Key investment points:
Market review: Shenwan power equipment industry fell 2.90% last week, 4.01 percentage points lower than the Shanghai and Shenzhen 300 index, ranking 21st among Shenwan 31 industries. The first three stocks in the power equipment sector rose in the week were Chongqing Wanli New Energy Co.Ltd(600847) , Dalian Insulator Group Co.Ltd(002606) and Wuhan Dr Laser Technology Corp.Ltd(300776) respectively, and the three companies rose by 20.99%, 12.19% and 10.14% respectively. In terms of valuation, as of January 21, 2022, the pettm of power equipment sector was 48.44 times and the pbttm of power equipment sector was 6.24 times.
Weekly view of the power equipment industry: the overall operating rate of the industrial chain has improved month on month. In the past week, the prices of silicon materials, silicon wafers and battery wafers have rebounded. The improvement of current downstream demand will form a certain support for the recent price rise trend of the industrial chain. With the gradual release of new production capacity in all links, under the background of simultaneous rise in volume and price, The performance of relevant companies in the first quarter is expected to be better month on month. 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）； Sungrow Power Supply Co.Ltd(300274) （300274）； Cecep Solar Energy Co.Ltd(000591) （000591）。
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.
