The rating was raised to “Highly Recommended”. Considering the current situation where the volume and price of thermal power continues to decline and financial expenses are falling, the company's net profit is estimated to be around 496 million yuan in 2016, and the share capital after the issuance is 976 million shares, and the corresponding EPS is 0.51 yuan. In the future, the profit contributed by the commissioning of new thermal power plants is 664 million yuan. In addition to the current asset profitability of 496 million yuan, the corresponding EPS is 1.19 yuan. The estimated time to achieve this is about 2 years, and the certainty of achievement is strong. SDIC Electric Power is a pilot enterprise invested and controlled in the state-owned enterprise reform. As its first project after becoming a pilot project, Ganneng will pay unconventional attention within the group. Subsequent asset and equity operations are worth anticipating. The current stock price is 9.36 yuan, and SDIC Electric's shareholding cost is 6.66 yuan. Assuming 5% of capital costs per year during the three-year lockdown period, SDIC's actual cost per share is 7.66 yuan. Based on comprehensive considerations, the company's basic performance, state-owned enterprise reform, and power system reform expectations were initially given a target price of 12 yuan, corresponding to the current performance valuation 23 times, and 10 times the valuation after the new power plant was put into operation. Raised to “Highly Recommended” rating. Risks suggest that electricity prices continue to fall, coal prices are rising, and the hourly decline in thermal power utilization exceeds expectations.