2.7%, Canadian Solar up 4.1%, and Xpeng up 4.3% [1]

Group 1 - Top Wall Street analysts have revised their outlook on several prominent stocks, indicating a shift in market sentiment [1] - The article suggests that investors should consider the stock VERX, highlighting the opinions of analysts regarding its potential [1]

Summary of Key Points from the Conference Call Industry Overview - **Sector**: Global Alternative Energy - **Outlook**: Improved investor sentiment driven by increased policy certainty in the US and global electricity load growth [2][7] Core Insights - **Load Growth**: - Load growth has been stagnant at approximately 0.5% annually over the past decade, but estimates have recently risen to around 2% or higher for the next five years due to AI-driven data center demand and broader electrification trends [5][6] - This growth is expected to exert upward pressure on power pricing, benefiting baseload power sources such as gas turbines, nuclear, and renewables paired with battery energy storage systems (BESS) [5][6] - **Policy Environment**: - Increased clarity in US renewable energy policy through the passage of significant legislation, though risks remain, including potential investigations and tariff decisions that could impact solar costs [5][6] - The Department of Commerce's investigations and permitting issues for solar and wind projects on federal land present uncertainties [6] Investment Preferences - **Top Picks in Clean Energy**: - **US**: GE Vernova (GEV), Brookfield Renewable (BEP/BEPC), NextPower (NXT), and EVgo (EVGO) [2][12][19] - **Europe**: Siemens Energy (ENR), Vestas (VWS), and Prysmian (PRY) [2][15][17] - **Asia**: Orient Cables (603606 CH), Daqo (DQ), GCL Tech (3800 HK), Arctech (688408 CH), and Sungrow (300274 CH) [2] Market Dynamics - **Solar Market**: - Preference for utility-scale solar over residential due to better positioning regarding policy and economic factors [7] - In China, polysilicon prices have recovered by approximately 50% due to policy interventions, with Daqo and GCL Tech highlighted as strong picks [20] - **Wind Market**: - BNEF forecasts significant growth in global wind installations, with a projected 16% growth in 2026 [17] - Vestas is expected to outperform the European Capital Goods sector due to stable input prices and lower interest rates [17] - **Energy Storage**: - Global energy storage demand exceeded expectations in 2025, with a forecasted 57% increase in battery shipments for 2025 [7] - The forecast for 2026 global ESS installations has been raised by approximately 30% [7] - **Electric Vehicle Charging**: - Sentiment around EV charging remains cautious, with anticipated declines in US EV sales [7] - EVgo is preferred due to its growing customer base and network throughput potential [19] Additional Insights - **Nuclear Fuel Cycle**: - Global nuclear generation is expected to reach record highs, increasing demand for enriched uranium [8] - Centrus Energy (LEU) is noted as a key player, though it faces execution risks [8] - **US Clean Energy Outlook**: - BNEF anticipates a decline in US clean energy build from 2026 to 2028 before returning to modest growth through 2035 [62] - The market is expected to consolidate as larger projects become more complex, favoring tier-1 developers [63] - **Residential Solar Market**: - A projected decline of 15-20% in US residential solar installations in 2026 due to the expiration of certain tax credits [64] - RUN is highlighted as a preferred pick in the residential space due to its visibility in solar lease/PPA qualifications [65] Conclusion - The global alternative energy sector is poised for growth driven by load demand and supportive policies, though challenges remain in the form of regulatory uncertainties and market dynamics. Key investment opportunities exist in diversified companies with strong balance sheets and exposure to emerging technologies.

Summary of Key Points from the Conference Call on China's Solar Industry Industry Overview - The conference focused on the solar industry in China, particularly the polysilicon sector, which is crucial for solar module production [1][2]. Core Insights 1. **Regulatory Concerns**: The State Administration for Market Regulation (SAMR) initiated a probe due to complaints about potential market manipulation following the establishment of an industry consolidation fund. This led to a significant rise in polysilicon prices, raising suspicions of coordinated price increases among producers [2][11]. 2. **Consolidation Fund**: There is a positive bias among industry experts and polysilicon producers regarding the continuation of the China Photovoltaic Industry Association (CPIA)'s consolidation fund approach. This fund aims to buy out smaller players to reduce excess capacity [11][13]. 3. **Price Projections**: The mid-term price outlook for polysilicon is projected to be between RMB 60 to 80 per kg, with near-term prices expected to range from RMB 45 to 60 per kg [11][13]. 4. **Market Performance**: Major polysilicon producers, GCL Tech and Daqo, have underperformed the MSCI China Index by approximately 20% due to market risks and the ongoing SAMR probe [1][24]. 5. **Potential Scenarios**: Three potential scenarios for the industry were discussed, with GCL Tech and Daqo positioned as winners regardless of the outcome. The scenarios include the continuation of the consolidation fund, government-led capacity shutdowns, and a natural market-led consolidation [35][36]. Regulatory Framework - The Anti-Trust Law in China prohibits price-fixing and market manipulation, but there are exceptions for industries facing severe overcapacity, which may apply to the polysilicon sector [15][18]. - The SAMR has requested a rectification plan from polysilicon producers and the CPIA by January 20, 2026, indicating that the regulatory process may take time [21]. Market Dynamics - **Inventory Levels**: Industry inventory is estimated at approximately 570,000 metric tons, while producers expect it to be around 400,000 metric tons. Demand is projected to increase due to the export tax rebate cut, leading to a more balanced supply-demand situation [40][41]. - **Global Demand Outlook**: Global solar demand is expected to decline in 2026, primarily due to a decrease in demand from China, although emerging markets may offset some of this decline [42]. Investment Recommendations - J.P. Morgan maintains an Overweight (OW) rating on GCL Tech and Daqo, citing their strong balance sheets and cost leadership as key factors for potential investment [24][44]. Additional Considerations - The upcoming National Two Sessions in March 2026 may influence regulatory decisions regarding the consolidation fund, which could significantly impact major polysilicon producers [25][24]. - The industry is facing a potential rush in demand in Q1 2026 due to the export tax rebate cut, which may lead to increased production volumes and lower inventory levels for polysilicon producers [25][24]. This summary encapsulates the critical insights and projections regarding the solar industry in China, particularly focusing on the polysilicon sector and its regulatory environment.

Group 1 - The stock price of Daqo New Energy (DQ.US) has experienced a significant decline of 30%, dropping from a peak of $36.59 to $25.59 over the past three months, reflecting market sentiment regarding the "photovoltaic industry storage" initiative [1] - The company's stock price surged by 153.97% over six months, driven by expectations of a "storage joint venture" aimed at eliminating approximately 1 million tons of outdated capacity in the photovoltaic sector [1] - The recent regulatory decision to halt "self-discipline" operations in the photovoltaic industry and the cancellation of export VAT rebates from April 1, 2025, have contributed to the recent stock price decline [2] Group 2 - Following the release of Daqo's Q3 financial results, the stock exhibited a "M-shaped" volatility pattern, indicating fluctuating market sentiment influenced by various news [2][4] - Daqo's Q3 financial performance showed a positive operating cash flow of 55.52 million yuan, marking the first positive cash flow since Q4 2023, suggesting initial success in addressing industry "internal competition" [4] - Despite a brief stock price increase after the Q3 report, trading volume was significantly lower than previous levels, indicating a cautious market sentiment among investors [4][6] Group 3 - The stock price has been on a downward trend, with market sentiment continuing to deteriorate, as evidenced by low trading volumes and a lack of buying interest [6][7] - On January 8, the stock dropped by 11.41% due to rumors of regulatory scrutiny regarding potential monopolistic practices in the photovoltaic industry [7] - Following the announcement of the 2025 earnings forecast, which indicated a net loss of 1 to 1.3 billion yuan, the stock price showed initial volatility but stabilized towards the end of the trading day [8]