Key investment points:
Market review: Shenwan power equipment industry fell 1.92% last week, outperforming the Shanghai and Shenzhen 300 index by 2.59 percentage points, ranking first among Shenwan 31 industries. The top three stocks in the power equipment sector were Ningbo Orient Wires & Cables Co.Ltd(603606) , Dajin Heavy Industry Co.Ltd(002487) and Haili wind power, with gains of 27.48%, 23.80% and 20.95% respectively. In terms of valuation, as of January 28, 2022, the pettm of power equipment sector was 47.66 times and the pbttm of power equipment sector was 6.13 times.
Zhou's view of the power equipment industry: in January 2022, China's distributed and overseas demand was strong, and the overall operating rate of the photovoltaic industry chain increased month on month. During the Spring Festival, most silicon wafer, battery chip and module manufacturers produced normally. With the continuous start of photovoltaic installation projects after the Spring Festival holiday, the downstream demand is expected to resume a strong trend, and the subsequent module shipment will also be gradually accelerated. Years ago, most companies disclosed performance forecasts, and it is suggested to pay attention to relevant companies whose performance is expected to be better in the first quarter of this year. It is recommended to pay attention to Hangzhou First Applied Material Co.Ltd(603806) (603806); Flat Glass Group Co.Ltd(601865) （601865）； Tongwei Co.Ltd(600438) （600438）； Longi Green Energy Technology Co.Ltd(601012) （601012）； Ming Yang Smart Energy Group Limited(601615) （601615）。
Risk warning: macroeconomic fluctuations affect downstream demand; The price of the industrial chain has risen sharply; Risks such as intensified industry competition; Electricity demand is less than expected; The construction of new energy power generation is less than expected.
