Dongfang Electric (01072) rose more than 4% in early trading, rising more than 30% during the month. As of press release, it rose 2.43% to HK$10.96, with a turnover of HK$33.117 million.
The Zhitong Finance App learned that Dongfang Electric (01072) rose more than 4% in early trading, rising more than 30% during the month. As of press release, it rose 2.43% to HK$10.96, with a turnover of HK$33.117 million.
China Merchants Securities pointed out that investment in thermal power continued to decline after 2014-2015, causing a series of problems. Policies have begun to be corrected in recent years, the indispensability of thermal power now and for quite some time in the future has been re-understood, and thermal power is gradually recovering. The company's domestic share of thermal power equipment is around 30-40%, and the thermal power equipment business is expected to continue its rapid growth rate. Furthermore, the wind penetration rate has continued to increase in recent years, and the issue of energy consumption has become more serious and urgent. Usually, the original thermal power equipment participants have an advantage in the transformation, and the company, as the three core thermal power equipment companies, is expected to directly participate in the upgrade. At the same time, the company maintained the top share of gas and electricity during the reporting period, and will continue to benefit.
In terms of pumping energy storage, the company is the world's leading supplier of hydropower equipment and one of the two domestic pumping unit suppliers. In 2023, hydropower unit sales will increase 88% year on year, and the hydropower equipment business is expected to rise rapidly. Considering the longer construction cycle of pumping projects, the contribution to the growth of the pumping business will be more sustainable. Businesses such as nuclear power and hydrogen energy are also expected to contribute to growth.