Jingu Finance News: Photovoltaic solar stocks rose across the board, as of the deadline, Xinyi Solar (00968) rose by 7.71%, Xinyi Glass (00868) rose by 7.09%, Triumph New En(01108) rose by 4.82%, GCL New Energy(00451) rose by 3.9%, Xinte Energy (01799) rose by 3.15%.

On the news front, HTSC research reports stated that photovoltaics is one of the most influential industries in China in the global supply chain, with a capacity share exceeding 80% globally in 2023. By 2023, listed photovoltaic companies in China are expected to achieve a net income of over 120 billion yuan. The photovoltaic index peaked at the end of 2021. Despite a brief recovery in 2022 due to a resurgence of the capital markets, it has since fallen by about 65%. Unordered capacity expansion is the main reason. Faced with supply-demand imbalances and continuous price declines at various stages of the photovoltaic industry, some companies are beginning to face operational difficulties. HTSC believes that the speed of capacity clearing varies at different stages. The silicon material, battery, and glass sectors may be the first to achieve this. It is expected that some leading enterprises' current cash reserves can only sustain production and operation for 2 to 4 quarters. A capacity exit is expected in the first half of 2025, serving as an effective signal of capacity clearing. Enterprises with leading technology, channels, and brands are expected to weather the cycle.

In addition, the National Energy Administration recently released national electricity industry statistics for January to August. By the end of August, the country's cumulative installed power generation capacity is approximately 3.13 billion kilowatts, a 14.0% year-on-year increase. Among them, the installed solar power generation capacity is about 0.75 billion kilowatts, a 48.8% year-on-year increase; the installed wind power capacity is about 0.47 billion kilowatts, a 19.9% year-on-year increase.