Investment OpportunityCR Power is currently trading at less than 8x PE, offering an attractive yield of over 5%, which leads to an upgrade to BUY amid increasing investors’ interest for stable yield play.
ProfitabilityCR Power's earnings growth will be driven by increased power generation and margin enhancement from its renewable energy capacity, which has higher profitability than coal-fired electricity generation.
Renewable Energy ExpansionCR Power plans to add 40GW of renewable energy capacity, increasing the renewable energy capacity to more than 50% of total installed capacity during the 14th Five Year Plan.