The Zhitong Finance App learned that Xiaomo released a research report saying that it maintained the “increase in holdings” rating of Datang New Energy (01798) and raised the 2022-24 earnings forecast by 15% to 17% based on operating data released by the company in the middle of this month. Most reflect an increase in wind power production and usage assumptions, and the target price was raised from HK$2.7 to HK$3.2. The bank believes that the subsidy audit was an uncertain factor for wind farm operators last year, but it believes that the state-owned wind power companies covered by the bank have strictly complied with the regulations, that the risk of refunding subsidies is low, and that the uncertain factors should be removed when the subsidy audit is completed. The bank's material subsidy audit was completed within the first quarter.

Furthermore, among mainland wind power companies, the bank favors Longyuan Electric Power (00916), followed by Datang New Energy. The bank indicated that Longyuan has a strong operating record and that asset injections may also occur this year. Datang New Energy, on the other hand, is a stock of a company with a low market capitalization and a low price-earnings ratio, and sees this stock as having a high risk return in the wind power industry.