Sun can of Chuancai Securities Co., Ltd.$China Longyuan Power Group Corporation (00916.HK) $Conduct research and release the research report "in-depth report: wind Power leaders benefiting from dual-carbon Policy". This report gives an overweight rating to China Longyuan Power Group Corporation, with a current share price of 21.71 yuan.

China Longyuan Power Group Corporation (001289)
The company's installed capacity of wind power continues to improve, and the position of the industry is stable.
At present, the company's main business is wind power generation business, and its revenue growth is mainly driven by wind power. The company has maintained steady revenue growth in recent years, mainly benefiting from the increase in wind power sales brought about by the continuous expansion of wind power installed capacity. In the first quarter of 2022, the company achieved operating income of 10.422 billion yuan, a slight increase of 5.82% over the same period last year, and the net profit of shareholders belonging to the parent company was 2.254 billion yuan, down 21.33% from the same period last year.
The goal of "double carbon" promotes the transformation of power structure, and the installation of scenery maintains rapid growth.
With the help of the goal of "double carbon" and the new requirements for the optimization and transformation of China's power structure, Fengguang installation is expected to maintain rapid growth. With the rapid growth of new energy installation and the increasing proportion of parity projects, the impact of stock subsidy arrears will become smaller and smaller, and the problem of stock subsidy is expected to gradually get policy attention and improvement.
The goal of the 14th five-year Plan is ambitious, and the rapid growth of installed capacity can be expected in the future.
During the 14th five-year Plan period, the State Energy Group aims to add 7000 kilowatts to 80 million kilowatts. China Longyuan Power Group Corporation, as the main body of the new energy development of the State Energy Group, is expected to increase the installed capacity of new energy by more than 30 million kilowatts during the 14th five-year Plan period. In addition, the Group has committed to inject other existing wind power business into China Longyuan Power Group Corporation within 3 years after the completion of the share swap and asset acquisition transactions, with a total wind power scale of 21.4067 million kilowatts outside the group.
For the first time, coverage will be rated as "overweight".
We estimate that from 2022 to 2024, the company will achieve operating income of 41.227 billion yuan (an increase of 10.80% over the same period last year), 454.03 yuan and 50.122 billion yuan, with a compound growth of 10.44% in the next three years based on 2021; the net profit attributed to the parent company is 76.32 (year-on-year growth of 19.18%), 92.71 and 10.913 billion yuan. The total share capital is 8.382 billion shares, corresponding to EPS0.91, 1.11 and 1.30 yuan. On June 27th, 2022, the stock price is 21.65 yuan, corresponding to the market value of 181.5 billion yuan, and the PE from 2022 to 2024 is about 24, 20 and 17 times. For the first time, we give a "overweight" rating.
Risk hint: new energy project construction is less than expected risk, green power trading and premium is less than expected risk.

Based on the research data released in the past three years, the Securities Star data Center calculates that the team of Zhang Weihua researchers at Changjiang Securities has studied the stock more deeply, with an average forecast accuracy of 76.6% in the past three years, with a net profit of 7.746 billion in 2022, and a forecast PE of 23.65 based on current prices.

Details of the latest profit forecasts are as follows:

A total of seven agencies have rated the stock in the last 90 days, five have bought ratings and two have increased their holdings; the average agency price has been 28.44 in the past 90 days. According to the Securities Star valuation analysis tool, China Longyuan Power Group Corporation (001289) has a good company rating of 3 stars, a good price rating of 1 star, and a comprehensive valuation rating of 2 stars. (rating range: 0-5 stars, up to 5 stars)

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