Jovo Energy(SH:605090) Soochow Securities·2026-01-27 14:02Investment Rating - The report maintains a rating of "Buy" for the utility sector [1]. Core Insights - The report highlights the increasing demand for rocket launch services driven by high payload capacity and reusability, which are key factors in reducing costs. The demand for propellant and launch gases is expected to remain rigid, with their value and market share projected to increase over the long term. The economic viability of rocket launches is becoming a crucial factor for the transition to high-density and standardized launches [4]. - The national winter electricity load has surpassed 1.4 billion kilowatts for the first time, reaching a peak of 1.417 billion kilowatts, with daily electricity consumption exceeding 30 billion kilowatt-hours during winter [4]. Industry Data Tracking - Electricity Prices: The average grid purchase price in January 2026 decreased by 8% year-on-year, averaging 374 RMB/MWh [38][44]. - Coal Prices: As of January 23, 2026, the price of thermal coal at Qinhuangdao port was 685 RMB/ton, down 0.29% year-on-year and 1.44% week-on-week [45]. - Water Conditions: As of January 23, 2026, the water level at the Three Gorges Reservoir was 169.85 meters, with inflow and outflow rates increasing by 15.8% and 12.8% year-on-year, respectively [52]. - Electricity Consumption: From January to November 2025, total electricity consumption reached 9.46 trillion kilowatt-hours, a year-on-year increase of 5.2% [13]. - Power Generation: Cumulative power generation from January to November 2025 was 8.86 trillion kilowatt-hours, reflecting a year-on-year growth of 2.4% [23]. - Installed Capacity: As of November 30, 2025, the cumulative installed capacity of thermal power reached 1.52 billion kilowatts, with a year-on-year increase of 5.9% [46]. Investment Recommendations - Green Energy: The report suggests focusing on companies like Longyuan Power, Zhongmin Energy, and Three Gorges Energy, with a strong recommendation for Longjing Environmental Protection due to the easing of constraints on consumption, pricing, and subsidies for renewable energy [4]. - Thermal Power: Companies such as Huaneng International and Huadian International are recommended for their reliability and flexibility in transitioning [4]. - Hydropower: Longjiang Power is highlighted for its low-cost benefits and strong cash flow capabilities [4]. - Nuclear Power: China Nuclear Power and China General Nuclear Power are recommended due to their growth potential and expected increases in profitability and dividends [4]. - Solar Assets and Charging Stations: Companies like Southern Power Grid Energy and Longxin Technology are suggested for their potential value reassessment in the market [4].