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    Surging PV Output and Higher November Generation Might Change The Case For Investing In China Longyuan Power (SEHK:916)

    Simply Wall St·12/21/2025 05:14:43
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    • China Longyuan Power Group Corporation Limited reported that its consolidated power generation for November 2025 rose 14.34% year on year to 6,944,492 MWh, with wind output higher and PV output growing very rapidly, and year-to-date 2025 generation edging 0.41% above the same period in 2024.
    • An interesting takeaway is that, excluding coal power, the company’s 2025 output increased 12.07% year on year, driven by a 72.42% surge in PV generation and solid growth in wind.
    • We will now look at how this strong PV expansion shapes China Longyuan Power Group’s investment narrative for investors.

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    What Is China Longyuan Power Group's Investment Narrative?

    For China Longyuan Power Group, you really have to believe in the shift from coal to renewables as the core value driver. The latest November numbers support that idea: overall generation is barely up year to date, but once coal is stripped out, output is growing solidly, with PV generation expanding very rapidly on a small base and wind still inching ahead. That helps the short term narrative around earnings growth forecasts and the stock’s current valuation discount, especially since the market has been weak recently despite reasonable profit expectations and low-cost funding access. At the same time, the news also underlines key risks: cash generation still needs to support dividends and debt, governance is evolving with a relatively new board and management team, and the business remains sensitive to monthly volume swings.

    However, one structural risk could easily catch out investors who only focus on the growth story.
    Despite retreating, China Longyuan Power Group's shares might still be trading 27% above their fair value. Discover the potential downside here.

    Exploring Other Perspectives

    SEHK:916 1-Year Stock Price Chart
    SEHK:916 1-Year Stock Price Chart
    Four Simply Wall St Community fair value views cluster between HK$7.35 and HK$9.18, reflecting genuinely different expectations. Set against PV led growth and uneven cash coverage of the dividend, that spread reminds you to weigh both upside potential and balance sheet resilience when judging China Longyuan’s prospects.

    Explore 4 other fair value estimates on China Longyuan Power Group - why the stock might be worth as much as 37% more than the current price!

    Build Your Own China Longyuan Power Group Narrative

    Disagree with this assessment? Create your own narrative in under 3 minutes - extraordinary investment returns rarely come from following the herd.

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.