[GAM]A-stock representative ten-bagger ‘national power’① ‘power leader’ with a fancy modifier

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[서울=뉴스핌] Reporter Bae Sang-hee = Kuktu Electric Power (國投電力∙SDIC POWER 600886.SH), a leader in the power sector of mainland China’s A-shares, has recently made notable moves to enter the global new energy market, attracting the attention of investors.

Kukje Electric Power Company, which holds splendid titles such as a ‘ten-bagger’ stock with a cumulative stock price increase of more than 10 times (1000%) since listing, China’s top four hydroelectric power generation state-owned enterprises, and the highest dividend stock in the power sector, has stood out in both stock price and performance this year. It continues to see remarkable growth.

In particular, ‘overseas expansion’, which is one of the key investment keywords in the Chinese stock market this year, has achieved consistent results and expanded global competitiveness, becoming another upward momentum for the national investment power.

[사진 = 국투전력 공식홈페이지] Panoramic view of the ‘Jinping Grade 1 Hydroelectric Power Plant’ located in Liangshan Yi Autonomous Region, Sichuan Province, China. It received national approval in September 2005, began construction on November 12, and began operation in December 2014 after a construction period of 9 years and 3 months.

◆ China’s top four hydroelectric power companies hold many prestigious titles

Kuktu Electric Power Co., Ltd. is a hydropower, thermal power, wind power (onshore and offshore), solar power plant operation, construction, and investment company.

It is a subsidiary of the National Development Investment Group Co., Ltd. (hereinafter referred to as the National Development Investment Group), a central enterprise managed by the National Self-Government Commission under the State Council, and is dedicated to investment in the power business.

It is also called the representative ‘A (stock listed on A-shares in mainland China) + G-share (stock listed on the London Stock Exchange) stock.’

Kuktu Electric Power, which was listed on A shares in 2002, was listed on the London Stock Exchange through Huruntong (Shanghai and London stock market cross-trading system) in October 2020, and was followed by another hydropower competitor, Yangtze River Electric Power (600900.SH). ), becoming the second company to enter the London Stock Exchange and win the title of ‘Chinese company related to eco-friendly economic industrial chain’.

Kuktu Electric Power Company, which has been involved in various areas of power business, has focused on clean energy business for the past several years under the carbon neutral policy promoted by the Chinese authorities.

According to China’s Galaxy Securities (銀河證券∙CGS), the proportion of eco-friendly energy equipment installed, including hydropower, wind power, and solar power generation, excluding thermal power generation (31%), accounted for 69% of the total equipment installation capacity of Kuktu Electric Power in 2023.

In particular, it stands out in the field of hydroelectric power generation. Kuktu Electric Power Company is classified as one of the four major hydroelectric power generation companies along with Yangtze Electric Power Company (600900.SH), Chentu Energy (600674.SH), and Huaneng Hydroelectric Power Company (600025.SH).

The total equipment installation capacity completed by KEPCO by 2023 is 40.89 million kilowatts (kW), of which the hydropower installation capacity is 21.28 million kW, the third largest in Korea. Thermal power generation installed capacity recorded 2128 kW, and new energy (wind power + solar power) installed capacity recorded 699 kW.

The equipment installation capacity of power projects currently being promoted or planned to be promoted in the future is 30 million kW, of which hydroelectric power generation and new energy-related equipment installation capacity each account for more than 10 million kW.

The project has been promoted in 23 provinces, cities, and autonomous regions in China, as well as countries along the Belt and Road (land and maritime Silk Road) and five countries belonging to the Organization for Economic Co-operation and Development (OECD).

The number of companies that KEPCO has invested in to date amounts to about 100. According to recently released management data for the first half of this year, the cumulative power generation of companies managed domestically by KEPCO was 77.364 billion kilowatt hours (kWh), and the power transmission amount was 75.26 billion kWh, up 8.53% and 8.66%, respectively, compared to the same period last year. It was counted.

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pxx17@newspim.com