HSBC Global Research maintained a 'Buy' rating for CGN POWER despite a 9% year-on-year decline in net profit for Q1 2026, attributing the weak results to increased outage days, grid curtailments, and higher selling expenses. The broker raised its EPS forecasts for 2026 and 2027 due to asset injection from the Cangnan project and increased the target price, believing that the new nuclear power contract for difference policy will provide downside protection for tariffs.
