CITIC Securities: Power Price Cycle Turning Point Arrives, Nuclear Power Regains Elasticity

36Kr reports that a CITIC Securities research note states that supply and demand along the coast have improved, with nuclear power expected to exit the declining electricity price cycle of 2024–2026. The report forecasts a year-on-year increase in sales prices for China National Nuclear Power and China General Nuclear Power by 5% and 4%, respectively, in 2027. With the commissioning cycle for under-construction nuclear units underway, rising volumes and prices will help nuclear power companies enter a new phase of performance release. The firm has raised its earnings forecasts for both China National Nuclear Power and China General Nuclear Power, noting that current market valuations have not fully priced in the earnings catalyst from rising electricity prices, leaving the sector with a strong safety margin.