Barclays Capital中国电力设备行业最新首次关注（119页）

We initiate coverage of the China Power Equipment sector with a 1-Positive view and on
five  individual  companies.    We  believe  long-term  growth  in  China’s  power  capacity
installations is far from  mature and see upside to State targets (2,140 GW by 2020 vs.
China Electricity Council’s 1,930 GW).  In the near term, China’s focus on diversification
of  fuel  mix  and  grid  balance  bring  new  opportunities  for  an  oligopolistic  equipment
market, which we think is not fully reflected in valuation (sector near historical lows at
~8.4x forward P/E).  We favour names with heavy exposure to nuclear/natural gas and
international  growth  (Shanghai  Electric  –  2727  HK  and  Dongfang  Electric  –  1072  HK)
and are cautious on ones with high exposure to slowing coal and wind markets.