BOC International released a research report stating that the CHINA POWER Sector maintains a 'Shareholding' rating; the CECEP Solar Energy sector maintains a 'Neutral' rating. Among its research scope, it prefers upstream Uranium mining companies over independent Nuclear Power plants, hence next year's top choice for Nuclear Power is CGN MINING (01164). As for the Electrical Utilities sector, it recommends CHINA RES POWER (00836) and EB ENVIRONMENT (00257).
The firm pointed out that in 2025, it remains more bullish on the CHINA POWER Sector than the solar energy sector, although it expects that the effective supply of the solar energy value chain will continue to decline under increasing inventory pressure. However, lack of visibility in demand growth remains the main downward risk that the solar energy sector faces in turning around its disadvantage.
BOC International believes that the Electrical Utilities sector may maintain a good return in 2025 and provide a hedging option for investors focusing on AH Stocks. In addition, the firm believes that Nuclear Power will continue to be a market focus in 2025 and gain rare Global consensus support to increase the sector's share within the electrical structure.
