Soochow Securities·2025-12-22 00:35Investment Rating - The report maintains an "Overweight" investment rating for the power equipment industry [1]. Core Insights - The energy storage lithium battery sector is experiencing robust demand despite the off-season, while the photovoltaic industry is pushing back against internal competition [1]. - The report highlights significant growth in energy storage installations, particularly in the U.S., with a projected increase of over 60% in demand next year [4][9]. - The electric vehicle market is also showing strong performance, with November sales in China up 21% year-on-year, and an expected annual growth of 30% [4][29]. Industry Trends - Energy Storage: The report notes that the U.S. added 1,674 MW of energy storage capacity in October, a year-on-year increase of 131%, with a total of 10,692 MW installed from January to October, reflecting a 38% increase [9][22]. - Electric Vehicles: In November, domestic sales reached 182,000 units, with a cumulative total of 1,473,000 units for the year, marking a 31% increase year-on-year [29]. - Photovoltaics: The report indicates a decline in domestic terminal demand in Q4, with production expected to decrease, while prices for silicon materials are anticipated to rise [4]. Company-Specific Developments - Ningde Times: Recognized as a global leader in power and energy storage batteries, with a low valuation despite strong growth prospects [7]. - Sunshine Power: A global leader in inverters, benefiting from overseas energy storage integration [7]. - Ganfeng Lithium: Noted for its increasing self-mining ratio and strong position in the lithium carbonate market [7]. Investment Strategy - The report suggests a focus on leading companies in the energy storage and lithium battery sectors, with specific recommendations for companies like Ningde Times, Ganfeng Lithium, and Sunshine Power due to their strong growth potential and market positions [4][7].