Citi Raises CHINA POWER's Target Price to HKD3.5 Following Slightly Better-Than-Expected 1H Results
Company Performance: CHINA POWER reported a 0.7% year-on-year increase in its net profit for the first half of 2025, totaling RMB2.587 billion, driven by growth in wind and coal-fired power generation.
Profit Influences: The profit growth was partially offset by declines in profits from solar and hydroelectric power, despite a significant decrease in unit coal fuel costs and an increase in hydroelectric on-grid tariffs.
Analyst Ratings: Citi raised its target price for CHINA POWER by 3%, adjusting it from HKD3.4 to HKD3.5, while maintaining a Buy rating on the stock.
Market Data: As of August 25, 2025, short selling activity amounted to $8.35 million with a ratio of 17.760%.
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Citi Lowers CHINA POWER (02380.HK) Rating to Sell and Reduces Target Price to $2.75
Citi Research Downgrade: Citi Research downgraded CHINA POWER from Buy to Sell, lowering its target price from $3.5 to $2.75 and reducing net profit forecasts for 2025-2027 by 15%, 27%, and 38%, respectively.
Impact of Electricity Tariffs: The downgrade is attributed to expected declines in earnings for 2026 due to reduced electricity tariffs in China.
Dividend Outlook: While the company is not expected to cut dividends for 2025-2026, the projected dividend yield of 5.7% for 2026 may not sufficiently mitigate the earnings risks associated with falling power tariffs.
Short Selling Activity: There is significant short selling activity on CHINA POWER, with $20.05 million in short sales and a ratio of 34.121%.
HSBC Research: Chinese Power Utilities Entering 'Stagnation Phase'
Challenges in China's Power Industry: HSBC Research indicates that China's power industry will experience weakened growth momentum in the first year of the 15th Five-Year Plan due to declining electricity prices, a slowdown in new installations, and a stabilizing policy environment.
Downgrades and Ratings: HSBC has downgraded HUANENG POWER from Hold to Underweight and CHINA RES POWER from Buy to Hold, reflecting concerns over their earnings forecasts.
Optimism for CHINA LONGYUAN: The report expresses optimism for CHINA LONGYUAN, anticipating that its earnings growth will lead the industry, driven by strong performance in wind resources.
Attractive Dividend Yields: CHINA POWER is projected to have a 5.8% dividend yield in FY26, while CHINA YANGTZE POWER is expected to yield about 3.7%, making them attractive options among their peers.
China Power Reports 15.38% Increase in Total Electricity Sales for November
Electricity Sales in November 2025: China Power reported a total electricity sale of 10,099,700 MWh in November 2025, marking a 15.38% increase compared to November 2024.
Year-to-Date Sales Performance: For the first eleven months of 2025, the total electricity sold was approximately 116,000,000 MWh, reflecting a 1.17% decrease from the same period in the previous year.
BofAS Sets Target Price for CHINA POWER (02380.HK) at $3.5, Maintains Neutral Rating
Target Price Adjustment: BofA Securities raised its target price for CHINA POWER from $3.1 to $3.5 while maintaining a Neutral rating, despite lowering its earnings forecasts for 2025-2027 by an average of 2%.
Power Tariff Expectations: Management at the Jiangsu Changshu power plant anticipates a decrease in the annual contract power tariff by RMB5-6 cents next year due to lower coal prices and an increase in capacity tariff.
Strategic Changes in Trading: The power plant plans to reduce its annual contract proportion from 76% to 50% and increase spot market trading, aiming to leverage its locational advantage for better tariffs.
Short Selling Data: As of December 18, 2025, short selling for CHINA POWER was reported at $1.39 million with a ratio of 22.539%.
G Sachs Identifies APxJ Stocks with Strong Dividend Yields and Growth Potential (H Shares Only) (Table)
Goldman Sachs Portfolio: Goldman Sachs has identified a portfolio of high dividend yield and growth stocks from the Asia-Pacific excluding Japan (APxJ) region, focusing on the top 50 stocks with the highest expected dividend yields and positive growth over the next two years.
Hong Kong Stocks Listed: The report includes several Hong Kong stocks, such as C&D International Group, Bosideng, and Chow Tai Fook, along with their short selling data and price changes.
Market Trends: Morgan Stanley predicts that the downside in the Chinese real estate market will continue into 2026, with expectations of significant price drops in both first- and second-hand properties.
Short Selling Insights: The report provides insights into short selling activities for various Hong Kong stocks, indicating the level of market skepticism surrounding these companies.
China Power Reports 11.5% Year-on-Year Decline in September Electricity Sales
Stock Performance: China Power (02380.HK) experienced a slight decline in stock price, down 0.296% to -0.010.
Short Selling Activity: The company reported short selling of $4.30 million, with a short selling ratio of 18.957%.
Electricity Sales in September 2025: The total electricity sold by China Power and its subsidiaries in September 2025 was 9,465,705 MWh, marking an 11.51% year-over-year decrease.
Year-to-Date Sales: For the first nine months of 2025, the combined electricity sales totaled 96,266,971 MWh, reflecting a year-over-year decrease of 2.24%.
Citi Lowers CHINA POWER (02380.HK) Rating to Sell and Reduces Target Price to $2.75
Citi Research Downgrade: Citi Research downgraded CHINA POWER from Buy to Sell, lowering its target price from $3.5 to $2.75 and reducing net profit forecasts for 2025-2027 by 15%, 27%, and 38%, respectively.
Impact of Electricity Tariffs: The downgrade is attributed to expected declines in earnings for 2026 due to reduced electricity tariffs in China.
Dividend Outlook: While the company is not expected to cut dividends for 2025-2026, the projected dividend yield of 5.7% for 2026 may not sufficiently mitigate the earnings risks associated with falling power tariffs.
Short Selling Activity: There is significant short selling activity on CHINA POWER, with $20.05 million in short sales and a ratio of 34.121%.
HSBC Research: Chinese Power Utilities Entering 'Stagnation Phase'
Challenges in China's Power Industry: HSBC Research indicates that China's power industry will experience weakened growth momentum in the first year of the 15th Five-Year Plan due to declining electricity prices, a slowdown in new installations, and a stabilizing policy environment.
Downgrades and Ratings: HSBC has downgraded HUANENG POWER from Hold to Underweight and CHINA RES POWER from Buy to Hold, reflecting concerns over their earnings forecasts.
Optimism for CHINA LONGYUAN: The report expresses optimism for CHINA LONGYUAN, anticipating that its earnings growth will lead the industry, driven by strong performance in wind resources.
Attractive Dividend Yields: CHINA POWER is projected to have a 5.8% dividend yield in FY26, while CHINA YANGTZE POWER is expected to yield about 3.7%, making them attractive options among their peers.
China Power Reports 15.38% Increase in Total Electricity Sales for November
Electricity Sales in November 2025: China Power reported a total electricity sale of 10,099,700 MWh in November 2025, marking a 15.38% increase compared to November 2024.
Year-to-Date Sales Performance: For the first eleven months of 2025, the total electricity sold was approximately 116,000,000 MWh, reflecting a 1.17% decrease from the same period in the previous year.
BofAS Sets Target Price for CHINA POWER (02380.HK) at $3.5, Maintains Neutral Rating
Target Price Adjustment: BofA Securities raised its target price for CHINA POWER from $3.1 to $3.5 while maintaining a Neutral rating, despite lowering its earnings forecasts for 2025-2027 by an average of 2%.
Power Tariff Expectations: Management at the Jiangsu Changshu power plant anticipates a decrease in the annual contract power tariff by RMB5-6 cents next year due to lower coal prices and an increase in capacity tariff.
Strategic Changes in Trading: The power plant plans to reduce its annual contract proportion from 76% to 50% and increase spot market trading, aiming to leverage its locational advantage for better tariffs.
Short Selling Data: As of December 18, 2025, short selling for CHINA POWER was reported at $1.39 million with a ratio of 22.539%.
G Sachs Identifies APxJ Stocks with Strong Dividend Yields and Growth Potential (H Shares Only) (Table)
Goldman Sachs Portfolio: Goldman Sachs has identified a portfolio of high dividend yield and growth stocks from the Asia-Pacific excluding Japan (APxJ) region, focusing on the top 50 stocks with the highest expected dividend yields and positive growth over the next two years.
Hong Kong Stocks Listed: The report includes several Hong Kong stocks, such as C&D International Group, Bosideng, and Chow Tai Fook, along with their short selling data and price changes.
Market Trends: Morgan Stanley predicts that the downside in the Chinese real estate market will continue into 2026, with expectations of significant price drops in both first- and second-hand properties.
Short Selling Insights: The report provides insights into short selling activities for various Hong Kong stocks, indicating the level of market skepticism surrounding these companies.
China Power Reports 11.5% Year-on-Year Decline in September Electricity Sales
Stock Performance: China Power (02380.HK) experienced a slight decline in stock price, down 0.296% to -0.010.
Short Selling Activity: The company reported short selling of $4.30 million, with a short selling ratio of 18.957%.
Electricity Sales in September 2025: The total electricity sold by China Power and its subsidiaries in September 2025 was 9,465,705 MWh, marking an 11.51% year-over-year decrease.
Year-to-Date Sales: For the first nine months of 2025, the combined electricity sales totaled 96,266,971 MWh, reflecting a year-over-year decrease of 2.24%.
