Market Review: the CSI 300 Index rose 1 in AprilMinibaccaratonline.89%MinibaccaratonlineThe utility index rose by 1.Minibaccaratonline.30%, environmental protection index 2.39%, monthly relative returns of-0.59% and-0.86%, respectively. Among the 31 first-tier industry segments of Shenwan, public utilities and environmental protection ranked 11th and 12th. According to the plate, the environmental protection plate rose 1.03%.MinibaccaratonlineIn the power board sub-plate, thermal power rose 1.11%; hydropower rose 3.37%, while new energy generation fell by 0.97%; water sector rose 2.64%; gas plate fell 0.35%; and testing services plate fell 0.00%. Important event: by the end of March, the country's cumulative installed power generation capacity was about 2.09 billion kW (+ 14.5%). Among them, the installed capacity of solar power is about 660 million kW (+ 55.0%) and the installed capacity of wind power is about 4.6 billion kW (+ 21.5%). From January to March, the cumulative average utilization of power generation equipment in China was 844 hours (- 24 hours). Among them, 1828 h (- 36 h) for nuclear power, 279 h (- 24 h) for solar power, 596 h (- 19 h) for wind power, 1128 h (+ 31 h) for thermal power, and 555 h (+ 11 h) for hydropower. Special study: the performance of public utilities and environmental protection companies increased steadily in 2023. Thermal power sector benefited from the decline in fuel costs significantly enhanced profitability, the average ROE of 7.1% (+ 7.7pct), hydropower, photovoltaic, wind power, nuclear power plate profitability documents, steady growth; urban fuel continued to advance, gas plate profitability repair, net interest rate of 6.7% (+ 0.6pct); environmental protection sector profitability declined, the average ROE of 5.5%, reduced 0.4pct from the previous year. Investment strategy: public utilities: recommend "nuclear power and new energy" two-wheel drive China nuclear power and national nuclear power leader China Guangzhou Nuclear Power; recommend Yangtze River Power, a hydropower leader with both stability and growth; recommend natural gas high dividend Xinao shares and natural gas trader transformation energy services and helium-hydrogen business growth attribute Jiufeng Energy The energy problem is prominent, recommend industrial and commercial energy service provider leading South Network Energy; recommend green power elastic target Jinkai new energy with high quality of existing scenery assets and clear future growth path; grid side pumped storage and electrochemical energy storage operation leading South Network energy storage; recommend Huadian International and Zhejiang Power, which are the targets of thermal power whose performance and cash flow tend to be stable. Recommend the new energy operation leader, three Gorges Energy and Longyuan Power, which have the advantages of capital cost and resources. Environmental protection: 1, performance improvement, low valuation; 2, business model improvement, operating indicators continue to improve; 3, steady increase in operational attributes, yield, cash flow indicators continue to improve. Mongolian grass ecology with grassland ecological restoration and joint development of grass species and forage grass is recommended. Risk tips: environmental protection policies are not as expected; the growth rate of electricity consumption is declining; electricity prices are down; competition is intensified. [disclaimer] this article only represents the views of a third party and does not represent the position of Hexun. Investors operate accordingly, at their own risk.
[disclaimer] this article only represents the views of a third party and does not represent the position of Hexun. Investors operate accordingly, at their own risk.
